WPP experiences 'very strong growth' in 2021

Advertising giant WPP said on Thursday that it had experienced "very strong growth" throughout 2021, driven by demand for digital services, e-commerce, and technology and an "exceptional" new business performance.

WPP said like-for-like revenues were up 13.3% year-on-year on a reported basis to £12.8bn, swinging the group from an operating loss of £2.27bn to a profit of £1.22bn. Reported pre-tax profits were £951.0m, a marked improvement against the prior year's £2.79bn pre-tax loss.

Reported diluted earnings per share were 52.5, up from a 243.0p loss in 2020, while the FTSE 100-listed firm also declared a 31.2p dividend per share.

WPP also highlighted its full-year headline operating margin of 14.4%, up 1.7 percentage points on the prior year, with strong top-line growth and efficiency savings supporting significant reinvestment in incentives.

Chief executive Mark Read said: "It has been an outstanding year for WPP. Our top-line growth, driven by strong demand for our services in digital marketing, media, e-commerce and technology, has resulted in our fastest organic growth for over 20 years. As a result, we are two years ahead of our plan, hitting our 2023 revenue target in 2021.

"We look forward to 2022 with confidence. We are guiding to strong top-line growth, improving profitability and continued investment in our people and services."