Friday, 26 October 2018

WPP shares dive 14% as growth slows

Shares in WPP have closed down nearly 14% after the advertising giant warned that growth in the business is slowing.

The firm, whose former boss Sir Martin Sorrell stepped down in April after a scandal, reported lower-than-expected third quarter sales and slashed its full-year outlook.

The world's biggest adverting firm is overhauling its business amid mounting competition from Google and Facebook.

New boss Mark Read called for "radical thinking" to turn the company around.

"Our industry is facing structural change, not structural decline, but in the past we have been too slow to adapt, become too complicated and have under-invested in core parts of our business," he said.
"There is much to do and we have taken a number of critical actions to address these legacy issues and improve our performance."

BBC     News.

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