British Communication & Advertising Company WPP Cuts FY23 Outlook Again On Cautious Spending Trends
Portfolio Pulse from Lekha Gupta
WPP PLC has disclosed a Q3 trading update, with a revenue decline of 1.8% Y/Y on a reported basis and an increase of 2.3% on a like-for-like basis. The company's performance continues to be impacted by cautious spending trends, mainly across technology clients. WPP has lowered its FY23 outlook for LFL revenue less pass-through costs growth to 0.5%-1.0% and now expects a headline operating margin of 14.8-15.0%. WPP shares are trading lower by 1.47% at $40.97 premarket on the last check Thursday.
October 26, 2023 | 11:46 am
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NEGATIVE IMPACT
WPP's Q3 revenue declined by 1.8% Y/Y and the company has lowered its FY23 outlook due to cautious spending trends. This has led to a decrease in the premarket trading price of WPP shares.
WPP's Q3 revenue decline and the lowering of its FY23 outlook indicate a negative financial performance. This has likely led to the decrease in the premarket trading price of its shares, suggesting a negative short-term impact on the stock.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100