WPP, reporting a slide in revenue and profits, announced a multi-year strategic plan including cost cutting and creating four key divisions.
The company aims to “simplify and integrate" client proposition, restore growth and drive long-term value for clients, talent and shareholders.
WPP says it will transition from a holding company structure to a single company with core operating units: WPP Media, WPP Creative, WPP Production and WPP Enterprise Solutions.
Media will be at the heart of an integrated proposition.
The advertising group, once the world’s largest, posted full year 2025 revenue of £13.55 billion, down 8.1% on a reported basis and down 3.6% like-for-like.
“My first six months as CEO have only reinforced my conviction that WPP is an extraordinary company,” said Cindy Rose who took over the company from Mark Read last year.
“As our clients navigate uncertainty, AI disruption and macro-volatility, we're looking ahead with a clear and focused mission: to be the trusted growth partner for the world's leading brands in the era of AI.”
The company’s strategic plan includes new cost cutting of £500 million and a return to organic growth during 2027.
The company says WPP will emerge as a simpler, lower-cost, AI-enabled business.
Revenue growth will be driven by the “full integration” of media, creative, production and enterprise solutions, as well as the global scaling of agentic workflows.
The first step is to fix new business performance.
This means to build on actions at WPP Media to improve competitiveness, specifically in the US and UK.
“Today we are unveiling a bold plan for a simpler, more integrated WPP,” said Rose.
“Our intention is to stabilise the business, return to organic growth, create capacity to invest in the future and deliver attractive returns for our shareholders.
“WPP will become a single company, streamlined into four operating units across four regions, all unified by our pioneering agentic marketing platform, WPP Open.
“Our recent underperformance has been driven by excessive organisational complexity, a lack of an integrated operating model and inconsistent strategic execution.
“While disappointing, I see huge potential as these issues are all within our power to fix and we’re already making great progress.
“We have everything we need to succeed: exceptional talent, world-class capabilities, trusted data and technology solutions and ground breaking partnerships, as well as the scale and reach to service the most complex multi-national, multi-brand clients in the world.
“The momentum we are seeing from the decisive action we’ve already taken gives me the confidence that we’re on the right path to creating a WPP that is fit for the future and built to win.”
Have something to say on this? Share your views in the comments section below. Or if you have a news story or tip-off, drop us a line at adnews@yaffa.com.au
Sign up to the AdNews newsletter, like us on Facebook or follow us on Twitter for breaking stories and campaigns throughout the day.