Key Highlights

  • WPP (LSE:WPP) remains in focus on the FTSE 100 after rejoining the Blue-Chip index on 1 October 2026, less than a year after being relegated.
  • Q3 2026 Revenue less pass-through costs fell 2.1% like-for-like, a sharp improvement from a 4.7% fall in the first half and better than the roughly 3.2% decline expected by analysts.
  • Total Q3 revenue rose 0.5% to £3.27 billion, and full-year guidance was reiterated.
  • WPP Media returned to growth for the first time in several quarters, while WPP Production grew 2.5% but WPP Creative declined 5.1%.
  • The shares have nearly doubled from their March low of 218.5p, though Chief Financial Officer Joanne Wilson is leaving the business.

Why WPP (LSE:WPP) Is in Focus Today

WPP (LSE:WPP), one of the world's largest Advertising and Marketing services groups, remains among the most closely watched turnaround stocks in London on 3 November 2026. Just days after its third-quarter trading update, investors are still digesting evidence that the company's Elevate28 restructuring plan is starting to stabilise performance under Chief Executive Cindy Rose.

The shares rallied around 2.5% on results day, 29 October, opening at 400p against a previous close of 384.2p. The stock has staged a dramatic recovery in 2026, rising from a low of 218.5p on 23 March to an intraday high of 420p on 16 October. That rebound lifted WPP's Market Value enough to return to the FTSE 100 on 1 October, replacing Beazley after the insurer's takeover. The comeback story has generated strong interest across Investment platforms and social media.

Q3 2026 Trading Update in Detail

For the three months to 30 September 2026, WPP reported revenue of £3,274 million, up 0.5% on both a reported and like-for-like basis. Revenue less pass-through costs, the key measure of underlying performance, was £2,411 million, down 2.0% reported and 2.1% like-for-like. This was a clear improvement on the 2.8% decline recorded in the second quarter and the 4.7% fall in the first half.

For the first nine months, revenue was £9,647 million, down 2.8% reported and 1.9% like-for-like, while revenue less pass-through costs was £7,156 million, down 3.9% like-for-like. Management said performance in the quarter was in line with its expectations and reiterated full-year guidance.

Division by Division

WPP Media, which handles media planning and buying for global brands, returned to growth with a 0.3% like-for-like increase, compared with a 2.8% contraction in the second quarter. This is significant because media is WPP's largest Business and had been losing major clients to rivals.

WPP Production grew 2.5% in the third quarter, an improving trend from 1.3% in the second quarter, supported by new business wins and strong performance in Asia Pacific and Latin America.

WPP Creative, including WPP Enterprise Solutions, remained the weak spot, declining 5.1%, a deterioration from the 3.5% fall in the second quarter, as lower client spending was only partly offset by the ramp-up of new business wins.

The Elevate28 Plan

Elevate28 is WPP's strategy to simplify the group, reduce costs and return to growth by 2028. It focuses on integrating agencies into fewer, larger businesses, investing in the AI-powered WPP Open platform, and winning back clients through data, technology and creativity. The restructuring has involved significant cost savings and Job reductions. The narrowing decline in the third quarter suggests the plan is beginning to have an effect, although the group is still shrinking on an underlying basis.

Leadership Change

The update also confirmed that Chief Financial Officer Joanne Wilson is leaving WPP. Changes in the finance function during a turnaround can unsettle investors, and the market will be watching the succession process closely.

Industry Backdrop

The advertising industry is being reshaped by artificial intelligence, the growing power of tech platforms and pressure on client marketing budgets. Strong third-quarter results from a major French rival lifted sentiment towards the sector in October, suggesting Demand is improving in parts of the market. WPP's ability to use AI to improve efficiency and create new services will be central to its long-term competitiveness.

Valuation and Sentiment

Despite the rally, WPP trades on a relatively low Earnings multiple compared with its history, reflecting scepticism about its ability to return to growth. Around 5.8% of shares have been disclosed as sold short, indicating that a significant group of investors remains bearish. The shares were up around 17% year-to-date after the Q3 update.

Key Risks

Risks include further client losses, weaker marketing budgets in a slowing economy, disruption from AI and tech platforms, execution risk on restructuring, and Leadership changes. Currency movements also affect reported results due to WPP's global footprint.

What Investors Are Watching Next

Investors will watch for new business wins and losses, particularly major media accounts, the appointment of a new CFO, and evidence that Creative can stabilise. Full-year 2026 results in early 2027 will be the next major milestone, including margins, cash flow, dividends and guidance for 2027. Progress on Elevate28 cost savings and AI initiatives will remain central.