WPP AUNZ Limited reported consolidated earnings results for the six months ended June 30, 2018. For the period, the company reported net revenue of AUD 416.3 million against AUD 410.0 million a year ago. Earnings before interest, tax, depreciation and amortisation were AUD 58.9 million compared to AUD 56.9 million a year ago. Earnings before interest and tax were AUD 39.8 million compared to AUD 40.0 million a year ago. Profit before tax was AUD 33.2 million compared to AUD 32.3 million a year ago. Profit after tax was AUD 16.7 million compared to AUD 23.2 million a year ago. Net profit attributable to members of company was AUD 13.1 million compared to AUD 20.1 million a year ago. Basic and diluted earnings per share were 1.54 cents compared to 2.36 cents a year ago. The company's net debt position increased to AUD 305.0 million at June 30, 2018, this was driven primarily by increased drawdowns from the debt facility to fund working capital requirements, acquisitions and additional tax payments made in the half year. Net cash flows from operating activities were AUD 20,277,000 against AUD 65,256,000 a year ago. Payments for purchase of plant and equipment were AUD 15,405,000 against AUD 7,692,000 a year ago. The operating cash flow of the business has been impacted by the timing of tax payments along with the change in tax legislation leading to an AUD 8.5 million adverse impact in the first half. There was a AUD 10 million cash outflow relating to the establishment of property campuses and production equipment. Earnout payments and intangible assets acquired was AUD 607,000 against AUD 1,698,000 a year ago.

The company believes it is prudent to leave the guidance unchanged at 3% EPS growth for 2018.