Sharewatch: WPP Boosted By Record Revenues

WPP was seen in focus last week with shares rising by 3.61% to close at 488p after announcing that half-year revenues have reached over £2 billion for the first time ever, spurred by a significant recovery in the advertising industry.

Sir Martin Sorrell revealed on Friday that revenues at the world’s second largest advertising group rose from January to June by 6% year-on-year to £2.03 billion, stimulated by the effects of Euro 2004, the Olympic Games and the US presidential elections (see Revenues At WPP Exceed Expectations To Reach £2 Billion).

Rival advertising group, Aegis, also performed well with stock climbing 4.11% higher in week on week analysis to close at 82ź. Last week the company created the UK’s largest online buying point following the launch of a new digital media agency called Diffiniti to replace the ageing Carat Interactive brand (see Aegis Forms UK’s Largest Online Media Buying Point).

At the other end of the scale, Capital Radio dipped by 2.12% to finish at 4.40žp, despite securing high-street retailer Woolworths to extend its sponsorship of radio chart show Hit 40 UK until 2006, in one of the biggest sponsorship deals in radio history (see Capital Spins Sponsorship Deal With Woolworths).

The closing prices of media company shares on Friday were: