WPP reports worldwide growth

GLOBAL media group WPP has reported first half sales and revenue growth.

The business, which owns Manchester-based media buying firms MEC and Mediacom, as well as advertsing business Cheetham Bell JWT, said sales grew by 5% to £5bn.

Headline pre-tax profits jumped 12% to £467m.

The group generated most of its earnings in the US where revenue grew 6.2% to £1.7bn. In the UK operating profits grew 12% to £73m on sales of £591m, up 5.6%.

It said: “United Kingdom revenue growth improved over the first quarter and continued to show strong growth, with constant currency revenues up over 6% in the second quarter and up 3.5% like-for-like.

“The group’s media investment management businesses, the Ogilvy Group and Hogarth showed particularly strong growth.”

WPP also confirmed it will move its headquarters back to the UK following changes to tax rules on foreign subsidiaries. WPP moved to Ireland in 2008 to benefit from a corporation tax rate half that of the UK’s.