Ad conglomerate WPP point to China and the Internet as the two largest ad opportunities on the current horizon, after reporting a 30% increase in pre-tax profits for the first half of 2006.
Net income rose to $333.3 million for the half from $255.3 million in the same period last year. Revenue climbed 16% to $5.4 billion, while billings increased 27% for the half to $27.2 billion.
“The two critical strategic opportunities for our clients, media owners and ourselves… could be glibly described as China and the Internet," WPP CEO Martin Sorrell in a statement accompanying the release. He pointed out that the Beijing Olympics in 2008 will provide marketing opportunities. And the company recently bought an ad-supported online game publisher, Wild Tangent, and has signed a partnership with online reputation monitoring firm Visible Technologies.
The second largest ad firm in the world, WPP is a holding company for ad agencies Grey Global Group, Ogilvy & Mather Worldwide and JWT and marketing communications company Wunderman among others.
