LONDON: WPP Group on February 23 released unaudited results for FY2006 that shows revenues of $11.57 billion were up 9.9% compared with the previous year, including the firm's various acquisitions.Excluding acquisitions, revenues rose about 5.4%.
Public relations and public affairs work accounted for 10.1% of the total revenue, while advertising, media management, and consulting accounted for 47.5%, and branding, healthcare, and other specialized communications accounted for 27.3% of the total.
Among other results, billings increased 13% compared with 2005, totaling approximately $59 billion, including new net billings estimated at $6.4 billion. Profit before tax rose 15.2%, to around $1.34 billion, the firm said.
Ogilvy Public Relations Worldwide, Hill & Knowlton, Burson-Marsteller, and Cohn & Wolfe were cited as posting particularly strong results in PR and public affairs, though the holding company did not discuss individual results.
Addressing concern by some investors and financial commentators that WPP has become too big and unwieldy, including as it does some 100 companies employing more than 98,000 people, the firm said, in a statement, that it is “no single, monolithic entity” and that the 2006 results represent “many tens of thousands of totally separate projects … and all were won against open and highly respected competition.”