Less than three weeks after downgrading its full-year forecast as part of its third-quarter trading update, Martin Sorrell-led S4 Capital issued another profit warning on Monday. 

Since its update on Nov. 6, the Monks parent company said, “we have received and reviewed both the Company's financial results for October and the third quarter revised forecast for 2025, which show a decrease in net revenue versus the forecast and therefore impacts our fourth quarter performance.” 

Organic net revenue in 2025 is now expected to be down just under 10%. That compares to the “upper single digits” decline the firm believed it was facing earlier this month, which in turn was a downgrade from September when the firm projected a mid-single-digit decline. Earlier it expected growth to be flat for the year.   

“Despite the cost actions we have already taken this year, this decline in net revenue will impact our operational [pre-tax earnings], which we are now targeting to be approximately £75 million, below the current market consensus of £81.6 million.” 

S4 said that reduction was “mainly as a result of lower project-based revenue, continued client caution and a slower ramp up of our new business wins than expected.” 

Company shares fell more than 6% on the London exchange Monday and were down another 2% in midday trading today.