Exhibit
No.
|
Description
|
1
|
2020 Preliminary Results dated 11 March 2021, prepared by WPP
plc.
|
FOR
IMMEDIATE RELEASE
|
11
MARCH 2021
|
£
million
|
2020
|
+/(-)%
reported1
|
+/(-)%
LFL2
|
2019
|
Revenue
|
12,003
|
(9.3)
|
(7.3)
|
13,234
|
Revenue
less pass-through costs
|
9,762
|
(10.0)
|
(8.2)
|
10,847
|
|
|
|
|
|
Reported:
|
|
|
|
|
Operating
(loss)/profit
|
(2,278)
|
n/m3
|
-
|
1,296
|
(Loss)/profit
before tax
|
(2,791)
|
n/m
|
-
|
1,2144
|
Diluted
EPS (p)
|
(243.2)
|
n/m
|
-
|
68.24
|
Dividends
per share (p)
|
24.0
|
5.7
|
-
|
22.7
|
|
|
|
|
|
Headline5:
|
|
|
|
|
Operating
profit
|
1,261
|
(19.2)
|
(17.2)
|
1,561
|
Operating
profit margin
|
12.9%
|
(1.5)pt*
|
(1.4)pt*
|
14.4%
|
Profit
before tax
|
1,041
|
(23.6)
|
-
|
1,363
|
Diluted
EPS (p)
|
59.9
|
(23.3)
|
-
|
78.1
|
Investors and analysts
Peregrine
Riviere
Caitlin
Holt
Fran
Butera (US)
|
+44
7909 907193
+44
7392 280178
+1 914
484 1198
|
Media
Chris
Wade
Richard
Oldworth,
Buchanan
Communications
wpp.com/investors
|
+44 20
7282 4600
+44 20
7466 5000
+44
7710 130 634
|
£
million
|
2020
|
2019
|
+/(-)
%
reported
|
+/(-)
%
∆
LFL
|
Continuing operations
|
|
|
|
|
Revenue
|
12,003
|
13,234
|
(9.3)
|
(7.3)
|
Revenue
less pass-through costs
|
9,762
|
10,847
|
(10.0)
|
(8.2)
|
Operating
profit
|
1,261
|
1,561
|
(19.2)
|
(17.2)
|
Operating
margin %
|
12.9%
|
14.4%
|
(1.5)pt
|
(1.4)pt
|
Income
from associates
|
10
|
62
|
(83.8)
|
|
PBIT
|
1,271
|
1,623
|
(21.7)
|
|
Net
finance costs
|
(230)
|
(260)
|
11.8
|
|
Profit
before tax
|
1,041
|
1,363
|
(23.6)
|
|
Tax
|
(242)
|
(300)
|
19.2
|
|
Profit
after tax
|
799
|
1,063
|
(24.9)
|
|
Non-controlling
interests
|
(59)
|
(79)
|
25.6
|
|
Profit
attributable to shareholders
|
740
|
984
|
(24.8)
|
|
Diluted
EPS
|
59.9p
|
78.1p
|
(23.3)
|
|
£
million
|
2020
|
2019
|
Continuing operations
|
|
|
Operating (loss)/profit
|
(2,278)
|
1,296
|
Amortisation
and impairment of acquired intangible assets
|
89
|
121
|
Goodwill
impairment
|
2,823
|
48
|
Gains
on disposal of investments and subsidiaries
|
(8)
|
(40)
|
Gains
on remeasurement of equity interests arising from a change in scope
of ownership
|
(1)
|
-
|
Investment
and other write-downs
|
296
|
8
|
Litigation
settlement
|
26
|
(17)
|
Gain on
sale of freehold property in New York
|
-
|
(8)
|
Restructuring
and transformation costs
|
81
|
153
|
Restructuring
costs in relation to COVID-19
|
233
|
-
|
Headline operating profit
|
1,261
|
1,561
|
£
million
|
2020
|
Reported
growth %
|
LFL
growth %
|
2019
|
N. America
|
4,465
|
(8.0)
|
(5.8)
|
4,855
|
United Kingdom
|
1,637
|
(8.9)
|
(7.9)
|
1,797
|
W
Cont. Europe
|
2,442
|
(7.1)
|
(8.1)
|
2,629
|
AP, LA, AME, CEE7
|
3,459
|
(12.5)
|
(8.1)
|
3,953
|
Total Group
|
12,003
|
(9.3)
|
(7.3)
|
13,234
|
£
million
|
2020
|
Reported
growth %
|
LFL
growth %
|
2019
|
N. America
|
3,744
|
(7.2)
|
(5.8)
|
4,034
|
United Kingdom
|
1,234
|
(11.2)
|
(10.5)
|
1,390
|
W
Cont. Europe
|
2,019
|
(7.2)
|
(8.1)
|
2,177
|
AP, LA, AME, CEE
|
2,765
|
(14.8)
|
(10.3)
|
3,246
|
Total Group
|
9,762
|
(10.0)
|
(8.2)
|
10,847
|
£
million
|
2020
|
%
margin*
|
2019
|
%
margin*
|
N. America
|
612
|
16.3
|
662
|
16.4
|
United
Kingdom
|
138
|
11.2
|
189
|
13.6
|
W Cont. Europe
|
199
|
9.8
|
261
|
12.0
|
AP, LA, AME, CEE
|
312
|
11.3
|
449
|
13.8
|
Total Group
|
1,261
|
12.9
|
1,561
|
14.4
|
£
million
|
2020
|
Reported
growth %
|
LFL
growth %
|
2019
|
Global
Int. Agencies
|
9,303
|
(8.8)
|
(6.1)
|
10,205
|
Public
Relations
|
893
|
(6.6)
|
(5.8)
|
957
|
Specialist Agencies
|
1,807
|
(12.8)
|
(13.3)
|
2,072
|
Total Group
|
12,003
|
(9.3)
|
(7.3)
|
13,234
|
£
million
|
2020
|
Reported
growth %
|
LFL
growth %
|
2019
|
Global
Int. Agencies
|
7,319
|
(9.7)
|
(7.9)
|
8,108
|
Public
Relations
|
854
|
(4.9)
|
(4.0)
|
898
|
Specialist Agencies
|
1,589
|
(13.7)
|
(11.5)
|
1,841
|
Total Group
|
9,762
|
(10.0)
|
(8.2)
|
10,847
|
£
million
|
2020
|
%
margin*
|
2019
|
%
margin*
|
Global
Int. Agencies
|
968
|
13.2
|
1,219
|
15.0
|
Public Relations
|
141
|
16.5
|
141
|
15.7
|
Specialist Agencies
|
152
|
9.5
|
201
|
10.9
|
Total Group
|
1,261
|
12.9
|
1,561
|
14.4
|
Twelve months ended (£ million)
|
31 December
2020
|
31 December
2019
|
|
Operating (loss)/profit of continuing and discontinued
operations
|
(2,267)
|
1,580
|
|
Depreciation and amortisation
|
631
|
686
|
|
Impairments and investment write-downs
|
3,316
|
56
|
|
Lease payments (inc interest)
|
(399)
|
(355)
|
|
Non-cash compensation
|
74
|
71
|
|
Net interest paid
|
(100)
|
(190)
|
|
Tax paid
|
(372)
|
(536)
|
|
Capex
|
(273)
|
(394)
|
|
Earnout payments
|
(115)
|
(130)
|
|
Other
|
(50)
|
(94)
|
|
Trade working capital
|
780
|
563
|
|
Other receivables, payables and provisions
|
58
|
(213)
|
|
Free cash flow
|
1,283
|
1,044
|
|
Disposal proceeds
|
284
|
2,315
|
|
Net initial acquisition payments
|
(144)
|
(94)
|
|
Dividends
|
(122)
|
(750)
|
|
Share repurchases and buybacks
|
(290)
|
(44)
|
|
Net cash flow
|
1,011
|
2,471
|
£
million
|
Notes
|
2020
|
20191
|
+/(-)%
|
|
Continuing operations
|
|
|
|
|
|
Revenue
|
7
|
12,002.8
|
13,234.1
|
(9.3)
|
|
Costs
of services
|
4
|
(9,987.9)
|
(10,825.1)
|
7.7
|
|
Gross profit
|
|
2,014.9
|
2,409.0
|
(16.4)
|
|
General
and administrative costs
|
4
|
(4,293.0)
|
(1,113.1)
|
(285.7)
|
|
Operating (loss)/profit
|
|
(2,278.1)
|
1,295.9
|
(275.8)
|
|
Share
of results of associates
|
5
|
(136.0)
|
14.7
|
-
|
|
(Loss)/profit before interest and taxation
|
|
(2,414.1)
|
1,310.6
|
(284.2)
|
|
Finance
and investment income
|
6
|
82.7
|
99.0
|
(16.5)
|
|
Finance
costs
|
6
|
(312.0)
|
(359.1)
|
13.1
|
|
Revaluation
and retranslation of financial instruments
|
6
|
(147.2)
|
163.8
|
-
|
|
(Loss)/profit before taxation
|
|
(2,790.6)
|
1,214.3
|
(329.8)
|
|
Taxation
|
8
|
(129.3)
|
(275.0)
|
53.0
|
|
(Loss)/profit for the year from
continuing operations
|
|
(2,919.9)
|
939.3
|
(410.9)
|
|
|
|
|
|
|
|
Discontinued operations
|
|
|
|
|
|
Profit
for the year from
discontinued
operations
|
13
|
16.4
|
10.8
|
51.9
|
|
|
|
|
|
|
|
(Loss)/profit for the year
|
|
(2,903.5)
|
950.1
|
(405.6)
|
|
|
|
|
|
|
|
Attributable to:
|
|
|
|
|
|
Equity
holders of the parent
|
|
|
|
|
|
|
Continuing
operations
|
(2,973.8)
|
860.1
|
(445.8)
|
|
|
Discontinued
operations
|
6.5
|
(3.8)
|
271.1
|
|
|
|
(2,967.3)
|
856.3
|
(446.5)
|
|
Non-controlling
interests
|
|
|
|
|
|
|
Continuing
operations
|
53.9
|
79.2
|
31.9
|
|
|
Discontinued
operations
|
9.9
|
14.6
|
32.2
|
|
|
|
63.8
|
93.8
|
32.0
|
|
|
|
|
|
|
|
|
|
(2,903.5)
|
950.1
|
(405.6)
|
|
Earnings per share from continuing and discontinued
operations
|
|
|
|
|
|
Basic
earnings per ordinary share
|
10
|
(242.7p)
|
68.5p
|
(454.3)
|
|
Diluted
earnings per ordinary share
|
10
|
(242.7p)
|
67.9p
|
(457.4)
|
|
|
|
|
|
|
|
Earnings per share from continuing operations
|
|
|
|
|
|
Basic
earnings per ordinary share
|
10
|
(243.2p)
|
68.8p
|
(453.5)
|
|
Diluted
earnings per ordinary share
|
10
|
(243.2p)
|
68.2p
|
(456.6)
|
£
million
|
|
2020
|
20191
|
|
(Loss)/profit for the year
|
|
(2,903.5)
|
950.1
|
|
Items that may be reclassified subsequently to profit or
loss:
|
|
|
|
|
Exchange
adjustments on foreign currency net investments
|
|
23.6
|
(625.1)
|
|
Exchange
adjustments recycled to the income statement on disposal of
discontinued operations
|
|
(20.6)
|
(284.0)
|
|
|
|
3.0
|
(909.1)
|
|
Items that will not be reclassified subsequently to profit or
loss:
|
|
|
|
|
Actuarial
gain/(loss) on defined benefit pension plans
|
|
2.0
|
(36.6)
|
|
Deferred tax on
defined benefit pension plans
|
|
7.4
|
6.4
|
|
Movements on equity
investments held at fair value through other comprehensive
income
|
|
(127.7)
|
(141.4)
|
|
|
|
(118.3)
|
(171.6)
|
|
Other comprehensive loss relating to the year
|
|
(115.3)
|
(1,080.7)
|
|
Total comprehensive loss relating to the year
|
|
(3,018.8)
|
(130.6)
|
|
|
|
|
|
|
Attributable to:
|
|
|
|
|
Equity
holders of the parent
|
|
|
|
|
|
Continuing
operations
|
(3,066.1)
|
180.0
|
|
|
Discontinued
operations
|
(12.6)
|
(386.4)
|
|
|
|
(3,078.7)
|
(206.4)
|
|
Non-controlling
interests
|
|
|
|
|
|
Continuing
operations
|
50.5
|
61.9
|
|
|
Discontinued
operations
|
9.4
|
13.9
|
|
|
|
59.9
|
75.8
|
|
|
|
(3,018.8)
|
(130.6)
|
£
million
|
Notes
|
2020
|
2019
|
Net cash inflow from operating activities
|
11
|
2,054.8
|
1,850.5
|
Investing activities
|
|
|
|
Acquisitions
|
11
|
(178.4)
|
(161.3)
|
Disposals
of investments and subsidiaries
|
11
|
272.3
|
2,141.0
|
Purchase
of property, plant and equipment
|
|
(218.3)
|
(339.3)
|
Purchase
of other intangible assets (including capitalised computer
software)
|
|
(54.4)
|
(54.8)
|
Proceeds
on disposal of property, plant and equipment
|
|
11.2
|
174.0
|
Net cash (outflow)/inflow from investing activities
|
|
(167.6)
|
1,759.6
|
Financing activities
|
|
|
|
Repayment
of lease liabilities
|
|
(300.1)
|
(249.8)
|
Share
option proceeds
|
|
-
|
0.6
|
Cash
consideration for non-controlling interests
|
11
|
(80.6)
|
(62.7)
|
Share
repurchases and buy-backs
|
11
|
(290.2)
|
(43.8)
|
Net
increase/(decrease) in borrowings
|
11
|
632.8
|
(1,713.2)
|
Financing
and share issue costs
|
|
(7.1)
|
(6.4)
|
Equity
dividends paid
|
|
(122.0)
|
(750.5)
|
Dividends
paid to non-controlling interests in subsidiary
undertakings
|
|
(83.3)
|
(96.2)
|
Net cash outflow from financing activities
|
|
(250.5)
|
(2,922.0)
|
Net increase in cash and cash equivalents
|
|
1,636.7
|
688.1
|
Translation
of cash and cash equivalents
|
|
(99.2)
|
(89.7)
|
Cash
and cash equivalents at beginning of year
|
|
2,799.6
|
2,201.2
|
Cash and cash equivalents including cash held in disposal group at
end of year
|
|
4,337.1
|
2,799.6
|
Cash
and cash equivalents held in disposal group presented as held for
sale
|
|
-
|
(66.3)
|
Cash and cash equivalents at end of year
|
11
|
4,337.1
|
2,733.3
|
|
|
|
|
Reconciliation
of net cash flow to movement in net debt:
|
|
|
|
Net increase in cash and cash equivalents
|
|
1,636.7
|
688.1
|
Cash
(inflow)/outflow from (increase)/decrease in debt
financing
|
|
(625.7)
|
1,719.6
|
Other
movements
|
|
(6.1)
|
(32.5)
|
Translation
differences
|
|
(227.2)
|
168.2
|
Movement of net debt in the year
|
|
777.7
|
2,543.4
|
Net
debt at beginning of year
|
|
(1,473.3)
|
(4,016.7)
|
Net debt including net cash in disposal group at end of
year
|
|
(695.6)
|
(1,473.3)
|
Net
cash in disposal group
|
|
-
|
(66.3)
|
Net debt at end of year
|
12
|
(695.6)
|
(1,539.6)
|
£
million
|
Notes
|
2020
|
20191
|
20181
|
Non-current assets
|
|
|
|
|
Intangible
assets:
|
|
|
|
|
Goodwill
|
14
|
7,388.8
|
10,110.6
|
13,132.6
|
Other
|
15
|
1,389.3
|
1,468.8
|
1,842.0
|
Property,
plant and equipment
|
|
790.9
|
876.0
|
1,083.0
|
Right-of-use
assets
|
|
1,504.5
|
1,734.5
|
-
|
Interests
in associates and joint ventures
|
|
330.7
|
813.0
|
796.8
|
Other
investments
|
|
387.3
|
498.3
|
666.7
|
Deferred
tax assets
|
|
212.9
|
187.9
|
153.0
|
Corporate
income tax recoverable
|
|
24.8
|
-
|
-
|
Trade
and other receivables
|
16
|
156.2
|
137.6
|
180.0
|
|
|
12,185.4
|
15,826.7
|
17,854.1
|
Current assets
|
|
|
|
|
Corporate
income tax recoverable
|
|
133.1
|
165.4
|
198.7
|
Trade
and other receivables
|
16
|
10,972.3
|
11,822.3
|
13,101.5
|
Cash
and short-term deposits
|
|
12,899.1
|
11,305.7
|
11,065.8
|
|
|
24,004.5
|
23,293.4
|
24,366.0
|
Assets
classified as held for sale
|
|
-
|
485.3
|
-
|
|
|
24,004.5
|
23,778.7
|
24,366.0
|
|
|
|
|
|
Current liabilities
|
|
|
|
|
Trade
and other payables
|
17
|
(13,859.7)
|
(14,188.1)
|
(15,021.9)
|
Corporate
income tax payable
|
|
(330.9)
|
(499.9)
|
(545.9)
|
Short-term
lease liabilities
|
|
(323.8)
|
(302.2)
|
-
|
Bank
overdrafts, bonds and bank loans
|
|
(8,619.2)
|
(8,798.0)
|
(9,447.7)
|
|
|
(23,133.6)
|
(23,788.2)
|
(25,015.5)
|
Liabilities
associated with assets classified as held for sale
|
|
-
|
(170.4)
|
-
|
|
|
(23,133.6)
|
(23,958.6)
|
(25,015.5)
|
Net current assets/(liabilities)
|
|
870.9
|
(179.9)
|
(649.5)
|
Total assets less current liabilities
|
|
13,056.3
|
15,646.8
|
17,204.6
|
|
|
|
|
|
Non-current liabilities
|
|
|
|
|
Bonds
and bank loans
|
|
(4,975.5)
|
(4,047.3)
|
(5,634.8)
|
Trade
and other payables
|
18
|
(313.5)
|
(449.6)
|
(810.0)
|
Corporate
income tax payable
|
|
(1.3)
|
-
|
-
|
Deferred
tax liabilities
|
|
(304.1)
|
(379.8)
|
(479.5)
|
Provisions
for post-employment benefits
|
|
(156.7)
|
(159.0)
|
(184.3)
|
Provisions
for liabilities and charges
|
|
(306.3)
|
(247.8)
|
(311.7)
|
Long-term
lease liabilities
|
|
(1,832.5)
|
(1,947.5)
|
-
|
|
|
(7,889.9)
|
(7,231.0)
|
(7,420.3)
|
|
|
|
|
|
Net assets
|
|
5,166.4
|
8,415.8
|
9,784.3
|
|
|
|
|
|
Equity
|
|
|
|
|
Called-up
share capital
|
19
|
129.6
|
132.8
|
133.3
|
Share
premium account
|
|
570.3
|
570.3
|
569.7
|
Other
reserves
|
|
196.0
|
(169.9)
|
962.4
|
Own
shares
|
|
(1,118.3)
|
(1,178.7)
|
(1,255.7)
|
Retained
earnings
|
|
5,070.7
|
8,689.9
|
8,950.2
|
Equity shareholders’ funds
|
|
4,848.3
|
8,044.4
|
9,359.9
|
Non-controlling
interests
|
|
318.1
|
371.4
|
424.4
|
Total equity
|
|
5,166.4
|
8,415.8
|
9,784.3
|
£
million
|
Called-up share capital
|
Share premium account
|
Other reserves1
|
Own
shares
|
Retained
earnings1
|
Total equity share
holders’ funds1
|
Non- controlling interests
|
Total1
|
Restated
balance at 1 January 2019
|
133.3
|
569.7
|
962.4
|
(1,255.7)
|
8,950.2
|
9,359.9
|
424.4
|
9,784.3
|
Accounting policy
change (IFRS 16)
|
-
|
-
|
-
|
-
|
(128.9)
|
(128.9)
|
-
|
(128.9)
|
Deferred tax on
accounting policy change (IFRS 16)
|
-
|
-
|
-
|
-
|
27.8
|
27.8
|
-
|
27.8
|
Revised
balance at 1 January 2019
|
133.3
|
569.7
|
962.4
|
(1,255.7)
|
8,849.1
|
9,258.8
|
424.4
|
9,683.2
|
Ordinary shares
issued
|
-
|
0.6
|
-
|
-
|
-
|
0.6
|
-
|
0.6
|
Share
cancellations
|
(0.5)
|
-
|
0.5
|
-
|
(47.7)
|
(47.7)
|
-
|
(47.7)
|
Treasury share
allocations
|
-
|
-
|
-
|
1.0
|
(1.0)
|
-
|
-
|
-
|
Profit
for the year
|
-
|
-
|
-
|
-
|
856.3
|
856.3
|
93.8
|
950.1
|
Exchange
adjustments on foreign currency net investments
|
-
|
-
|
(607.1)
|
-
|
-
|
(607.1)
|
(18.0)
|
(625.1)
|
Exchange
adjustments recycled to the income statement on disposal of
discontinued operations
|
-
|
-
|
(284.0)
|
-
|
-
|
(284.0)
|
-
|
(284.0)
|
Movements on equity
investments held at fair value through other comprehensive
income
|
-
|
-
|
-
|
-
|
(141.4)
|
(141.4)
|
-
|
(141.4)
|
Actuarial loss on
defined benefit pension plans
|
-
|
-
|
-
|
-
|
(36.6)
|
(36.6)
|
-
|
(36.6)
|
Deferred tax on
defined benefit pension plans
|
-
|
-
|
-
|
-
|
6.4
|
6.4
|
-
|
6.4
|
Other
comprehensive loss
|
-
|
-
|
(891.1)
|
-
|
(171.6)
|
(1,062.7)
|
(18.0)
|
(1,080.7)
|
Total
comprehensive (loss)/income
|
-
|
-
|
(891.1)
|
-
|
684.7
|
(206.4)
|
75.8
|
(130.6)
|
Dividends
paid
|
-
|
-
|
-
|
-
|
(750.5)
|
(750.5)
|
(96.2)
|
(846.7)
|
Non-cash
share-based incentive plans (including share options)
|
-
|
-
|
-
|
-
|
71.4
|
71.4
|
-
|
71.4
|
Tax
adjustment on share-based payments
|
-
|
-
|
-
|
-
|
3.1
|
3.1
|
-
|
3.1
|
Net
movement in own shares held
by ESOP
Trusts
|
-
|
-
|
-
|
76.0
|
(76.0)
|
-
|
-
|
-
|
Recognition/remeasurement
of financial instruments
|
-
|
-
|
10.6
|
-
|
13.1
|
23.7
|
-
|
23.7
|
Share
purchases – close period commitments2
|
-
|
-
|
(252.3)
|
-
|
-
|
(252.3)
|
-
|
(252.3)
|
Acquisition of
subsidiaries3
|
-
|
-
|
-
|
-
|
(56.3)
|
(56.3)
|
(32.6)
|
(88.9)
|
Restated
balance at 31 December 2019
|
132.8
|
570.3
|
(169.9)
|
(1,178.7)
|
8,689.9
|
8,044.4
|
371.4
|
8,415.8
|
Share
cancellations
|
(3.2)
|
-
|
3.2
|
-
|
(281.2)
|
(281.2)
|
-
|
(281.2)
|
Treasury share
allocations
|
-
|
-
|
-
|
0.6
|
(0.6)
|
-
|
-
|
-
|
(Loss)/profit for
the year
|
-
|
-
|
-
|
-
|
(2,967.3)
|
(2,967.3)
|
63.8
|
(2,903.5)
|
Exchange
adjustments on foreign currency net investments
|
-
|
-
|
27.5
|
-
|
-
|
27.5
|
(3.9)
|
23.6
|
Exchange
adjustments recycled to the income statement on disposal of
discontinued operations
|
-
|
-
|
(20.6)
|
-
|
-
|
(20.6)
|
-
|
(20.6)
|
Movements on equity
investments held at fair value through other comprehensive
income
|
-
|
-
|
-
|
-
|
(127.7)
|
(127.7)
|
-
|
(127.7)
|
Actuarial gain on
defined benefit pension plans
|
-
|
-
|
-
|
-
|
2.0
|
2.0
|
-
|
2.0
|
Deferred tax on
defined benefit pension plans
|
-
|
-
|
-
|
-
|
7.4
|
7.4
|
-
|
7.4
|
Other
comprehensive income/(loss)
|
-
|
-
|
6.9
|
-
|
(118.3)
|
(111.4)
|
(3.9)
|
(115.3)
|
Total
comprehensive income/(loss)
|
-
|
-
|
6.9
|
-
|
(3,085.6)
|
(3,078.7)
|
59.9
|
(3,018.8)
|
Dividends
paid
|
-
|
-
|
-
|
-
|
(122.0)
|
(122.0)
|
(83.3)
|
(205.3)
|
Non-cash
share-based incentive plans (including share options)
|
-
|
-
|
-
|
-
|
74.4
|
74.4
|
-
|
74.4
|
Net
movement in own shares held
by ESOP
Trusts
|
-
|
-
|
-
|
59.8
|
(64.9)
|
(5.1)
|
-
|
(5.1)
|
Recognition/remeasurement
of financial instruments
|
-
|
-
|
103.5
|
-
|
(26.6)
|
76.9
|
-
|
76.9
|
Share
purchases – close period commitments2
|
-
|
-
|
252.3
|
-
|
-
|
252.3
|
-
|
252.3
|
Acquisition of
subsidiaries3
|
-
|
-
|
-
|
-
|
(112.7)
|
(112.7)
|
(29.9)
|
(142.6)
|
Balance
at 31 December 2020
|
129.6
|
570.3
|
196.0
|
(1,118.3)
|
5,070.7
|
4,848.3
|
318.1
|
5,166.4
|
£
million
|
2020
|
2019
|
Continuing operations
|
|
|
Costs
of services
|
9,987.9
|
10,825.1
|
General
and administrative costs
|
4,293.0
|
1,113.1
|
|
14,280.9
|
11,938.2
|
£
million
|
2020
|
2019
|
Continuing operations
|
|
|
Staff
costs
|
6,556.5
|
7,090.6
|
Establishment
costs
|
638.5
|
672.9
|
Media
pass-through costs
|
1,555.2
|
1,656.2
|
Other
costs of services and general and administrative costs1
|
5,530.7
|
2,518.5
|
|
14,280.9
|
11,938.2
|
£
million
|
2020
|
2019
|
Continuing operations
|
|
|
Wages
and salaries
|
4,781.0
|
4,946.2
|
Cash-based
incentive plans
|
110.7
|
227.6
|
Share-based
incentive plans
|
74.4
|
66.0
|
Social
security costs
|
570.9
|
591.7
|
Pension
costs
|
171.7
|
169.7
|
Severance
|
68.2
|
42.6
|
Other
staff costs
|
779.6
|
1,046.8
|
|
6,556.5
|
7,090.6
|
£
million
|
2020
|
2019
|
Continuing operations
|
|
|
Amortisation and
impairment of acquired intangible assets
|
89.1
|
121.5
|
Goodwill
impairment
|
2,822.9
|
47.7
|
Gains
on disposal of investments and subsidiaries
|
(7.8)
|
(40.4)
|
Gains
on remeasurement of equity interests arising from a change in scope
of ownership
|
(0.6)
|
(0.4)
|
Investment and
other write-downs
|
296.2
|
7.5
|
Restructuring and
transformation costs
|
80.7
|
153.5
|
Restructuring costs
in relation to COVID-19
|
232.5
|
-
|
Litigation
settlement
|
25.6
|
(16.8)
|
Gain on
sale of freehold property in New York
|
-
|
(7.9)
|
Depreciation of
property, plant and equipment
|
174.8
|
185.5
|
Depreciation of
right-of-use assets
|
331.9
|
301.6
|
Amortisation of
other intangible assets
|
35.2
|
21.2
|
Short-term lease
expense
|
36.7
|
83.8
|
Low-value lease
expense
|
2.3
|
2.9
|
£
million
|
2020
|
2019
|
Continuing operations
|
|
|
Share
of profit before interest and taxation
|
142.5
|
99.2
|
Share
of exceptional losses
|
(146.1)
|
(47.8)
|
Share
of interest and non-controlling interests
|
(91.4)
|
(19.4)
|
Share
of taxation
|
(41.0)
|
(17.3)
|
|
(136.0)
|
14.7
|
£
million
|
2020
|
2019
|
Continuing operations
|
|
|
Income
from equity investments
|
8.7
|
18.3
|
Interest
income
|
74.0
|
80.7
|
|
82.7
|
99.0
|
£
million
|
2020
|
2019
|
Continuing operations
|
|
|
Net
interest expense on pension plans
|
2.9
|
3.5
|
Interest on other
long-term employee benefits
|
3.1
|
3.9
|
Interest payable
and similar charges
|
205.0
|
252.0
|
Interest expense
related to lease liabilities
|
101.0
|
99.7
|
|
312.0
|
359.1
|
|
|
|
£
million
|
2020
|
20191
|
Continuing operations
|
|
|
Movements in fair
value of treasury instruments
|
15.4
|
0.4
|
Premium
on the early repayment of bonds
|
-
|
(63.4)
|
Revaluation of
investments held at fair value through profit or loss
|
8.0
|
9.1
|
Revaluation of put
options over non-controlling interests
|
12.3
|
(24.3)
|
Revaluation of
payments due to vendors (earnout agreements)
|
13.4
|
(3.7)
|
Retranslation of
financial instruments
|
(196.3)
|
245.7
|
|
(147.2)
|
163.8
|
£
million
|
|
2020
|
2019
|
Continuing operations
|
|
|
|
Revenue
|
|
|
|
Global
Integrated Agencies
|
|
9,302.5
|
10,205.2
|
Public
Relations
|
|
892.9
|
956.5
|
Specialist
Agencies
|
|
1,807.4
|
2,072.4
|
|
|
12,002.8
|
13,234.1
|
Revenue less pass-through costs1
|
|
|
|
Global
Integrated Agencies
|
|
7,318.5
|
8,108.1
|
Public
Relations
|
|
854.4
|
898.0
|
Specialist
Agencies
|
|
1,589.1
|
1,840.4
|
|
|
9,762.0
|
10,846.5
|
Headline operating profit2
|
|
|
|
Global
Integrated Agencies
|
|
967.8
|
1,219.5
|
Public
Relations
|
|
141.3
|
140.6
|
Specialist
Agencies
|
|
151.4
|
200.5
|
|
|
1,260.5
|
1,560.6
|
£
million
|
2020
|
2019
|
Continuing operations
|
|
|
Revenue
|
|
|
North
America3
|
4,464.9
|
4,854.7
|
United
Kingdom
|
1,637.0
|
1,797.1
|
Western
Continental Europe
|
2,441.6
|
2,628.8
|
Asia
Pacific, Latin America, Africa & Middle East and Central &
Eastern Europe
|
3,459.3
|
3,953.5
|
|
12,002.8
|
13,234.1
|
Revenue
less pass-through costs1
|
|
|
North
America3
|
3,743.4
|
4,034.3
|
United
Kingdom
|
1,233.8
|
1,390.1
|
Western
Continental Europe
|
2,019.4
|
2,176.4
|
Asia
Pacific, Latin America, Africa & Middle East and Central &
Eastern Europe
|
2,765.4
|
3,245.7
|
|
9,762.0
|
10,846.5
|
Headline
operating profit2
|
|
|
North
America3
|
611.9
|
662.0
|
United
Kingdom
|
137.7
|
188.5
|
Western
Continental Europe
|
198.7
|
261.5
|
Asia
Pacific, Latin America, Africa & Middle East and Central &
Eastern Europe
|
312.2
|
448.6
|
|
1,260.5
|
1,560.6
|
£
million
|
2020
|
2019
|
Continuing operations
|
|
|
Corporation
tax
|
|
|
Current
year
|
310.0
|
423.0
|
Prior
years
|
(83.2)
|
(63.4)
|
|
226.8
|
359.6
|
Deferred
tax
|
|
|
Current
year
|
(80.2)
|
(78.3)
|
Prior
years
|
(17.3)
|
(6.3)
|
|
(97.5)
|
(84.6)
|
Tax
charge
|
129.3
|
275.0
|
|
2020
|
20191
|
+/(-)%
|
Reported
earnings2
(£ million)
|
(2,973.8)
|
860.1
|
|
Headline
earnings3
(£ million)
|
740.3
|
984.2
|
|
Weighted average
shares used in basic EPS calculation (million)
|
1,223.0
|
1,250.0
|
|
Reported
EPS
|
(243.2p)
|
68.8p
|
(453.5)
|
Headline
EPS
|
60.5p
|
78.7p
|
(23.1)
|
|
2020
|
2019
|
+/(-)%
|
Reported
earnings2
(£ million)
|
6.5
|
(3.8)
|
|
Weighted average
shares used in basic EPS calculation (million)
|
1,223.0
|
1,250.0
|
|
Reported
EPS
|
0.5p
|
(0.3p)
|
(266.7)
|
|
2020
|
20191
|
+/(-)%
|
Reported
earnings2
(£ million)
|
(2,967.3)
|
856.3
|
|
Weighted average
shares used in basic EPS calculation (million)
|
1,223.0
|
1,250.0
|
|
Reported
EPS
|
(242.7p)
|
68.5p
|
(454.3)
|
|
2020
|
20191
|
+/(-)%
|
Diluted
reported earnings (£ million)
|
(2,973.8)
|
860.1
|
|
Diluted
headline earnings (£ million)
|
740.3
|
984.2
|
|
Weighted average
shares used in reported diluted EPS calculation
(million)2
|
1,223.0
|
1,260.6
|
|
Weighted average
shares used in headline diluted EPS calculation
(million)
|
1,236.0
|
1,260.6
|
|
Diluted
reported EPS
|
(243.2p)
|
68.2p
|
(456.6)
|
Diluted
headline EPS
|
59.9p
|
78.1p
|
(23.3)
|
|
2020
|
2019
|
+/(-)%
|
Diluted
reported earnings (£ million)
|
6.5
|
(3.8)
|
|
Weighted average
shares used in diluted EPS calculation (million)2
|
1,223.0
|
1,260.6
|
|
Diluted
reported EPS
|
0.5p
|
(0.3p)
|
(266.7)
|
|
2020
|
20191
|
+/(-)%
|
Diluted
reported earnings (£ million)
|
(2,967.3)
|
856.3
|
|
Weighted average
shares used in diluted EPS calculation (million)2
|
1,223.0
|
1,260.6
|
|
Diluted
reported EPS
|
(242.7p)
|
67.9p
|
(457.4)
|
million
|
2020
|
2019
|
Weighted
average shares used in basic EPS calculation
|
1,223.0
|
1,250.0
|
Dilutive
share options outstanding
|
-
|
0.3
|
Other
potentially issuable shares
|
13.0
|
10.3
|
Weighted
average shares used in diluted EPS calculation
|
1,236.0
|
1,260.6
|
£
million
|
2020
|
20191
|
(Loss)/profit
for the year
|
(2,903.5)
|
950.1
|
Taxation
|
131.5
|
353.8
|
Revaluation and
retranslation of financial instruments
|
147.2
|
(154.4)
|
Finance
costs
|
312.3
|
376.4
|
Finance
and investment income
|
(82.8)
|
(102.6)
|
Share
of results of associates
|
136.0
|
(21.2)
|
Goodwill impairment
on classification as held for sale
|
-
|
94.5
|
Gain on
sale of discontinued operations
|
(10.0)
|
(73.8)
|
Attributable tax
expense on sale of discontinued operations
|
1.9
|
157.4
|
Operating
(loss)/profit of continuing and discontinued
operations
|
(2,267.4)
|
1,580.2
|
Adjustments
for:
|
|
|
Non-cash
share-based incentive plans (including share options)
|
74.4
|
71.4
|
Depreciation of
property, plant and equipment
|
174.8
|
203.2
|
Depreciation of
right-of-use assets
|
331.9
|
317.9
|
Impairment charges
included within restructuring costs
|
196.7
|
-
|
Goodwill
impairment
|
2,822.9
|
47.7
|
Amortisation and
impairment of acquired intangible assets
|
89.1
|
135.6
|
Amortisation of
other intangible assets
|
35.2
|
29.6
|
Investment and
other write-downs
|
296.2
|
7.5
|
Gains
on disposal of investments and subsidiaries
|
(7.8)
|
(45.1)
|
Gains
on remeasurement of equity interests arising from a change in scope
of ownership
|
(0.6)
|
(0.4)
|
Gain on
sale of freehold property in New York
|
-
|
(7.9)
|
Losses
on sale of property, plant and equipment
|
0.3
|
3.2
|
Operating
cash flow before movements in working capital and
provisions
|
1,745.7
|
2,342.9
|
Movements in trade
working capital2
|
780.2
|
563.4
|
Movements in other
working capital and provisions
|
58.0
|
(213.1)
|
Cash
generated by operations
|
2,583.9
|
2,693.2
|
Corporation and
overseas tax paid
|
(371.5)
|
(536.0)
|
Payment
on early settlement of bonds
|
-
|
(63.4)
|
Interest and
similar charges paid
|
(173.9)
|
(270.6)
|
Interest paid on
lease liabilities
|
(98.5)
|
(105.1)
|
Interest
received
|
73.6
|
80.8
|
Investment
income
|
8.7
|
18.3
|
Dividends from
associates
|
32.5
|
33.3
|
Net
cash inflow from operating activities
|
2,054.8
|
1,850.5
|
£
million
|
2020
|
2019
|
Initial
cash consideration
|
(32.8)
|
(3.9)
|
Earnout
payments
|
(115.2)
|
(130.2)
|
Purchase of other
investments (including associates)
|
(30.4)
|
(27.2)
|
Acquisitions
|
(178.4)
|
(161.3)
|
|
|
|
Proceeds on
disposal of investments and subsidiaries1
|
320.0
|
2,468.5
|
Cash
and cash equivalents disposed
|
(47.7)
|
(327.5)
|
Disposals
of investments and subsidiaries
|
272.3
|
2,141.0
|
|
|
|
Cash
consideration for non-controlling interests
|
(80.6)
|
(62.7)
|
Net
acquisition payments and investments
|
13.3
|
1,917.0
|
£
million
|
2020
|
2019
|
Purchase of own
shares by ESOP Trusts
|
(5.1)
|
-
|
Shares
purchased into treasury
|
(285.1)
|
(43.8)
|
|
(290.2)
|
(43.8)
|
£
million
|
2020
|
2019
|
Decrease in
drawings on bank loans
|
(59.6)
|
(70.6)
|
Proceeds from issue
of €750 million bonds
|
665.5
|
-
|
Proceeds from issue
of £250 million bonds
|
250.0
|
-
|
Repayment of
€250 million bonds
|
(223.1)
|
-
|
Repayment of
€600 million bonds
|
-
|
(512.7)
|
Repayment of $812
million bonds
|
-
|
(618.8)
|
Partial
repayment of $272 million bonds
|
-
|
(135.4)
|
Partial
repayment of $450 million bonds
|
-
|
(176.2)
|
Repayment of
£200 million bonds
|
-
|
(199.5)
|
|
632.8
|
(1,713.2)
|
£
million
|
2020
|
20192
|
Cash at
bank and in hand
|
10,075.0
|
10,442.1
|
Short-term bank
deposits
|
2,824.1
|
863.6
|
Overdrafts3
|
(8,562.0)
|
(8,572.4)
|
|
4,337.1
|
2,733.3
|
£
million
|
2020
|
20191
|
Cash
and short-term deposits
|
12,899.1
|
11,305.7
|
Bank
overdrafts, bonds and bank loans due within one year
|
(8,619.2)
|
(8,798.0)
|
Bonds
and bank loans due after one year
|
(4,975.5)
|
(4,047.3)
|
|
(695.6)
|
(1,539.6)
|
£
million
|
2020
|
20191
|
Within
one year
|
(182.2)
|
(324.8)
|
Between
one and two years
|
(725.6)
|
(204.0)
|
Between
two and three years
|
(795.7)
|
(692.1)
|
Between
three and four years
|
(649.1)
|
(726.3)
|
Between
four and five years
|
(528.2)
|
(634.2)
|
Over
five years
|
(3,387.1)
|
(2,761.9)
|
Debt financing (including interest) under the Revolving Credit
Facility and in relation to unsecured loan notes
|
(6,267.9)
|
(5,343.3)
|
Short-term
overdrafts – within one year
|
(8,562.0)
|
(8,572.4)
|
Future anticipated cash flows
|
(14,829.9)
|
(13,915.7)
|
Effect
of discounting/financing rates
|
1,235.2
|
1,070.4
|
Debt financing
|
(13,594.7)
|
(12,845.3)
|
Cash
and short-term deposits
|
12,899.1
|
11,305.7
|
Net debt
|
(695.6)
|
(1,539.6)
|
£
million
|
2020
|
2019
|
Revenue
|
107.4
|
2,387.5
|
Costs
of services
|
(92.3)
|
(1,951.5)
|
Gross profit
|
15.1
|
436.0
|
General
and administrative costs
|
(4.4)
|
(151.7)
|
Operating profit
|
10.7
|
284.3
|
Share
of results of associates
|
-
|
6.5
|
Profit before interest and taxation
|
10.7
|
290.8
|
Finance
income
|
0.1
|
3.6
|
Finance
costs
|
(0.3)
|
(17.3)
|
Revaluation and
retranslation of financial instruments
|
-
|
(9.4)
|
Profit before taxation
|
10.5
|
267.7
|
Attributable
tax expense
|
(2.2)
|
(78.8)
|
Profit after taxation
|
8.3
|
188.9
|
|
|
|
Goodwill
impairment on classification as held for sale1
|
-
|
(94.5)
|
Gain on
sale of discontinued operations
|
10.0
|
73.8
|
Attributable
tax expense on sale of discontinued operations
|
(1.9)
|
(157.4)
|
|
|
|
Net gain attributable to discontinued operations
|
16.4
|
10.8
|
|
|
|
Attributable to:
|
|
|
Equity
holders of the parent
|
6.5
|
(3.8)
|
Non-controlling
interests2
|
9.9
|
14.6
|
|
16.4
|
10.8
|
£
million
|
2020
|
2019
|
Intangible
assets (including goodwill)
|
162.5
|
2,410.0
|
Property,
plant and equipment
|
15.1
|
115.7
|
Right-of-use
assets
|
27.2
|
103.5
|
Interests
in associates and joint ventures
|
4.6
|
92.3
|
Other
investments
|
-
|
11.5
|
Deferred
tax assets
|
6.1
|
44.1
|
Corporate
income tax recoverable
|
16.9
|
49.8
|
Trade
and other receivables
|
170.3
|
748.8
|
Cash
and cash equivalents
|
32.2
|
324.9
|
Trade
and other payables
|
(141.6)
|
(839.8)
|
Corporate
income tax payable
|
(5.6)
|
(48.2)
|
Lease
liabilities
|
(23.2)
|
(106.3)
|
Deferred
tax liabilities
|
(1.3)
|
(98.6)
|
Provisions
for post-employment benefits
|
(7.9)
|
(26.7)
|
Provisions
for liabilities and charges
|
(0.6)
|
(22.4)
|
Net assets
|
254.7
|
2,758.6
|
|
|
|
Non-controlling
interests
|
(6.1)
|
(19.1)
|
Net assets excluding non-controlling interests
|
248.6
|
2,739.5
|
|
|
|
Consideration
received in cash and cash equivalents
|
240.9
|
2,352.1
|
Re-investment
in equity stake1
|
-
|
231.7
|
Transaction
costs
|
(4.5)
|
(56.1)
|
Deferred
consideration2
|
1.6
|
1.6
|
Total consideration received
|
238.0
|
2,529.3
|
|
|
|
Loss on sale before exchange adjustments
|
(10.6)
|
(210.2)
|
Exchange
adjustments recycled to the income statement
|
20.6
|
284.0
|
Gain on sale of discontinued operations
|
10.0
|
73.8
|
CGU
|
Goodwill
|
Brands with an indefinite useful life
|
||
£
million
|
2020
|
20191
|
2020
|
2019
|
GroupM
|
2,953.7
|
2,921.7
|
-
|
-
|
Wunderman
Thompson
|
949.4
|
2,121.9
|
403.9
|
409.7
|
VMLY&R
|
411.9
|
901.0
|
193.4
|
199.1
|
Ogilvy
|
782.0
|
758.6
|
206.5
|
211.1
|
Burson
Cohn & Wolfe
|
591.1
|
739.3
|
128.8
|
130.2
|
Other
|
1,700.7
|
2,668.1
|
126.5
|
128.1
|
|
7,388.8
|
10,110.6
|
1,059.1
|
1,078.2
|
£
million
|
Operating Sector
|
Recoverable amount
|
Goodwill impairment charge
|
Wunderman
Thompson
|
Global
Integrated Agencies
|
1,956.8
|
1,207.5
|
VMLY&R
|
Global
Integrated Agencies
|
1,075.7
|
516.9
|
Burson
Cohn & Wolfe
|
Public
Relations
|
790.2
|
144.8
|
Geometry
Global
|
Specialist
Agencies
|
164.4
|
305.8
|
Landor
& FITCH
|
Specialist
Agencies
|
177.6
|
185.4
|
Other
|
|
1,409.5
|
462.5
|
|
|
5,574.2
|
2,822.9
|
|
|
As reported
|
As adjusted
|
||
CGU
£ million
|
Operating Sector
|
Recoverable amount
as at 30 June 2020
|
Goodwill impairment charge
for the period ended 30 June 2020
|
Recoverable amount
as at 30 June 2020
|
Goodwill impairment charge
for the period ended 30 June 2020
|
Wunderman Thompson
|
Global
Integrated Agencies
|
1,932.2
|
1,054.4
|
1,759.5
|
1,207.5
|
VMLY&R
|
Global
Integrated Agencies
|
918.3
|
472.0
|
871.0
|
516.9
|
Burson Cohn & Wolfe
|
Public
Relations
|
859.8
|
127.0
|
845.9
|
140.3
|
Geometry Global
|
Specialist
Agencies
|
205.9
|
232.5
|
128.4
|
305.8
|
Landor & FITCH
|
Specialist
Agencies
|
197.5
|
158.1
|
169.5
|
185.4
|
Other
|
|
1,349.3
|
440.7
|
1,325.7
|
457.0
|
|
|
5,463.0
|
2,484.7
|
5,100.0
|
2,812.9
|
£
million
|
2020
|
2019
|
Brands
with an indefinite useful life
|
1,059.1
|
1,078.2
|
Acquired
intangibles
|
240.5
|
323.6
|
Other
(including capitalised computer software)
|
89.7
|
67.0
|
|
1,389.3
|
1,468.8
|
£
million
|
2020
|
2019
|
Trade
receivables
|
6,572.2
|
7,007.6
|
Work in
progress
|
264.1
|
349.5
|
VAT and
sales taxes recoverable
|
236.6
|
212.7
|
Prepayments
|
248.1
|
287.1
|
Accrued
income
|
3,150.1
|
3,292.7
|
Fair
value of derivatives
|
0.2
|
1.4
|
Other
debtors
|
501.0
|
671.3
|
|
10,972.3
|
11,822.3
|
£
million
|
2020
|
2019
|
Prepayments
|
2.8
|
2.2
|
Fair
value of derivatives
|
9.6
|
-
|
Other
debtors
|
143.8
|
135.4
|
|
156.2
|
137.6
|
£
million
|
2020
|
20191
|
Trade
payables
|
10,206.5
|
10,112.1
|
Deferred
income
|
1,153.7
|
1,024.6
|
Payments
due to vendors (earnout agreements)
|
57.8
|
143.4
|
Liabilities
in respect of put option agreements with vendors
|
9.3
|
75.7
|
Fair
value of derivatives
|
1.8
|
1.5
|
Share
repurchases – close period commitments2
|
-
|
252.3
|
Other
creditors and accruals
|
2,430.6
|
2,578.5
|
|
13,859.7
|
14,188.1
|
£
million
|
2020
|
20191
|
Payments
due to vendors (earnout agreements)
|
56.5
|
100.3
|
Liabilities
in respect of put option agreements with vendors
|
101.4
|
128.8
|
Fair
value of derivatives
|
11.2
|
21.2
|
Other
creditors and accruals
|
144.4
|
199.3
|
|
313.5
|
449.6
|
£
million
|
2020
|
20191
|
Within
one year
|
57.8
|
143.4
|
Between
1 and 2 years
|
17.2
|
36.3
|
Between
2 and 3 years
|
6.0
|
34.6
|
Between
3 and 4 years
|
30.5
|
12.3
|
Between
4 and 5 years
|
2.8
|
7.7
|
Over 5
years
|
-
|
9.4
|
|
114.3
|
243.7
|
£
million
|
2020
|
20191
|
At the beginning of the year
|
243.7
|
400.8
|
Earnouts
paid
|
(115.2)
|
(130.0)
|
New
acquisitions
|
7.3
|
9.6
|
Revision
of estimates taken to goodwill
|
(2.8)
|
(14.1)
|
Revaluation
of payments due to vendors
|
(13.4)
|
3.8
|
Transfer
to disposal group classified as held for sale
|
-
|
(11.5)
|
Exchange
adjustments
|
(5.3)
|
(14.9)
|
At the end of the year
|
114.3
|
243.7
|
Number
of equity ordinary shares (million)
|
2020
|
2019
|
At the beginning of the year
|
1,328.2
|
1,332.7
|
Share
cancellations
|
(32.1)
|
(4.5)
|
At the end of the year
|
1,296.1
|
1,328.2
|
£
million
|
|
|
|
|
|
|
|
|
2021
|
2022
|
2023
|
2024
|
2025+
|
£ bonds £400m (2.875% ‘46)
|
400.0
|
|
|
|
|
400.0
|
US bond $220m (5.625% ‘43)
|
160.8
|
|
|
|
|
160.8
|
US bond $93m (5.125% ’42)
|
67.9
|
|
|
|
|
67.9
|
£ bonds £250m (3.750% ‘32)
|
250.0
|
|
|
|
|
250.0
|
Eurobonds €600m (1.625% ’30)
|
537.3
|
|
|
|
|
537.3
|
Eurobonds €750m (2.375%,’27)
|
671.7
|
|
|
|
|
671.7
|
Eurobonds €750m (2.25%,’26)
|
671.7
|
|
|
|
|
671.7
|
Eurobonds €500m (1.375% ’25)
|
447.8
|
|
|
|
|
447.8
|
US bond $750m (3.75%,’24)
|
548.6
|
|
|
|
548.6
|
|
Bank revolver ($2,500m ’24)
|
1,828.8
|
|
|
|
1,828.8
|
|
Eurobonds €750m (3.0% ’23)
|
671.7
|
|
|
671.7
|
|
|
US bond $500m (3.625% ’22)
|
365.8
|
|
365.8
|
|
|
|
Eurobonds €250m (3m EURIBOR + 0.45% ’22)
|
223.9
|
|
223.9
|
|
|
|
Bank revolver (A$150m ’21, A$270m ‘23)
|
236.7
|
84.5
|
|
152.2
|
|
|
Total committed facilities available
|
7,082.7
|
84.5
|
589.7
|
823.9
|
2,377.4
|
3,207.2
|
Drawn down facilities at 31 December 2020
|
5,059.5
|
42.3
|
589.7
|
671.7
|
548.6
|
3,207.2
|
Undrawn committed credit facilities
|
2,023.2
|
|
|
|
|
|
Drawn down facilities at 31 December 2020
|
5,059.5
|
|
|
|
|
|
Net cash at 31 December 2020
|
(4,337.1)
|
|
|
|
|
|
Other adjustments
|
(26.8)
|
|
|
|
|
|
Net debt at 31 December 2020
|
695.6
|
|
|
|
|
|
£
million
|
Level 1
|
Level 2
|
Level 3
|
Derivatives in designated hedge relationships
|
|
|
|
Derivative
assets
|
-
|
9.6
|
-
|
Derivative
liabilities
|
-
|
(6.3)
|
-
|
Held at fair value through profit or loss
|
|
|
|
Other
investments
|
0.1
|
-
|
263.2
|
Derivative
assets
|
-
|
0.2
|
-
|
Derivative
liabilities
|
-
|
(6.7)
|
-
|
Payments
due to vendors (earnout agreements) (note 18)
|
-
|
-
|
(114.3)
|
Liabilities
in respect of put options
|
-
|
-
|
(110.7)
|
Held at fair value through other comprehensive income
|
|
|
|
Other
investments
|
20.6
|
-
|
103.4
|
£
million
|
Liabilities in respect of put options
|
Other investments
|
1 January 2020
|
(204.5)1
|
456.1
|
Gains
recognised in the income statement
|
12.3
|
7.9
|
Losses
recognised in other comprehensive income
|
-
|
(106.1)
|
Additions
|
(4.2)
|
15.9
|
Disposals
|
-
|
(7.0)
|
Reclassification
from other investments to interests in associates
|
-
|
(0.2)
|
Cancellations
|
30.5
|
-
|
Settlements
|
52.9
|
-
|
Exchange
adjustments
|
2.3
|
-
|
31 December 2020
|
(110.7)
|
366.6
|
£
million
|
2020
|
2019
|
Continuing operations
|
|
|
Revenue
|
12,002.8
|
13,234.1
|
Media
pass-through costs
|
(1,555.2)
|
(1,656.2)
|
Other
pass-through costs
|
(685.6)
|
(731.4)
|
Revenue less pass-through costs
|
9,762.0
|
10,846.5
|
£
million
|
2020
|
2019
|
Continuing operations
|
|
|
Operating (loss)/profit
|
(2,278.1)
|
1,295.9
|
Amortisation
and impairment of acquired intangible assets
|
89.1
|
121.5
|
Goodwill
impairment
|
2,822.9
|
47.7
|
Gains
on disposal of investments and subsidiaries
|
(7.8)
|
(40.4)
|
Gains
on remeasurement of equity interests arising from a change in scope
of ownership
|
(0.6)
|
(0.4)
|
Investment
and other write-downs
|
296.2
|
7.5
|
Litigation
settlement
|
25.6
|
(16.8)
|
Gain on
sale of freehold property in New York
|
-
|
(7.9)
|
Restructuring
and transformation costs
|
80.7
|
153.5
|
Restructuring
costs in relation to COVID-19
|
232.5
|
-
|
Headline operating profit
|
1,260.5
|
1,560.6
|
|
|
|
Finance
and investment income
|
82.7
|
99.0
|
Finance
costs (excluding interest expense related to lease
liabilities)
|
(211.0)
|
(259.4)
|
|
(128.3)
|
(160.4)
|
|
|
|
Interest cover1 on headline
operating profit
|
9.8
times
|
9.7
times
|
£
million
|
Margin
|
2020
|
Margin
|
2019
|
Continuing operations
|
|
|
|
|
Revenue less pass-through costs
|
|
9,762.0
|
|
10,846.5
|
Headline operating profit
|
12.9%
|
1,260.5
|
14.4%
|
1,560.6
|
Share
of results of associates (excluding exceptional
gains/losses)
|
|
10.1
|
|
62.5
|
Headline PBIT
|
13.0%
|
1,270.6
|
15.0%
|
1,623.1
|
£
million
|
2020
|
2019
|
Continuing operations
|
|
|
Headline
PBIT
|
1,270.6
|
1,623.1
|
Depreciation
of property, plant and equipment
|
174.8
|
185.5
|
Amortisation
of other intangible assets
|
35.2
|
21.2
|
Headline EBITDA (including depreciation of right-of-use
assets)
|
1,480.6
|
1,829.8
|
Depreciation
of right-of-use assets
|
331.9
|
301.6
|
Headline EBITDA
|
1,812.5
|
2,131.4
|
£
million
|
2020
|
20191
|
Continuing operations
|
|
|
(Loss)/profit before taxation
|
(2,790.6)
|
1,214.3
|
Amortisation
and impairment of acquired intangible assets
|
89.1
|
121.5
|
Goodwill
impairment
|
2,822.9
|
47.7
|
Gains
on disposal of investments and subsidiaries
|
(7.8)
|
(40.4)
|
Gains
on remeasurement of equity interests arising from a change in scope
of ownership
|
(0.6)
|
(0.4)
|
Investment
and other write-downs
|
296.2
|
7.5
|
Restructuring
and transformation costs
|
80.7
|
153.5
|
Restructuring
costs in relation to COVID-19
|
232.5
|
-
|
Share
of exceptional losses of associates
|
146.1
|
47.8
|
Litigation
settlement
|
25.6
|
(16.8)
|
Gain on
sale of freehold property in New York
|
-
|
(7.9)
|
Revaluation
and retranslation of financial instruments
|
147.2
|
(163.8)
|
Headline PBT
|
1,041.3
|
1,363.0
|
Headline
tax charge
|
(242.1)
|
(299.6)
|
Headline
non-controlling interests
|
(58.9)
|
(79.2)
|
Headline earnings
|
740.3
|
984.2
|
£
million
|
2020
|
2019
|
Continuing operations
|
|
|
Headline
PBT
|
1,041.3
|
1,363.0
|
Share
of results of associates (excluding exceptional
gains/losses)
|
(10.1)
|
(62.5)
|
Headline
PBT excluding headline share of results of associates
|
1,031.2
|
1,300.5
|
Tax
charge
|
129.3
|
275.0
|
Tax
charge relating to gains on disposal of investments and
subsidiaries
|
(2.7)
|
(6.9)
|
Tax
credit relating to restructuring and transformation
costs
|
14.3
|
29.2
|
Tax
credit relating to restructuring and transformation costs in
relation to COVID-19
|
51.2
|
-
|
Tax
credit relating to gain on sale of freehold property in New
York
|
-
|
0.5
|
Tax
charge relating to litigation settlement
|
5.4
|
(4.2)
|
Deferred tax impact
of the amortisation of acquired intangible assets and other
goodwill items
|
36.0
|
13.3
|
Deferred tax
relating to gains on disposal of investments and
subsidiaries
|
8.6
|
(7.3)
|
Headline
tax charge
|
242.1
|
299.6
|
Headline tax
rate
|
23.5%
|
23.0%
|
£
million
|
2020
|
2019
|
Continuing operations
|
|
|
Non-controlling
interests
|
53.9
|
79.2
|
Non-controlling
interests relating to restructuring costs in relation to
COVID-19
|
5.0
|
-
|
Headline non-controlling interests
|
58.9
|
79.2
|
£
million
|
2020
|
2019
|
Cash generated by continuing and discontinued
operations
|
2,583.9
|
2,693.2
|
Plus:
|
|
|
Interest
received
|
73.6
|
80.8
|
Investment
income
|
8.7
|
18.3
|
Dividends
from associates
|
32.5
|
33.3
|
Share
option proceeds
|
-
|
0.6
|
Less:
|
|
|
Earnout
payments
|
(115.2)
|
(130.2)
|
Interest
and similar charges paid
|
(173.9)
|
(270.6)
|
Purchase
of property, plant and equipment
|
(218.3)
|
(339.3)
|
Purchase
of other intangible assets (including capitalised computer
software)
|
(54.4)
|
(54.8)
|
Repayment
of lease liabilities
|
(300.1)
|
(249.8)
|
Interest
paid on lease liabilities
|
(98.5)
|
(105.1)
|
Corporation
and overseas tax paid
|
(371.5)
|
(536.0)
|
Dividends
paid to non-controlling interests in subsidiary
undertakings
|
(83.3)
|
(96.2)
|
Free cash flow
|
1,283.5
|
1,044.2
|
Six months ended 30 June 2020
£ million
|
As previously reported
|
Adjusted
|
Continuing operations
|
|
|
General and administrative costs
|
3,195.3
|
3,528.6
|
Operating loss
|
(2,417.3)
|
(2,750.6)
|
Loss before interest and taxation
|
(2,469.2)
|
(2,802.5)
|
Loss before taxation
|
(2,843.9)
|
(3,177.2)
|
Loss for the period from continuing operations
|
(2,867.9)
|
(3,188.1)
|
Loss for the period
|
(2,864.8)
|
(3,185.0)
|
Headline operating profit
|
382.3
|
382.3
|
Loss for the period attributable to equity holders of the
parent
|
(2,889.0)
|
(3,209.2)
|
Weighted average shares used in basic EPS calculation
(million)
|
1,224.7
|
1,224.7
|
Reported basic earnings per share
|
(235.9p)
|
(262.0p)
|
Goodwill
|
8,096.3
|
7,768.1
|
Deferred tax liabilities
|
(398.9)
|
(385.8)
|
Net assets
|
5,779.7
|
5,459.5
|
|
WPP PLC
|
|
(Registrant)
|
Date:
11 March 2021.
|
By:
______________________
|
|
Balbir
Kelly-Bisla
|
|
Company
Secretary
|