# WPP plc appointment of new CEO & strategy update by year end

- Link: https://www.directorstalkinterviews.com/wpp-plc-appointment-of-new-ceo-strategy-update-by-year-end/412757710
- Published: 2018-09-04T07:50:04+01:00
- Author: Charlotte Edwards

**[WPP Plc](https://www.directorstalkinterviews.com/ftse-company/wpp-plc/wpp.l)**(
LON:WPP), announced appointment of new CEO and 2018 interim results.

> **Mark Read, Chief Executive Officer, WPP:**
> “The second quarter of 2018 was WPP’s first quarter of like-for-like growth since
> Q1 2017, and the company has performed strongly in terms of winning and retaining
> business over the period.
> “At our first quarter trading update we said there was no standing still, and 
> in the last few months we have made progress in a number of important areas.
> “We have focused our efforts on providing more effectively integrated solutions
> to clients and, in competitive pitches, we have won or grown business with clients
> including Adidas, Hilton, Mars, Mondelez, Shell and T-Mobile.
> “We have looked at our offering and begun to focus our portfolio through 15 disposals
> and divestments, including Globant and AppNexus, generating cash proceeds of £
> 676 million so far this year, which will also strengthen our balance sheet and
> improve our average net debt to EBITDA ratio.
> “And we have accelerated initiatives that will simplify our organisation, making
> it easier for us to manage and clients to access, with, for example, co-locations
> opened or announced in New York, Kuala Lumpur, Prague and Toronto.
> “The mix of performance by geography and function and a decision to invest in 
> the growing areas of our business resulted in a slightly lower headline PBIT margin.
> “As Chief Executive, my focus will be on invigorating our company and returning
> the business to stronger, sustainable growth. Our review of strategy is underway,
> addressing our structure, our underperforming operations, particularly in the 
> United States, and how we position the company for the future. We will provide
> an update by the year end.”

Reported revenue down 2.1% at £7.493 billion, impacted by currency headwinds of 
5.0%. Constant currency revenue up 2.9%, like-for-like revenue up 1.6% (Q2 up 2.4%)

Constant currency revenue less pass-through costs up 1.4%, like-for-like revenue
less pass-through costs up 0.3% (Q2 up 0.7%)

Headline profit before interest and tax £821 million down 7.0%, down 2.3% in constant
currency

Headline PBIT margin 13.3% down 0.5 margin points reportable and constant currency,
down 0.4 margin points like-for-like

Headline profit before tax £735 million down 7.4%, down 2.5% in constant currency

Profit before tax £846 million up 8.6%, up 14.2% in constant currency primarily 
reflecting net exceptional gains

Profit after tax £705 million up 11.3%, up 16.8% in constant currency

Headline diluted earnings per share 42.6p down 6.2%, down 1.3% in constant currency

Diluted earnings per share 53.4p up 14.6%, up 20.3% in constant currency

Dividends per share 22.7p flat with 2017

Share buy-backs of £201 million, equivalent to 1.3% of the issued share capital

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