LONDON: The b-to-b downturn in the US brought growth for WPP's
public relations sector in the first half of the year to a dramatic
WPP's overall results showed revenues up 65% to $2.8 billion, and
pretax profit up 80% to $356.5 million.
But public relations and public affairs sector growth didn't even hit
the 1% mark, and like-for-like revenues fell by more than 3%.
Primarily due to acquisitions (including Young & Rubicam), PR revenues
grew by 88% to $419 million. However, including Y&R's PR firms -
Burson-Marsteller; Robinson, Lerer & Montgomery; and Cohn & Wolfe - on a
pro-forma basis, revenue growth was 0.8%.
With WPP reallocating some PR revenues to other divisions, it reported
PR revenues of $370 million (£264.5m) compared with $170 million (£121.5m) in the same period last year. Profit margins
fell from 15.3% to 10.89%.