WPP is the world leader in communications services. It comprises leading companies in all these disciplines:
In June 2013, WPP was named Holding Company of the Year at the Cannes International Festival of Creativity for the third year running and was ranked the World's Most Effective Holding Company in the Effie Global Effectiveness Index for the second year in a row.
Collectively, over 165,000* people work for WPP companies
The Group has 3,000 offices in 110 countries
Between them, our companies work with:
of the Fortune Global 500
of the Dow Jones 30
of the NASDAQ 100
of the Fortune e-50
Nearly 480 clients are served in four disciplines
These 480 clients account for over 57% of the Group revenues
Almost 760 clients are now served in three distinct disciplines
Group companies also work with almost 360 clients across six or more countries
WPP, the parent company, complements our operating companies in three distinct ways.
Revenues up 3.5% to £10.4 billion, exceeding all our competitors for the fifth consecutive year
Headline PBIT up over 7%, and up 11% in constant currencies
Dividends increased by almost 16%, a record level
Reported profit before tax up over 8% to £1.092 billion
Diluted headline earnings per share up over 8% to an all-time high
Focus on four core strategic priorities: faster-growing markets, new media, new technology and ‘horizontality’
|Headline operating profit2||£1,459m||£1,365m||+6.9|
|Reported operating profit||£1,241m||£1,192m||+4.1|
|Headline PBIT margin2||14.8%||14.3%||+0.5|
|Headline diluted earnings per share2,4||73.4p||67.7p||+8.4|
|Reported diluted earnings per share4||62.8p||64.5p||-2.6|
|Ordinary dividend per share||28.51p||24.60p||+15.9|
|Ordinary dividend per ADR3||$2.26||$1.97||+14.7|
|Net debt at year-end||£2,821m||£2,465m||+14.4|
|Average net debt5||£3,203m||£2,811m||+13.9|
|Ordinary share price at year-end||888.0p||675.5p||+31.5|
|ADR price at year-end||$72.90||$52.23||+39.6|
|Market capitalisation at year-end||£11,237m||£8,554m||+31.4|
|At 17 April 2013|
|Ordinary share price||1,027.0p|
Continue to improve operating margins
Increase flexibility in the cost structure
Use free cash flow to enhance share owner value and improve return on capital
Continue to develop the value added by the parent company
Emphasise revenue growth more as margins improve
Improve still further the creative capabilities and reputation of all our businesses
Increase the combined geographic share of revenues from the faster-growing markets of Asia Pacific, Latin America, Africa and the Middle East, and Central and Eastern Europe to 35-40%.
Increase the share of revenues of new media to 35-40%.
Increase the share of more measurable marketing services – such as Consumer Insight and direct, digital and interactive – to be more than 50% of revenues, with a focus on the application of new technology, big data and digital.
Achieve ‘horizontality’ by ensuring our people work together for the benefit of clients, primarily through two horizontal integrators: client leaders and Country Managers.
|Value of client business supported by our sustainability credentials*||$1.2bn||$1bn||–|
|Gender diversity (% of women total employees)||54%||54%||54%|
|Gender diversity (% of women Board directors/executive leaders)||32%||31%||31%|
|Investment in training and welfare||£57.8m||£58.3m||£48.9m|
|Carbon footprint (tonnes of CO2 per person)||2.45||2.44||2.51|
|Social investment (£ million)||£16.2m||£15.3m||£14.3m|
Our five areas of focus are:
During 2012, WPP’s sustainability program was recognised with:
During 2012, WPP’s 2011 Annual Report was recognised with:
WPP’s CEO on grey swans, the decade of Latin America, big data and the growth of digital in its myriad forms, horizontality, and the recruitment and nurturing of talent from around the world.
Download Martin Sorrell’s article:
Industry sage and WPP advisor, Jeremy Bullmore, reads his latest essay, Lessons to be Learned from Robert McNamara and a Pair of Long-handled Toe-nail Clippers.
WPP’s unique three-year Marketing Fellowships are creating the future generation of leaders for WPP companies all over the world.
Director Jon Steel describes the program.
Since 1998 WPP, in association with Millward Brown, has published definitive studies of brand valuations, analysis and insights on 60,000 brands in over 200 categories drawn from interviews with over 150,000 people every year in up to 400 studies around the world.
In the BrandZ Top 100 Most Valuable Brands 2013, the top10 brand value growth risers score significantly higher than average on the BrandZ™ equity measures of Meaningful, Different and Salient. Prada grew the most in brand value, by +63%.
WPP’s third annual Top 50 Most Valuable Chinese Brands 2013 study provides further evidence of the growing importance of brand equity in China.
The BrandZ Top 50 Most Valuable Latin American Brands 2012 rankings corroborate the increasing importance of the world’s fast-growing markets and confirms that Lat Am brands are now competing with global brands.