WPP Revenues Down In Q3, Cuts FY25 Outlook; Shares Hit

British advertising major WPP plc (WPP,WPP.L) on Thursday reported lower revenues in its third quarter and first nine months of fiscal 2025, with weak performance in all regions and business segments. Further, the company trimmed fiscal 2025 outlook.On the LSE, WPP shares were losing around 10.3 percent to trade at 323.35 pence.In the pre-market activity, the shares were losing around 10.4 percent to trade at $21.03.In the third quarter, total group revenue of 3.26 billion pounds was down 8.4 percent year-over-year on a reported basis and down 3.5 percent on a like-for-like or LFL basis.Revenue less pass-through costs was 2.46 billion pounds, down 11.1 percent from last year on a reported basis, and 5.9 percent on LFL basis.Global Integrated Agencies revenues fell 4.7 percent to 2.87 billion pounds, and the decline was 40.4 percent in Public Relations and 14.9 percent in Specialist Agencies.In the quarter, revenues from North America fell 14.3 percent to 1.18 billion pounds, and the drop was 6.5 percent in UK, 0.1 percent in W Cont. Europe, and 6.9 percent in Asia Pacific, Latin America, Africa & Middle East and Central & Eastern Europe.In the nine-month period, revenue was down 8.0 percent on a reported basis and 2.8 percent LFL to 9.92 billion pounds.Revenue less pass-through costs was 7.49 billion pounds, down 10.5 percent YoY and 4.8 percent LFL.Looking ahead, citing the trading year to date and the outlook for the fourth quarter, the company now expects LFL growth in revenue less pass-through costs to be down 5.5 percent to down 6.0 percent, compared to previous estimate of down 3 percent to down 5 percent.Further, the company now expects headline operating profit margin to be around 13 percent, compared to previous guidance of down 50 to 175 bps year on year excluding the impact of FX. For comments and feedback contact: editorial@rttnews.comBusiness News