Latest news with #StagwellInc
Washington Post
08-05-2025
- Business
- Washington Post
Stagwell: Q1 Earnings Snapshot
NEW YORK — NEW YORK — Stagwell Inc. (STGW) on Thursday reported a loss of $2.9 million in its first quarter. The New York-based company said it had a loss of 4 cents per share. Earnings, adjusted for one-time gains and costs, were 12 cents per share. The marketing communications company posted revenue of $651.7 million in the period.
Associated Press
08-05-2025
- Business
- Associated Press
STAGWELL INC. (NASDAQ: STGW) REPORTS RESULTS FOR THE THREE MONTHS ENDED MARCH 31, 2025
Q1 YoY Revenue Decline of 3%, Q1 YoY Net Revenue Growth of 6% Q1 YoY Net Revenue Growth excluding Advocacy of 9%, Digital Transformation Net Revenue ex. Advocacy Growth of 15% Q1 Net Loss Attributable to Stagwell Inc. Common Shareholders of $3 million; Q1 Adjusted EBITDA of $81 million; Adjusted EBITDA Margin of 14% Q1 EPS of $(0.04); Adjusted EPS of $0.12 Net New Business of $130 million in Q1; LTM Net New Business of $446 million Reiterate Guidance for 2025 of Total Net Revenue Growth of ~8%; Adjusted EBITDA of $410 million to $460 million; Free Cash Flow Conversion in excess of 45% NEW YORK, May 8, 2025 /PRNewswire/ -- (NASDAQ: STGW) – Stagwell Inc. ('Stagwell') today announced financial results for the quarter and three months ended March 31, 2025. FIRST QUARTER RESULTS: See 'Non-GAAP Financial Measures' below for explanations and reconciliations of the Company's non-GAAP financial measures. Mark Penn, Chairman and CEO of Stagwell, said, 'Despite the macro noise from tariffs, Stagwell's first quarter results were in-line with our expectations, setting us up for a strong year ahead. Q1 is a low point in the political cycle and yet we delivered solid growth in the quarter, led by double-digit increases in our Digital Transformation, Creativity and Stagwell Marketing Cloud capabilities. We hit a record $130M of net new business and, consequently, we remain optimistic about our outlook for the rest of the year.' Frank Lanuto, Chief Financial Officer, commented: 'Stagwell delivered solid first quarter results. We reported 9% total net revenue growth excluding advocacy, while posting $81 million in adjusted EBITDA as we effectively managed costs. Additionally, we have made significant progress in simplifying our capital structure and refinancing our revolving credit facility. Our results and these actions position us well for the year ahead.' Financial Outlook 2025 financial guidance is reiterated as follows: Video Webcast Management will host a video webcast on Thursday, May 8, 2025, at 8:30 a.m. (ET) to discuss results for Stagwell Inc. for the quarter and three months ended March 31, 2025. The video webcast will be accessible at An investor presentation has been posted on our website at and may be referred to during the webcast. A recording of the webcast will be accessible one hour after the webcast and available for ninety days at Stagwell Inc. Stagwell is the challenger network built to transform marketing. We deliver scaled creative performance for the world's most ambitious brands, connecting culture-moving creativity with leading-edge technology to harmonize the art and science of marketing. Led by entrepreneurs, our specialists in 45+ countries are unified under a single purpose: to drive effectiveness and improve business results for their clients. Join us at Contacts For Investors: Ben Allanson [email protected] For Press: Beth Sidhu [email protected] Non-GAAP Financial Measures In addition to its reported results, Stagwell Inc. has included in this earnings release certain financial results that the Securities and Exchange Commission (SEC) defines as 'non-GAAP Financial Measures.' Management believes that such non-GAAP financial measures, when read in conjunction with the Company's reported results, can provide useful supplemental information for investors analyzing period to period comparisons of the Company's results. Such non-GAAP financial measures include the following: (1) Net New Business: Estimate of annualized revenue for new wins less annualized revenue for losses incurred in the period. (2) Adjusted EBITDA: defined as Net income excluding non-operating income or expense to achieve operating income, plus depreciation and amortization, stock-based compensation, deferred acquisition consideration adjustments, and other items. Other items include restructuring costs, acquisition-related expenses, and non-recurring items. (3) Adjusted Diluted EPS is defined as (i) Net income (loss) attributable to Stagwell Inc. common shareholders, plus net income attributable to Class C shareholders, excluding amortization expense, impairment and other losses, stock-based compensation, deferred acquisition consideration adjustments, discrete tax items, and other items, divided by (ii) (a) the per weighted average number of common shares outstanding plus (b) the weighted average number of Class C shares outstanding, (if dilutive). Other items includes restructuring costs, acquisition-related expenses, and non-recurring items, and subject to the anti-dilution rules. (5) Free Cash Flow: defined as Adjusted EBITDA less capital expenditures, change in net working capital, cash taxes, interest, and distributions to minority interests, but excludes contingent M&A payments. Free Cash Flow Conversion is the percentage of adjusted EBITDA. Included in this earnings release are tables reconciling reported Stagwell Inc. results to arrive at certain of these non-GAAP financial measures. This document contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the 'Securities Act'), and Section 21E of the Securities Exchange Act of 1934, as amended (the 'Exchange Act'). The Company's representatives may also make forward-looking statements orally or in writing from time to time. Statements in this document that are not historical facts, including, statements about the Company's beliefs and expectations, future financial performance, growth, and future prospects, the Company's strategy, business and economic trends and growth, technological leadership and differentiation, potential and completed acquisitions, anticipated and actual operating efficiencies and synergies and estimates of amounts for redeemable noncontrolling interests and deferred acquisition consideration, constitute forward-looking statements. Forward-looking statements, which are generally denoted by words such as 'ability,' 'aim,' 'anticipate,' 'assume,' 'believe,' 'build,' 'consider,' 'continue,' 'could,' 'develop,' 'drive,' 'estimate,' 'expect,' 'focus,' 'forecast,' 'future,' 'guidance,' 'intend,' 'likely,' 'maintain,' 'may,' 'ongoing,' 'opportunity,' 'outlook,' 'plan,' 'possible,' 'potential,' 'probable,' 'project,' 'seek,' 'should,' 'target,' 'will,' 'would' or the negative of such terms or other variations thereof and terms of similar substance used in connection with any discussion of current plans, estimates and projections are subject to change based on a number of factors, including those outlined in this section. Forward-looking statements in this document are based on certain key expectations and assumptions made by the Company. Although the management of the Company believes that the expectations and assumptions on which such forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company can give no assurance that they will prove to be correct. The material assumptions upon which such forward-looking statements are based include, among others, assumptions with respect to general business, economic and market conditions, the competitive environment, anticipated and unanticipated tax consequences and anticipated and unanticipated costs. These forward-looking statements are based on current plans, estimates and projections, and are subject to change based on a number of factors, including those outlined in this section. These forward-looking statements are subject to various risks and uncertainties, many of which are outside the Company's control. Therefore, you should not place undue reliance on such statements. Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to update publicly any of them in light of new information or future events, if any. Forward-looking statements involve inherent risks and uncertainties. A number of important factors could cause actual results to differ materially from those contained in any forward-looking statements. Such risk factors include, but are not limited to, the following: Investors should carefully consider these risk factors, other risk factors described herein, and the additional risk factors outlined in more detail in our 2024 Form 10-K, filed with the Securities and Exchange Commission (the 'SEC') on March 11, 2025, and accessible on the SEC's website at under the caption 'Risk Factors,' and in the Company's other SEC filings. View original content to download multimedia: SOURCE Stagwell Inc.
Yahoo
24-03-2025
- Business
- Yahoo
Why Stagwell Inc. (STGW) is Among the Best Advertising Stocks to Buy Now
We recently published a list of the . In this article, we are going to take a look at where Stagwell Inc. (NASDAQ:STGW) stands against the other best advertising stocks to buy now. Media companies are anticipating a stabilization in ad spending in 2025, along with potential growth for the platforms that offer live events and sports. CNBC reported the expectations for the advertising market in 2025 held by media executives, who opined that positive momentum is expected to continue emerging for media companies with tentpole live programming and sports rights. This improved outlook is supported by the end of the uncertainty that previously reigned supreme due to the election. Although consumers are increasingly moving away from traditional TV bundles and more ad dollars are being spent on streaming, media executives believed that traditional TV is still significant in advertisement, especially when it comes to sports. Overall, a trend of stability is expected to emerge in the market, with executives hoping to go over and beyond the prior slowing in ad spending in recent years. CNBC reported that Mark Marshall, NBCUniversal's chairman of global advertising and partnerships, was of the following opinion about the situation: 'Normalization is the right way to say it with the advertising market. With the election settled, a lot of companies feel the uncertainty over that has gone away.' Dan Porter, CEO of sports media company Overtime, expressed similar sentiments: 'Our first quarter is looking really strong. I think that any election year is challenging for anyone in the fourth quarter because a lot of marketers end up sitting on their hands since the airwaves and digital are crowded. I think that's true for us and it's true for everyone.' Although ad revenue after the election is growing and the market forecast shows stability, Natalie Bastian, global chief marketing officer at Teads, opined that the sector is likely to see a lot of similar trends. She said 2024 had several significant moments for the industry that caused a surge in TV ad revenue, including the presidential election and the Summer Olympics. Bastian said the same budgets are anticipated to be carried over into 2025. CNBC reported that she said the following about the situation: 'What we've heard in general from some of our closest partners … media budgets aren't growing, and so there's just more selection into where [advertisers are] spending their money.' These trends lend live programming and sports crucial significance for media companies. Advertisers and big audiences are increasingly attracted to sports, leading to media companies having to spend significant sums on game rights. According to EDO, an advertising data company, commercials played during live sports brought in 24% higher engagement than other programming forms. CNBC reported that Tim Hurd, vice president of media at Goodway Group, said the following to shed light on the situation: 'Live event coverage will continue to be a cornerstone of media engagement, and streaming services must step up their game. As more streaming platforms dive into sports, the challenge will be to keep viewers engaged, not just by offering content, but by enhancing the overall experience with personalized, non-disruptive ad units.' According to a recent report from GroupM, WPP's media investment group, total revenue for the global advertising industry is anticipated to exceed $1 trillion for the first time in 2025, excluding US political advertising. It is expected to grow 7.7% in 2025 to reach $1.1 trillion. The primary driver of this growth is advertising on digital platforms, which entails retail media as a segment. Despite the shift in consumer sentiments, TV is considered 'the most effective form of advertising.' It is anticipated to grow around 2% in 2025, reaching $169.1 billion in total global ad revenue. In addition, 'pure-play digital' ad revenue is expected to grow by 10% to $813.3 billion in 2025. Pure-play digital covers platforms such as TikTok and YouTube, but does not include 'the digital extensions of traditional media.' According to a report by Mordor Intelligence, the online advertising market is worth $285.96 billion as of 2025. It is anticipated to grow at a compound annual growth rate of 10.85% between 2025 and 2030, reaching $478.61 billion at the end of the forecast period. North America is the largest market in the industry and is also anticipated to be the fastest-growing. We sifted through stock screeners, financial media reports, and ETFs to compile a list of 20 advertising stocks. We then selected the top 12 with the highest number of hedge fund holders, as of Q4 2024, and ranked them in ascending order. We sourced the hedge fund sentiment data from Insider Monkey's database. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (). A data analyst analyzing statistics on a tablet computer, finding insightful solutions for clients. Number of Hedge Fund Holders: 20 Stagwell Inc. (NASDAQ:STGW) is a global marketing company specializing in performance media and data, digital transformation, creativity and communications, and consumer insights and strategy. The Brand Performance Network segment encompasses creative media consulting, business-to-business marketing capabilities, and more. The Communications Network, in contrast, covers a network offering strategic corporate communications, advocacy, public relations, investor relations, online fundraising, and other services to political and advocacy organizations and corporations. Stagwell Inc. (NASDAQ:STGW) also specializes in digital storytelling, multi-cultural marketing, cultural relevance, and influencer integration. Fiscal Q4 2024 marked the continuation of the improving trends exhibited by the company, with revenue growing by 20% and net revenue by 14% in the quarter. This growth was attributed to continued strong momentum in Digital Transformation, which grew revenue by 22% and net revenue by 15% year-over-year. In addition, the company's Performance Media and Data also performed well, increasing revenue by 12% and net revenue by 16% year-over-year. Stagwell Inc. (NASDAQ:STGW) is continually investing in the growth of its cloud and AI-based software solutions and has also made strong progress in managing its cost structure, bringing its comp-to-revenue ratio down to 57.5%, a record low for the company. On March 20, it announced plans to increase 2025 ad spend in news by 22% year-over-year. Investors are thus bullish on the stock, and its median price target of $6.18 implies an upside of 53.72% from current levels. Overall, STGW ranks 9th on our list of the best advertising stocks to buy now. While we acknowledge the potential of STGW as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than STGW but that trades at less than 5 times its earnings, check out our report about the . READ NEXT: and . Disclosure: None. This article is originally published at . Sign in to access your portfolio
Yahoo
21-03-2025
- Business
- Yahoo
Stagwell announces goal to increase 2025 ad spend in news media by 22% y/y
Stagwell (STGW) announced its commitment to increase 2025 ad spend in news by 22% year-over-year. This announcement is timed to Stagwell's second annual Future of News UK summit and the release of new data revealing EMEA CEOs and Board Directors view news as a powerful medium to reach key stakeholders. 'At Stagwell, we believe supporting trusted journalism isn't just good for society – it's smart business,' said Mark Penn, Chairman and CEO of Stagwell. 'The data continues to back that up, which is why we're doubling down on our commitment with a significant increase in news ad spend for 2025.' Easily identify stocks' risks and opportunities. Discover stocks' market position with detailed competitor analyses. Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>> See Insiders' Hot Stocks on TipRanks >> Read More on STGW: Questions or Comments about the article? Write to editor@ 'Goldilocks' Stagwell (STGW) Aims For Just the Right Amount of M&A to Double Revenues Stagwell Inc. Reports Strong Q4 2024 Earnings Stagwell's Strong Financial Performance and Strategic Positioning Earns Buy Rating from Laura Martin Stagwell's Growth Potential and Margin Challenges Amid AI-Driven Expansion Stagwell Inc. Reports Strong Q4 and Annual Growth
