Global advertising giant WPP has cut its workforce by around 4,000 since the start of the year as profits plunged in a “challenging” first half.
The firm said the number of staff employed by the group dropped by 3.7% to 104,000 over the first six months of 2025.
Job losses were largely focused on its WPP Media business while it also moved to reduce its workforce through natural staff turnover to cut costs in the face of tougher trading.
Since June last year, the group has seen 7,000 roles go, although around 1,400 roles were stripped out with the sale of communications agency FGS Global in December last year.
The group reported pre-tax profits tumbling to £98 million for the six months to June 30, down from £338 million a year earlier.
WPP’s outgoing chief executive Mark Read, who will be replaced by former Microsoft UK boss Cindy Rose on September 1, said: “It has been a challenging first half given pressures on client spending and a slower new business environment.
“We have, however, made significant progress on the repositioning of WPP Media, simplifying its organisational model to increase effectiveness and reduce costs.”
The group halved its interim dividend payout to 7p per share, saying it would allow “our incoming CEO to review the group’s strategy and capital allocation policy while maintaining financial flexibility”.
“The priority is to drive sustainable growth supported by an appropriate level of financial flexibility while balancing returns to shareholders,” he added.
Shares, which have fallen to their lowest level in 16 years amid recent trading woes, fell another 2% in morning trading on Thursday.
WPP – which owns agencies such as Ogilvy and VML – warned over annual profits in July as clients cut spending amid global economic uncertainty, with trading worsening over the second quarter.
It saw revenues fall 7.8% in the first half, down 2.4% on a like-for-like basis, with the decline picking up pace to 5.8% in the second quarter.
WPP said it continues to expect full-year results in line with the lowered guidance given in July.
Mr Read is leaving after seven years at the helm and a three-decade career at WPP.
His successor has worked at Microsoft for nine years, most recently as its chief operating officer for global enterprise.
She was previously the president of the technology giant for Western Europe, and the chief executive of the UK business.
Recruiting Ms Rose is seen as aligning with WPP’s efforts to sharpen its focus on artificial intelligence (AI) and digital transformation, in a bid to keep up with rapidly evolving demands.
