Sharewatch: WPP inches up following increased profits

Global advertising and marketing network WPP saw a rise of 0.51% yesterday, putting stocks at 591˝p. The increase follows a bad day’s trading on monday, despite the company announcing an 18% increase in pre-tax profit to more than £473 million for 2003 (see WPP Takes Bullish Stance As Pre-Tax Profits Rise).

Pearson fared less well, continuing to fall by 0.65%. The Financial Times owner has had a turbulent few weeks, with its flagship business daily posting losses of £32 million during 2003, failing to make improvements despite wide ranging cost-cuts (see Losses Widen At FT And The Outlook Remains Uncertain).

Highbury House made the day’s biggest percentage climb, jumping 5.21% to close at 25źp.

A slow trading day yesterday fueled rumours that big investors were sidelining themselves ahead of an iminent rate change. The FTSE 100 improved slightly on Monday’s 20-month high, closing up 3.1% at 4540.1 while the FTSE 250 climbed 31.1% to 6353.6.

The closing prices of media company shares on Tuesday were: