Ad Giant WPP Stock Sinks on Weak Revenue Outlook | Global News Avenue

WPP PLC’s US listed shares (WPP) The giant advertising agency’s revenue fell 15% Thursday, providing soft guidance as North American and Chinese sales glided.

London-based agency owners, including GroupM and VML, reported smaller revenues in the fourth quarter, with lower tolls down 2.3% year-on-year. In the rest of the world, North America fell 1.4%, in the UK it fell 5.1%, in the tolls with smaller incomes fell 4.8%, and in China it fell 21.2%. The growth rate in western Europe was 1.4%.

CEO Mark Read said sales were “affected by customer discretionary spending”. “Given the overall macro environment, we remain cautious, but we are confident in our medium-term goals and believe in our focus on innovation, but simpler customer-facing quotes and operational excellence will support our growth and bring greater value to shareholders,” Read added.

WPP believes that revenues for the whole year are smaller, with less tolls flat to 2%, and the lack of visible Alpha estimates increased by 0.35%.

The news brought WPP listed stocks into negative territory over the past year.