India shines as WPP’s lone bright spot with 6.7% growth amid global slowdown

India has once again emerged as WPP’s strongest growth market, posting a robust 6.7% like-for-like (LFL) growth in the third quarter of 2025, even as the world’s largest advertising group grappled with a global slowdown led by client losses and weakening media business performance.

According to WPP’s Q3 2025 trading update, India and the Middle East were among the few bright spots that helped offset a sharp decline in key Western markets including the US, UK, Germany and China. The company described India as showing “continued strong new business momentum, in particular at WPP Media.”

Among WPP’s top five markets, India was the only one to record positive growth in the quarter. While India grew 6.7%, the US fell 5.6%, the UK dropped 8.9%, and both Germany and China declined by 10.6%. On a year-to-date basis, India recorded a 2.1% rise LFL, underscoring its growing strategic importance to the group’s Asia-Pacific and emerging markets portfolio.

Globally, WPP’s revenue less pass-through costs fell 5.9% on a like-for-like basis to £2.46 billion, while reported revenue dropped 8.4% to £3.26 billion. The company blamed the weaker numbers on a slowdown in its media business and recent client assignment losses.

“Performance in the quarter was driven by a step down in WPP Media versus the second quarter,” the company said. “Given the impact of further client assignment losses from 1 October, we anticipate the like-for-like decline in revenue less pass-through costs to deteriorate further in the fourth quarter.”

The weak Q3 prompted WPP to revise its full-year outlook. The company now expects 2025 LFL growth in revenue less pass-through costs to range between -5.5% and -6.0%, compared to its earlier projection of -3% to -5%. The headline operating profit margin is forecast around 13%, slightly lower than prior guidance.

Sequentially, WPP Media’s performance worsened — from a 4.7% LFL decline in Q2 to 5.7% in Q3, with management warning of further pressure in the final quarter of the year.

India Cushions Global Dip

By geography, North America saw a 6% LFL drop, the UK declined 8.9%, and Western Continental Europe fell 4.4%. The Rest of World segment, which includes India, slipped 5%, but India’s strong momentum helped soften the overall fall.

In terms of client sectors, Healthcare and Pharma remained the standout performer globally with 6.7% growth, while Consumer Packaged Goods, Automotive, Retail, and Tech & Digital Services witnessed contractions ranging between 4% and 8%.

AI, Cost Focus, and India’s Strategic Role

Despite macro challenges, WPP continued investing in technology and AI-driven transformation. The company extended its partnership with Google for another five years to accelerate advances in cloud and AI technology. It also rolled out WPP Open Pro, an enhanced version of its AI-powered marketing platform.

WPP said over 76,000 employees — representing more than 90% of client-facing staff — used the platform in September. The adoption underscores the company’s ambition to leverage AI at scale for creative, media, and data-led campaigns, with India emerging as one of its fastest-growing AI integration markets.

Leadership Response and Path Forward

Cindy Rose, who took over as Group CEO earlier this year, admitted the company’s recent performance was “unacceptable” but reaffirmed commitment to a turnaround plan focused on simplification, cost efficiency, and growth in emerging markets.

“My ambition is for WPP to lead our industry in terms of innovation, client delivery and organic growth,” said Rose. “We have strong foundations, amazing long-standing clients, world-class talent, and market-leading technology and partnerships. We will make our offering simpler, more integrated, powered by data and AI.”

She added that while improvement will take time, several initiatives are already underway to strengthen profitability and execution discipline.

WPP’s average adjusted net debt for the 12 months to 30 September stood at £3.4 billion, down from £3.6 billion a year earlier. Adjusted net debt at the end of Q3 was £3.6 billion, while cash flow guidance remained steady at £1.1–1.2 billion before working capital.

WPP’s India business has been buoyed by new client wins, expansion in digital media spending, and the resilience of local brands in categories such as FMCG, e-commerce, and telecom. With 6.7% growth in Q3 and 2.1% growth year-to-date, India continues to be a rare bright spot in WPP’s global portfolio — a market that not only offsets global weakness but also anchors its long-term growth strategy in Asia.