Advertising giant WPP is ratcheting up its expectations for 2010 after reporting a slight decline in revenues in the first quarter.
Revenues declined just under 2% from the same period last year, to £2.078bn. The UK-based advertising agency cited a strong turnaround at the start of the year in the huge US market. However, the company was cautious in its outlook for the global economy, saying it expected rising inflation and interest rates.
“We live in political, not economic cycles and politicians are in business to be re-elected…economic growth in the West in particular is likely to be slow and a slog,” said the company in a written statement. The result comes after WWP saw profits fall by 11% to £663m ($1bn) in 2009 as the economic downturn bit hard into its business. Chief executive Sir Martin Sorrell told the BBC that last year, the firm had been “staring into the abyss”.