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Goodwill and acquisitions (Tables)
 6 Months Ended
Jun. 30, 2020
Text block [abstract]  
Cash-generating Units (CGUs) with Significant Goodwill
Cash-generating units
(
CGUs
)
with significant goodwill and brands with an indefinite useful life as at 30 June are:
 
  
  
Goodwill
 
  
Brands with an indefinite
useful life
 
    
30 June
2020
1
   
31 December
2019
1
   
30 June
2020
   
31 December
2019
 
CGU
  
£m
   
£m
   
£m
   
£m
 
GroupM
  
 
3,057.9
 
  
 
2,921.7
 
  
 
—  
 
  
 
—  
 
Wunderman Thompson
  
 
1,167.2
 
  
 
2,121.9
 
  
 
433.3
 
  
 
409.7
 
VMLY&R
  
 
460.6
 
  
 
901.0
 
  
 
203.6
 
  
 
199.1
 
Ogilvy
  
 
823.8
 
  
 
758.6
 
  
 
218.5
 
  
 
211.1
 
Burson Cohn & Wolfe
  
 
651.3
 
  
 
739.3
 
  
 
138.0
 
  
 
130.2
 
Other
  
 
1,935.5
 
  
 
2,668.1
 
  
 
136.4
 
  
 
128.1
 
 
  
 
8,096.3
 
  
 
10,110.6
 
  
 
1,129.8
 
  
 
1,078.2
 
Note
1
 
Figures
have been restated as described in the accounting policies.
Disclosure of Cash Generating Units With Significant ​Impairments​ of Goodwill​
The CGUs with significant impairments of goodwill as at 30 June 2020 are set out in the below table.
 
 
    
Operating Sector
  
Recoverable
amount
   
Goodwill
impairment
charge
1
 
CGU
      
£m
   
£m
 
Wunderman Thompson
 
Global Integrated Agencies
 
 
1,932.2
 
  
 
1,054.4
 
VMLY&R
 
Global Integrated Agencies
 
 
918.3
 
  
 
472.0
 
Burson Cohn & Wolfe
 
Public Relations
 
 
859.8
 
  
 
127.0
 
Geometry Global
 
Specialist Agencies
 
 
205.9
 
 
 
232.5
 
Landor & FITCH
 
Specialist Agencies
 
 
197.5
 
 
 
158.1
 
Other
 
Other
 
 
1,349.3
 
  
 
440.7
 
Note
1
 
Figures
have been restated as described in the accounting policies.
Sensitivity of CGUs with an impairment charge A summary of the movements in the impairment charge from a reasonably possible change in these assumptions is as follows:
  
  
Impact of changes to
assumptions
in 5-year
projection period
 
  
Impact of change
to terminal value
assumptions
 
  
Impact of change to
pre-tax discount rate
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CGU
  
Revenue less
pass-through costs

growth rate
+/- 0.5%
   
Operating
margin %
+/- 0.5%
   
Long-term
cash flow
growth rate
+/- 0.5%
   
+1.5%
  
-1.5%
 
    
£m
   
£m
   
£m
   
£m
  
£m
 
Wunderman Thompson
  
 
19.2
 
  
 
70.8
 
  
 
54.6
 
  
 
(210.2
) 
 
 
279.4
 
VMLY&R
  
 
8.3
 
  
 
37.7
 
  
 
22.9
 
  
 
(100.1
) 
 
 
132.0
 
Burson Cohn & Wolfe
  
 
9.6
 
  
 
21.8
 
  
 
26.9
 
  
 
(98.7
) 
 
 
127.0
 
Geometry Global
 
 
1.2
 
 
 
13.5
 
 
 
3.6
 
 
 
(22.3
) 
 
 
29.7
 
Landor & FITCH
 
 
2.1
 
 
 
6.5
 
 
 
6.0
 
 
 
(23.5
) 
 
 
31.3
 
Other
  
 
11.9
 
  
 
47.8
 
  
 
33.9
 
  
 
(136.4
) 
 
 
162.6
 
 
 
 
52.3
 
 
 
198.1
 
 
 
147.9
 
 
 
(591.2
) 
 
 
762.0