The world's biggest advertising company WPP reported an 8.5 per cent slump in first-quarter underlying sales in North America, its biggest market, due to the loss of clients.

WPP, being led by company veteran Mark Read following last year's departure of founder Martin Sorrell, said its overall organic revenue was down 2.8 percent, compared with a full-year forecast of a fall of between 1.5 to 2 per cent.

The British company reaffirmed its full-year outlook, including the forecast that the first half of the year would be more difficult than the second.

"As anticipated, our first-quarter trading update reflects the impact of certain significant client losses in 2018, in particular in the United States," Chief Executive Mark Read said.

WPP, the owner of agencies including JWT, Finsbury and Ogilvy, is in the middle of an overhaul launched by Read following several profit warnings in 2017 and 2018.

The group has been particularly hard hit in the US, where it has lost work from clients including its biggest, Ford, and others in the pharmaceutical and consumer goods sector.

Read has responded by merging several of its biggest agencies, appointing new leaders in the US&nbsp;and launching a hunt for new creative talent.

To help fund the turnaround WPP has put its data analytics business Kantar up for sale, looking for a partner to take a majority stake. It said on Friday it was pleased with the level of interest.

The world's biggest advertising company WPP reported an 8.5 per cent slump in first-quarter underlying sales in North America, its biggest market, due to the loss of clients.

The world's biggest advertising company WPP reported an 8.5 per cent slump in first-quarter underlying sales in North America, its biggest market, due to the loss of clients. WPP, being led by company veteran Mark Read following last year's departure of founder Martin Sorrell, said its overall organic revenue was down 2.8 percent, compared with a full-year forecast of a fall of between 1.5 to 2 per cent. The British company reaffirmed its full-year outlook, including the forecast that the first half of the year would be more difficult than the second. "As anticipated, our first-quarter trading update reflects the impact of certain significant client losses in 2018, in particular in the United States," Chief Executive Mark Read said. WPP, the owner of agencies including JWT, Finsbury and Ogilvy, is in the middle of an overhaul launched by Read following several profit warnings in 2017 and 2018. The group has been particularly hard hit in the US, where it has lost work from clients including its biggest, Ford, and others in the pharmaceutical and consumer goods sector. Read has responded by merging several of its biggest agencies, appointing new leaders in the US and launching a hunt for new creative talent. To help fund the turnaround WPP has put its data analytics business Kantar up for sale, looking for a partner to take a majority stake. It said on Friday it was pleased with the level of interest.

Client losses hit ad group WPP in North America; 8.5% slump in first-quarter reported

WPP's former chief executive Martin Sorrell has moved to reassure investors in the advertising giant that the firm he has set up since his abrupt exit will not compete directly with it.

Sorrell has spoken to at least two WPP shareholders in recent weeks in calls instigated by the investors and facilitated by WPP, a spokesman for the FTSE-100 company told Reuters.

In one of the calls the 73-year-old former CEO told Alastair Gunn, a fund manager at Jupiter Asset Management which is WPP's 15th biggest shareholder, that the new venture he launched just six weeks after leaving the group in April will not undermine WPP.

Sorrell, who did not have a non-compete clause in his contract and remains WPP's eighth biggest shareholder, indicated that he would not seek to hurt the company he founded 33 years ago, Gunn told Reuters.

"He's got a lot of money still invested in WPP and he made it clear that it would be very illogical of him to be out to try and undermine his single largest investment," Gunn said.

"He said he wasn't going to come back and do something that would be a waterfront-type competitor to WPP."

Sorrell outlined a deal to invest 40 million pounds of his own money in a reverse takeover of London-listed Derriston Capital on Wednesday. The shell company will be renamed S4 Capital and be used to buy marketing firms.

The Derriston deal echoes the strategy that Sorrell used to transform shopping basket producer Wire and Plastic Products into WPP, the world's largest advertising company with a market value of around 15.6 billion pounds.

Sorrell said that he saw "significant opportunities for development in technology, data and content" and institutional investors have indicated they are willing to provide more than 150 million pounds to help S4 with acquisitions.

His swift return was not a surprise, Jupiter's Gunn said.

"One of the things that made him so impressive at WPP was that he wasn't like other CEOs, he was very driven and motivated and very accessible all the time. So the idea he was just going to sit on a beach somewhere was a bit of a joke," Gunn added.

A spokesman for Sorrell confirmed that he had spoken to WPP shareholders.

Sorrell, who was one of Britain's most high-profile and best-paid business executives, left WPP after the board investigated an allegation of personal misconduct.&nbsp

WPP has not given any details of the allegation and Sorrell has denied any wrongdoing.

Sorrell, who did not have a non-compete clause in his contract and remains WPP's eighth biggest shareholder, indicated that he would not seek to hurt the company he founded 33 years ago, Gunn told

WPP's former chief executive Martin Sorrell has moved to reassure investors in the advertising giant that the firm he has set up since his abrupt exit will not compete directly with it. Sorrell has spoken to at least two WPP shareholders in recent weeks in calls instigated by the investors and facilitated by WPP, a spokesman for the FTSE-100 company told Reuters. In one of the calls the 73-year-old former CEO told Alastair Gunn, a fund manager at Jupiter Asset Management which is WPP's 15th biggest shareholder, that the new venture he launched just six weeks after leaving the group in April will not undermine WPP. Sorrell, who did not have a non-compete clause in his contract and remains WPP's eighth biggest shareholder, indicated that he would not seek to hurt the company he founded 33 years ago, Gunn told Reuters. "He's got a lot of money still invested in WPP and he made it clear that it would be very illogical of him to be out to try and undermine his single largest investment," Gunn said. "He said he wasn't going to come back and do something that would be a waterfront-type competitor to WPP." Sorrell outlined a deal to invest 40 million pounds of his own money in a reverse takeover of London-listed Derriston Capital on Wednesday. The shell company will be renamed S4 Capital and be used to buy marketing firms. The Derriston deal echoes the strategy that Sorrell used to transform shopping basket producer Wire and Plastic Products into WPP, the world's largest advertising company with a market value of around 15.6 billion pounds. Sorrell said that he saw "significant opportunities for development in technology, data and content" and institutional investors have indicated they are willing to provide more than 150 million pounds to help S4 with acquisitions. His swift return was not a surprise, Jupiter's Gunn said. "One of the things that made him so impressive at WPP was that he wasn't like other CEOs, he was very driven and motivated and very accessible all the time. So the idea he was just going to sit on a beach somewhere was a bit of a joke," Gunn added. A spokesman for Sorrell confirmed that he had spoken to WPP shareholders. Sorrell, who was one of Britain's most high-profile and best-paid business executives, left WPP after the board investigated an allegation of personal misconduct. WPP has not given any details of the allegation and Sorrell has denied any wrongdoing.

Martin Sorrell tells investor his new venture is not targeting WPP

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Client losses hit ad group WPP in North America; 8.5% slump in first-quarter reported

Martin Sorrell tells investor his new venture is not targeting WPP