Advertising company WPP (WPP) gained 3% to 979.2p as it enjoyed the key milestone of seeing a return to like-for-like growth across all of its business units.

The first quarter numbers suggest CEO Mark Read’s turnaround of the group, after the acrimonious departure of founder Martin Sorrell in 2018, is getting back on course after being interrupted by the pandemic.

Revenue for the three months through March increased to £2.9 billion, with growth on a like-for-like basis of 6.3%. The company also announced it had secured net new business wins worth $1.3 billion.

‘WPP has had a strong start to the year with a return to growth in all business lines and most major markets,’ Read said.

STRENGTHS ‘RESONATING WITH CLIENTS’

‘Our strengths in ecommerce, digital media and technology, combined with our ongoing investment in creative talent, are resonating with clients as their markets recover and they seek to transform their offer for future growth.’

Shore Capital analyst Roddy Davidson commented: ‘We are encouraged to note the positive momentum and on-going strategic progress described in today’s update.

‘This chimes with the cautious optimism expressed at the time of the group’s full year results and adds to our conviction that management action (including simplifying operations, improving internal cooperation, investing in technology, reducing debt and pursuing a disciplined capital allocation policy) has strengthened WPP’s competitive position.’

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Issue Date: 28 Apr 2021