Tariffs Have Little Effect on WPP Client Spending, CEO Confirms

British advertising group WPP reports that tariffs have not significantly impacted client spending, maintaining its annual guidance despite ongoing trade upheaval. The company previously forecasted a flat or slightly negative growth for the year, with revenue down 2.7% in the initial quarter.

British ad giant WPP announced on Friday that despite ongoing trade tensions, tariffs have not yet caused a significant decrease in client spending. The company affirmed its annual guidance while acknowledging that trade disruptions could eventually affect some of its clients.

Back in February, WPP had predicted that its growth for the year could be flat or possibly decline by 2%. In the first quarter, the company's revenue, excluding pass-through costs, declined by 2.7% to 2.48 billion pounds ($3.29 billion), on an underlying basis.

Chief Executive Officer Mark Read stated, "While WPP is not directly impacted by tariffs, they will affect several of our clients and the broader economy. So far, we've seen no major changes in client expenditure, allowing us to stand by our full-year projections, which already account for this challenging climate."

(With inputs from agencies.)