Q1 2003 Trading Update

WPP Group PLC
25 April 2003


For Immediate Release                                             25 April 2003


                                     WPP

                            QUARTERLY TRADING UPDATE

                           LIKE-FOR-LIKE REVENUES FLAT

              FIRST QUARTER OPERATING MARGINS IN LINE WITH BUDGET


Current Trading

Reported revenues fell by almost 4%.  In constant currencies, first quarter
revenues were up by over 1%.  On a like-for-like basis, excluding acquisitions
and currency fluctuations, revenues were flat.

As shown in the appendix to this release, on a constant currency basis, the
geographical pattern of revenue growth varied in the first quarter.  In North
America, revenues were up by over 1%.  In Europe, the UK was down over 3% and
Continental Europe up over 3%.  Asia Pacific, Latin America, Africa and the
Middle East was up over 3%.

By communications services sector, advertising and media investment management
was up over 3%, information, insight and consultancy (renamed following the
transfer of certain strategic marketing consulting companies from specialist
communications) up over 4%, public relations and public affairs down 3% and
branding and identity, healthcare and specialist communications down almost 2%.

Net new business billings of £410 million ($660 million) were won during the
first quarter. The Group continues to benefit from consolidation trends in the
industry, winning several large assignments from existing and new clients.   The
Group was ranked first in the absolute and relative Credit Suisse First Boston
net new business surveys for the first quarter.

First quarter operating margins are in line with budget, which indicated full
year improvement of up to one margin point.

As noted when announcing the Group's preliminary results for 2002 the decline in
like-for-like revenues lessened in each quarter of that year, from 9% in quarter
one, to 8% in the second quarter, to over 3% in quarter three and under 3% in
quarter four.  This continuous improvement has been maintained in the first
quarter of 2003, with like-for-like revenues flat and North America showing
revenue growth for the second consecutive quarter.

The Group's operating companies have continued their efforts to balance their
staff costs to revenues, eliminate waste and improve efficiency.  In the first
quarter of 2003, on a like-for-like basis, the total number of people in the
Group (excluding associates) fell by 1.4% from 49,848 on 31 December 2002 to
49,171 on 31 March 2003.  In the first quarter of 2003, average headcount on a
like-for-like basis is down over 5% compared with the first quarter of 2002.

Balance Sheet and Cash Flow

The Group continues to implement its strategy of using free cash flow to enhance
share owner value through a combination of smaller scale acquisitions and share
cancellations, whilst ensuring that these expenditures are covered by free cash
generated.

In the first quarter of 2003 the Group completed acquisitions in advertising and
media investment management in the United Kingdom, China, Germany, Italy, South
Korea and Switzerland and in information, insight and consultancy in Portugal.

5,600,000 ordinary shares were purchased in the first quarter of 2003, at an
average price of £3.66 per share and total cost of £20.2 million.  All of these
shares were cancelled.  The rolling share buy-back programme continues at a
target level of £100 to £150 million per annum, equivalent to approximately 2%
of the current market capitalisation.

Net debt at 31 March 2003 was £1,335 million, compared to £1,505 million at the
same date in 2002.  Average net debt in the first quarter of 2003 was £1,252
million compared to £1,227 million in 2002, at 2003 exchange rates.   In the
twelve months to 31 March 2003, the Group's free cash flow was £442 million.
Over the same period, the Group's expenditure on capital, acquisitions, share
re-purchases and cancellations was £489 million.

Future Objectives

The Group continues to focus on its key objectives of improving operating
profits and margins, increasing cost flexibility (particularly in the areas of
staff and property costs), using free cash flow to enhance share owner value and
improve return on capital employed, continuing to develop the role of the parent
company in adding value to our clients and people, developing our portfolio in
high revenue growth geographical and functional areas and improving our creative
quality and capabilities.

For further information:

Sir Martin Sorrell                )     44 207 408 2204
Paul Richardson                   )     1 212 632 2301
Feona McEwan                      )

This press release may contain forward-looking statements within the meaning of
the federal securities laws. These statements are subject to risks and
uncertainties that could cause actual results to differ materially including
adjustments arising from the annual audit by management and the company's
independent auditors. For further information on factors which could impact the
company and the statements contained herein, please refer to public filings by
the company with the Securities and Exchange Commission. The statements in this
press release should be considered in light of these risks and uncertainties.

Appendix: Revenue and revenue growth by region and communications services
sector

3 months ended March 31, 2003

                                                                               Revenue        Constant
                                                                                Growth        Currency
Region                                                                        Reported         Growth(1)
                                                      2003        2002       2003/2002       2003/2002
                                                      £m          £m                 %               %

North America                                        401.2       443.4            -9.5             1.4

United Kingdom                                       147.5       152.9            -3.5            -3.5

Continental Europe                                   228.8       204.8            11.7             3.5

Asia Pacific, Latin America,
Africa & Middle East                                 131.0       144.7            -9.5             3.6

TOTAL GROUP                                          908.5       945.8            -3.9             1.4


                                                                              Revenue          Constant
                                                                               Growth          Currency
Communications Services                                                      Reported           Growth(1)
Sector                                               2003        2002       2003/2002         2003/2002
                                                     £m            £m               %                 %

Advertising, Media Investment
Management                                          414.7       426.5            -2.8               3.1

Information, Insight &
Consultancy(2)                                      161.0       159.3             1.1               4.6

Public Relations
& Public Affairs                                    103.2       114.0            -9.5              -3.0

Branding & Identity,
Healthcare and
Specialist Communications(2)                        229.6       246.0            -6.7              -1.7

TOTAL GROUP                                         908.5       945.8            -3.9               1.4



(1) Constant currency growth excludes the effects of currency movements.

(2) In 2003 certain of the Group's Specialist Communications companies in strategic
    marketing consulting were moved into the renamed Information, Insight & 
    Consultancy Sector. As a result the comparative figures for both 
    Information, Insight & Consultancy and Branding & Identity, Healthcare and 
    Specialist Communications Sector have been restated to reflect this
    change.


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