WPP plc (NYSE:WPP) Q4 2023 Earnings Conference Call February 22, 2024 4:30 AM ET Company Participants Mark Read - CEO Joanne Wilson - CFO Tom Waldron - Head, IR Conference Call Participants Laura Metayer - Morgan Stanley Lisa Yang - Goldman Sachs Nicolas Langlet - BNP Paribas Tom Singlehurst - Citi Adrien de Saint Hilaire - Bank of America Julien Roch - Barclays Adam Berlin - UBS Mark Read Thank you very much and welcome everybody to WPP's Preliminary Results for 2023. I'm Mark Read. I'm joined here by Joan ...

| --- | --- | --- | --- | --- | |---------------------|---------|-------|-------|-------| | | | | | | | | | | | | | | | | | | | Q3 UPDATE | TRADING | | | | | 26 October 2023 | | | | | CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS This document contains statements that are, or may be deemed to be, "forward-looking statements". Forward- looking statements give the Company's current expectations or forecasts of future events. An investor can identify these statements by the fact that they do not re ...

WPP PLC (NYSE:WPP) Q2 2023 Earnings Conference Call August 4, 2023 4:30 AM ET Company Participants Mark Read - Chief Executive Officer Joanne Wilson - Chief Financial Officer Conference Call Participants Lisa Yang - Goldman Sachs Julien Roch - Barclays Matthew Walker - Credit Suisse Tom Singlehurst - Citi Mark Read Thank you very much and welcome everyone to WPP's First Half Results. I'm here in London with Joanne Wilson, our CFO at her first set of results; and Tom Waldron, who leads our Investor Relations ...

| --- | --- | --- | --- | --- | --- | --- | --- | |---------------------------------|-------|-------|-------|-------|-------|-------|-------| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | INTERIM RESULTS 04 August 2023 | | | | | | | | | | | | | | | | | CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS This document contains statements that are, or may be deemed to be, "forward-looking statements". Forward- looking statements give the Company's current expectations or fore ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 _____________________ FORM 6-K ____________________ Report of Foreign Private Issuer Pursuant to Rule 13a-16 or 15d-16 under the Securities Exchange Act of 1934 For the Month of August 2023 Commission File Number: 001-38303 ______________________ WPP plc (Translation of registrant's name into English) ________________________ Sea Containers, 18 Upper Ground London, United Kingdom SE1 9GL (Address of principal executive offices) Indicate ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 20-F ¨ SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Date of event requiring this shell company report _________ (Mark One) ¨ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31 2022 OR ¨ TRANSITION REPORT PURSUANT TO ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 _____________________ FORM 6-K ____________________ Report of Foreign Private Issuer Pursuant to Rule 13a-16 or 15d-16 under the Securities Exchange Act of 1934 For the Month of March 2023 Commission File Number: 001-38303 ______________________ WPP plc (Translation of registrant's name into English) ________________________ Sea Containers, 18 Upper Ground London, United Kingdom SE1 9GL (Address of principal executive offices) _________ ...

WPP PLC (NYSE:WPP) Q4 2022 Earnings Conference Call February 23, 2023 9:00 AM ET Company Participants Mark Read - CEO John Rogers - CFO Conference Call Participants Timothy Nollen - Macquarie Research Michael Nathanson - MoffettNathanson Douglas Arthur - Huber Research Partners Operator Good afternoon, ladies and gentlemen, and thank you for standing by. Welcome to WPP Preliminary Financial Results Conference Call and Webcast. [Operator Instructions]. Today's conference is being recorded. At this time, I wo ...

2022 Preliminary Results [Full Year 2022 Performance Highlights](index=2&type=section&id=Full%20Year%202022%20Performance%20Highlights) WPP reported strong 2022 growth across key metrics, including a 12.7% revenue increase and 25.5% headline diluted EPS growth, while returning over £1.1 billion to shareholders FY 2022 Key Financial Figures (£ million) | | 2022 | 2021 | +/(-)% reported | +/(-)% LFL | | :--- | :--- | :--- | :--- | :--- | | Revenue | 14,429 | 12,801 | 12.7 | 6.7 | | Revenue less pass-through costs | 11,799 | 10,397 | 13.5 | 6.9 | | **Reported:** | | | | | | Operating profit | 1,358 | 1,229 | 10.5 | - | | Diluted EPS (p) | 61.2 | 52.5 | 16.6 | - | | Dividends per share (p) | 39.4 | 31.2 | 26.3 | - | | **Headline:** | | | | | | Operating profit | 1,742 | 1,494 | 16.6 | 10.0 | | Operating profit margin | 14.8% | 14.4% | 0.4pt | 0.4pt | | Diluted EPS (p) | 98.5 | 78.5 | 25.5 | - | - The company achieved strong performance across its major agencies, with GroupM LFL revenue less pass-through costs up **9.1%**, Public Relations up **8.2%**, and Specialist Agencies up **5.6%**[17](index=17&type=chunk) - WPP won **$5.9 billion** in net new business, including key assignments with Audible, Danone, SC Johnson, and Verizon[17](index=17&type=chunk)[34](index=34&type=chunk) - The transformation program delivered gross annual savings of approximately **£375 million** against a 2019 base, surpassing the planned **£300 million**[17](index=17&type=chunk) - Over **£1.1 billion** was returned to shareholders in 2022, comprising **£807 million** in share buybacks and **£365 million** in dividends[17](index=17&type=chunk) [Overview and Strategic Progress](index=4&type=section&id=Overview%20and%20Strategic%20Progress) WPP's 2022 performance was driven by strong client demand, strategic acquisitions, and transformation progress within a resilient global advertising market, while addressing geopolitical impacts [Market Environment](index=4&type=section&id=Market%20Environment) The global advertising market grew 6.5% in 2022, driven by digital and retail media, with 5.9% growth projected for 2023 including a China rebound - Global advertising spend grew by **6.5%** in 2022, slightly lower than forecast due to slower growth in China[21](index=21&type=chunk) - Digital advertising grew **9.3%** in 2022, making up **67%** of total advertising, with retail media estimated at **$110.7 billion**[22](index=22&type=chunk) - GroupM forecasts **5.9%** growth in global advertising spend for 2023, including a projected **6.3%** rebound in China[25](index=25&type=chunk) [Performance, Clients, and Partnerships](index=4&type=section&id=Performance,%20Clients,%20and%20Partnerships) Since 2019, WPP achieved 10% LFL growth, bolstered by strong client demand in key sectors, securing $5.9 billion in new billings and expanding strategic tech partnerships - Since 2019, LFL revenue less pass-through costs has grown **10%**, headline operating profit is **15%** higher, and headline EPS has grown by **26%**[30](index=30&type=chunk) - Key client sectors (technology, healthcare & pharma, CPG) showed strong three-year LFL growth of **27.9%**, **19.4%**, and **21.4%** respectively[33](index=33&type=chunk) - Secured **$5.9 billion** of net new billings in 2022, with key wins including Audible, Danone, SC Johnson, and Verizon[34](index=34&type=chunk) - Formed new strategic partnerships with Instacart, Stripe, and BigCommerce to bolster commerce and digital capabilities for clients[37](index=37&type=chunk) [Investments, Transformation, and Creativity](index=5&type=section&id=Investments,%20Transformation,%20and%20Creativity) WPP invested £237 million in strategic acquisitions, exceeded its transformation savings target with £375 million, and was recognized as the most creative company for the second consecutive year - Invested a net **£237 million** in acquisitions, focusing on high-growth areas such as influencer marketing, marketing technology, and ecommerce in regions like North America and Latin America[42](index=42&type=chunk) - The transformation programme delivered **£375 million** in gross annual savings, ahead of the **£300 million** plan, and is on track to reach its **£600 million** target by 2025[17](index=17&type=chunk)[46](index=46&type=chunk)[47](index=47&type=chunk) - Continued to expand its campus program, opening **five** new locations in 2022, bringing the total to **36** campuses housing approximately **half** of its employees[48](index=48&type=chunk) - Recognized as the most creative company of the year at the Cannes Lions International Festival of Creativity for the second year in a row[39](index=39&type=chunk) [Purpose and Sustainability](index=6&type=section&id=Purpose%20and%20Sustainability) WPP advanced its purpose-driven strategy, committing to net-zero emissions by 2025/2030, and made significant strides in DEI, including a $30 million investment for racial equity - Committed to reaching net-zero carbon emissions in direct operations (Scope 1 & 2) by **2025** and across its supply chain (Scope 3) by **2030**, with targets verified by the Science-Based Targets initiative (SBTi)[59](index=59&type=chunk) - GroupM launched a media decarbonisation framework and a client coalition representing **$10 billion** in ad investment to accelerate the decarbonisation of the media supply chain[60](index=60&type=chunk) - Pledged to invest **$30 million** over three years to fund inclusion programs and support external organizations to advance racial equity[58](index=58&type=chunk) - Expanded employee support programs, including training over **550** Mental Health Allies and launching women's network Stella across EMEA[55](index=55&type=chunk)[57](index=57&type=chunk) [Outlook and Guidance](index=7&type=section&id=Outlook%20and%20Guidance) WPP guides for 3-5% LFL growth and around 15% headline operating margin in 2023, with medium-term targets of 3-4% growth and 15.5-16.0% margin, noting a £40-50 million Kantar income non-recognition 2023 Guidance | Metric | Guidance | | :--- | :--- | | LFL revenue less pass-through costs growth | 3% to 5% | | Headline operating profit margin | Around 15% (ex-FX) | | Capex | £300 million | | Restructuring costs | Around £180 million | | Effective tax rate | Around 27.0% | Medium-Term Guidance | Metric | Guidance | | :--- | :--- | | Annual revenue less pass-through costs growth | 3% to 4% | | M&A contribution to growth | 0.5% to 1.0% | | Headline operating profit margin | 15.5% to 16.0% | - Due to the carrying value of the investment in Kantar reaching zero, WPP expects that around **£40-50 million** of Kantar's headline income will not be recognized in its 2023 results[66](index=66&type=chunk) [Financial Review](index=8&type=section&id=Financial%20Review) WPP's 2022 financial performance was strong, with 12.7% reported revenue growth and a 40 basis point margin improvement, though adjusted net debt increased to £2.5 billion due to shareholder returns [Overall Financial Results](index=8&type=section&id=Overall%20Financial%20Results) Reported profit before tax rose 22.0% to £1.2 billion, headline diluted EPS grew 25.5% to 98.5p, and the operating margin improved by 40 basis points, leading to a 39.4p full-year dividend Headline Income Statement Summary (£ million) | | 2022 | 2021 | +/(-) % reported | | :--- | :--- | :--- | :--- | | Revenue less pass-through costs | 11,799 | 10,397 | 13.5 | | Operating profit | 1,742 | 1,494 | 16.6 | | Profit before tax | 1,602 | 1,365 | 17.3 | | Profit attributable to shareholders | 1,100 | 954 | 15.3 | | Diluted EPS | 98.5p | 78.5p | 25.5 | - Headline operating profit margin increased by **40 basis points** to **14.8%**, supported by transformation savings and operating leverage[87](index=87&type=chunk)[88](index=88&type=chunk) - Reported diluted EPS was **61.2p**, while headline diluted EPS grew **25.5%** to **98.5p**[93](index=93&type=chunk) - The Board proposed a final dividend of **24.4p**, bringing the total for 2022 to **39.4p**, an increase of **26.3%** year-on-year[9](index=9&type=chunk)[94](index=94&type=chunk) [Business Sector Review](index=8&type=section&id=Business%20Sector%20Review) All business sectors achieved positive LFL growth in 2022, with Global Integrated Agencies up 6.9%, Public Relations up 8.2%, and Specialist Agencies up 5.6%, reflecting broad client demand FY 2022 Revenue Less Pass-Through Costs by Sector (£ million) | Sector | 2022 | 2021 | +/(-) % reported | +/(-) % LFL | | :--- | :--- | :--- | :--- | :--- | | Global Integrated Agencies | 9,742 | 8,683 | 12.2 | 6.9 | | Public Relations | 1,157 | 910 | 27.1 | 8.2 | | Specialist Agencies | 900 | 804 | 11.9 | 5.6 | | **Total Group** | **11,799** | **10,397** | **13.5** | **6.9** | FY 2022 Headline Operating Profit by Sector (£ million) | Sector | 2022 | % margin | 2021 | % margin | | :--- | :--- | :--- | :--- | :--- | | Global Int. Agencies | 1,432 | 14.7 | 1,222 | 14.1 | | Public Relations | 191 | 16.5 | 143 | 15.7 | | Specialist Agencies | 119 | 13.2 | 129 | 16.0 | | **Total Group** | **1,742** | **14.8** | **1,494** | **14.4** | [Regional Review](index=9&type=section&id=Regional%20Review) All geographic regions showed positive LFL growth in 2022, with North America up 6.6% and Rest of World up 8.0%, despite a Q4 decline in China due to lockdowns FY 2022 Revenue Less Pass-Through Costs by Region (£ million) | Region | 2022 | 2021 | +/(-) % reported | +/(-) % LFL | | :--- | :--- | :--- | :--- | :--- | | North America | 4,688 | 3,849 | 21.8 | 6.6 | | United Kingdom | 1,537 | 1,414 | 8.7 | 7.6 | | W. Continental Europe | 2,319 | 2,226 | 4.2 | 5.5 | | AP, LA, AME, CEE | 3,255 | 2,908 | 11.9 | 8.0 | | **Total Group** | **11,799** | **10,397** | **13.5** | **6.9** | FY 2022 Headline Operating Profit by Region (£ million) | Region | 2022 | % margin | 2021 | % margin | | :--- | :--- | :--- | :--- | :--- | | North America | 771 | 16.4 | 656 | 17.0 | | United Kingdom | 187 | 12.3 | 181 | 12.8 | | W. Continental Europe | 301 | 13.0 | 289 | 13.0 | | AP, LA, AME, CEE | 483 | 14.8 | 368 | 12.7 | | **Total Group** | **1,742** | **14.8** | **1,494** | **14.4** | - In Q4, LFL revenue less pass-through costs in China declined by **8.4%** due to widespread COVID-related lockdowns[10](index=10&type=chunk)[85](index=85&type=chunk) [Cash Flow and Balance Sheet](index=11&type=section&id=Cash%20Flow%20and%20Balance%20Sheet) Net cash outflow increased to £1,398 million in 2022, driven by working capital and shareholder returns, leading to adjusted net debt rising to £2.5 billion, with an average net debt/EBITDA ratio of 1.46x Cash Flow Summary (£ million) | Twelve months ended | 31 December 2022 | 31 December 2021 | | :--- | :--- | :--- | | Adjusted free cash flow | 53 | 1,265 | | Disposal proceeds | 51 | 77 | | Net initial acquisition payments | (274) | (464) | | Dividends | (365) | (315) | | Share repurchases and buybacks | (863) | (819) | | **Net cash flow** | **(1,398)** | **(256)** | - Adjusted net debt at year-end was **£2.5 billion**, up from **£0.9 billion** in 2021, primarily reflecting **£1,172 million** returned to shareholders (**£807 million** buybacks and **£365 million** dividends)[96](index=96&type=chunk) - The average adjusted net debt to EBITDA ratio for 2022 was **1.46x**, slightly below the target range of **1.5 - 1.75x**[98](index=98&type=chunk) [Appendix 1: Unaudited Preliminary Consolidated Financial Statements](index=12&type=section&id=Appendix%201%3A%20Unaudited%20Preliminary%20Consolidated%20Financial%20Statements) This appendix presents the unaudited consolidated financial statements for 2022, including the Income Statement, Balance Sheet, and Cash Flow Statement, with detailed notes on segmental performance, taxation, and debt - The appendix contains the full unaudited consolidated financial statements: Income Statement, Statement of Comprehensive Income, Cash Flow Statement, Balance Sheet, and Statement of Changes in Equity[101](index=101&type=chunk)[103](index=103&type=chunk)[105](index=105&type=chunk)[107](index=107&type=chunk) - The notes to the financial statements provide detailed breakdowns and accounting policies, covering areas such as segmental analysis (Note 7), taxation (Note 8), debt (Note 12), and financial instruments (Note 21)[116](index=116&type=chunk)[137](index=137&type=chunk)[140](index=140&type=chunk)[154](index=154&type=chunk) - The financial statements were prepared in accordance with IFRS recognition and measurement criteria, but the announcement does not constitute full statutory accounts[117](index=117&type=chunk)[119](index=119&type=chunk)[121](index=121&type=chunk) [Principal Risks and Uncertainties](index=34&type=section&id=Principal%20risks%20and%20uncertainties) The company identifies principal risks across strategic, operational, financial, and compliance categories, including economic downturns, client loss, cyber-attacks, and data privacy, with emerging climate-related risks - Strategic and External Risks include adverse economic conditions, geopolitical tension, failure to execute the strategic plan, and risks associated with the IT transformation[180](index=180&type=chunk)[181](index=181&type=chunk)[184](index=184&type=chunk)[185](index=185&type=chunk) - Operational Risks involve the potential loss of a major client, failure to attract and retain key talent, reputational damage, and cyber-attacks[186](index=186&type=chunk)[188](index=188&type=chunk)[189](index=189&type=chunk)[190](index=190&type=chunk) - Compliance Risks stem from data protection and privacy legislation, environmental regulations, and laws concerning anti-corruption, sanctions, and taxation[191](index=191&type=chunk)[192](index=192&type=chunk)[193](index=193&type=chunk)[195](index=195&type=chunk) [Appendix 2: Alternative performance measures for the year ended 31 December 2022](index=36&type=section&id=Appendix%202%3A%20Alternative%20performance%20measures%20for%20the%20year%20ended%2031%20December%202022) This appendix defines and reconciles key non-GAAP financial metrics like 'revenue less pass-through costs' and 'headline operating profit', used for internal analysis and comparability, and includes a glossary of terms - Defines 'Revenue less pass-through costs' as revenue minus directly charged client costs (predominantly media), which management believes better reflects top-line growth[204](index=204&type=chunk)[237](index=237&type=chunk) - Defines 'Headline operating profit' by excluding significant, non-recurring, or volatile items such as goodwill impairment, restructuring costs, and gains/losses on disposals to assess the underlying performance of the business[205](index=205&type=chunk)[228](index=228&type=chunk) - Explains that 'Like-for-like' (LFL) comparisons are calculated on a constant currency basis and adjusted for the impact of acquisitions and disposals to illustrate underlying performance trends[216](index=216&type=chunk)[236](index=236&type=chunk)

Financial Data and Key Metrics Changes - WPP reported a net sales growth of 8% in the first half of 2022, with a slight decrease to 8.3% in Q2 compared to Q1, reflecting strong demand from clients [4] - The company raised its guidance for net sales growth for 2022 from 5.5% - 6.5% to a revised range of 6% - 7% [8] - The headline operating margin is expected to increase by approximately 50 basis points for the year [8] Business Line Data and Key Metrics Changes - Integrated agencies grew by 8.2%, with media showing a stronger performance, while creative agencies grew around 6% in Q2 [4] - Public relations saw a growth of 7.3%, and specialist agencies outperformed with a growth of 10.9% [4] - Digital growth decreased from 32% in the previous year to 12% in the first half of 2022, indicating a slowdown in certain digital categories [11][16] Market Data and Key Metrics Changes - Growth was observed across all major markets, particularly in the U.S., which accelerated WPP's overall growth [5] - China experienced a decline of 6.1% in Q2 due to lockdown impacts, contrasting with an 11.9% growth in Q1 [20] Company Strategy and Development Direction - WPP continues to invest in organic initiatives and M&A, including the acquisition of Bower House Digital and Corebiz [7] - The transformation program is on track to deliver GBP 300 million in savings this year, with a focus on simplifying the business and integrating services [8] - The company aims to pivot into high-growth areas such as commerce, experience, and technology [52] Management's Comments on Operating Environment and Future Outlook - Management anticipates a slower second half of 2022 compared to the first half, with uncertainty surrounding 2023 [12][15] - There is a recognition of the importance of marketing investment during economic downturns, with clients showing a greater appreciation for brand building [48] - The company is well-positioned to navigate the uncertain business environment due to its stronger balance sheet and structural cost-saving opportunities [52] Other Important Information - WPP executed GBP 637 million of its GBP 800 million share buyback program in the first half of the year [8] - The company is focusing on helping clients navigate the complexities of data collection and privacy regulations [22][24] Q&A Session Summary Question: Concerns about digital growth slowdown - Management acknowledged a slowdown in digital growth but emphasized that overall demand remains strong, with no significant cuts from clients [12][15] Question: Expectations for China market recovery - Management expects a slight recovery in China in the second half, but it is not a significant part of the overall business [19][20] Question: Impact of third-party cookie elimination delay - Management stated that the delay does not significantly change their strategy, as clients need help navigating the evolving data landscape [22][24] Question: Margin performance and operating leverage - Management provided insights on expected margin improvements in the second half, driven by various cost factors [26][29] Question: Price rises to offset inflation - Management reported a 1.5% to 2% benefit from price rises, with efforts to push through increases to a broader client base [31][39] Question: Transformation business growth - Management indicated that transformation-related services account for about 20% of the business and are expected to grow, though not recession-proof [41][42] Question: Share of associates result line - Management explained the decline in the associates line is primarily due to higher interest expenses at Kantar, with expectations for normalization next year [54][56]