WPP PLC

WPP reported a 4.7% like-for-like decline in revenue less pass-through costs for the first half of 2026, while management pointed to improving quarterly trends, new-business momentum and progress on its Elevate28 restructuring plan. The second quarter showed a 2.8% decline, improving from a 6.7% drop in the first quarter, and the company maintained full-year headline operating-margin guidance of 12% to 13%. Headline operating profit was £398 million, producing an 8.4% margin, up 20 basis points from a year earlier, and the board declared an unchanged interim dividend of £0.075 per share. CEO Cindy Rose said WPP is in the stabilization phase of its three-year strategy, expecting a return to growth during 2027, and the company ranked first in J.P. Morgan's net new business rankings for the first half.

WPP reported first-half 2026 results in line with guidance, with like-for-like net sales declining 4.7 percent, a sequential improvement from a 6.7 percent drop in the first quarter to a 2.8 percent decline in the second quarter. The company ranked number one in JP Morgan's net new business rankings for the first half, securing landmark wins including Estee Lauder, Jaguar Land Rover, and Airbnb, while client retention improved with key renewals from Huawei, Tesco, and L'Oreal. WPP also launched WPP Enterprise Solutions and a new Commerce Practice, deepened AI partnerships with Google, Adobe, Meta, AWS, and Microsoft, and completed over 15 non-core asset disposals generating more than 200 million pounds in sales proceeds. China returned to growth, up double-digits in the second quarter, and the healthcare and auto sectors returned to growth in the second quarter. However, headline diluted EPS fell 24.5 percent year-on-year to 15.1 pence, and the company expects the drag from net new business to persist throughout 2026, with gross client losses estimated at the top end of the 500 to 600 basis point range.

Omnicom Group shares jumped 5.1% in afternoon trading after reports indicated its media group secured the global media account for athletic apparel giant Adidas, a deal valued at over $500 million. Omnicom Media Group's PHD agency will reportedly lead the account, taking over from competitor WPP, which previously managed the business. Adidas's annual media expenditures are estimated to be between $512 million and $560 million, according to different media reports. The win signals a potential boost in future revenue and market share for Omnicom, driving positive investor sentiment.

Omnicom Group drives growth through its diversified offerings across advertising, marketing, and corporate communications, reducing dependence on single revenue streams. The company's strategic investments in technology, data, analytics, and precision marketing, along with its acquisition of Interpublic in November 2025, enhance operational efficiency and support long-term growth. Omnicom paid dividends of $562.7 million, $552.7 million, and $549.6 million, while repurchasing shares worth $570.8 million, $370.7 million, and $707.9 million in 2023, 2024, and 2025, respectively. However, low liquidity with a current ratio of 0.91 at the end of the first quarter of 2026 and stiff competition from companies such as WPP and Publicis Groupe dampen profitability. In the first quarter of 2026, Omnicom reported earnings of $1.90 per share, missing the Zacks Consensus Estimate of $1.91 per share, while total revenues of $6.2 billion topped the consensus estimate of $6 billion and rose 69.2% year over year.

Omnicom Media has been recognized as the world's largest media management organization in the COMvergence Final 2025 Global & Regional Billings Rankings, with total billings of $75.6 billion. The report marks the first official confirmation of the company's global billings scale since Omnicom Media Group and IPG Mediabrands combined following Omnicom's acquisition of IPG in late November 2025. Omnicom Media holds 31% of all global billings managed by the world's major media groups, finishing $11.8 billion ahead of second-ranked WPP and $13.2 billion ahead of third-ranked Publicis. The company also rose to number one in North America with $35.9 billion in billings, $3.9 billion ahead of Publicis Media, and in the USA with $33.1 billion. In LATAM, Omnicom Media closed the year at the top with $2.3 billion in billings, approximately $500 million ahead of Havas Media Network. The rankings also reflect the impact of major account wins in 2025, including Amazon, Paramount, and Volvo. At the agency level, OMD retained its position as the world's leading media agency network, managing $26.9 billion in billings worldwide.