Germany’s biggest arms maker Rheinmetall slashes outlook after cancelled government contract; crude oil prices hold below $80 a barrel
WPP shares have surged as much as 27%, after the advertising company said it was on track with its cost-cutting programme and a drop in quarterly sales was not as bad as feared.
The shares are the biggest riser on the FTSE 250, and are now trading 24.5% higher at 382.5p – on track for their biggest daily jump since 1992.
Organic growth remains our North Star. While the turnaround of our financial performance will take time to fully flow through, our strong new business wins and improved client retention, as well as progress on cost savings and portfolio actions, demonstrate that we are building a simpler, more competitive and higher-performing WPP.
We think consensus 2026 organic growth could prove overly conservative following the first-half results. Additionally, the progress on disposals is positive and indicative of the potential unseen value in the broader portfolio.
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