Stagwell (STGW)
NASDAQ:STGW
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Earnings Data
Report Date
Apr 30, 2026Before Open (Confirmed)
Period Ending
2026 (Q1)Consensus EPS Forecast
0.17Last Year’s EPS
0.12Same Quarter Last Year
Strong Buy
Based on 5 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call presented multiple operational and financial improvements — revenue growth led by Digital Transformation and Marketing Services, rapid expansion and early profitability in the Marketing Cloud, record net new business, expanded product traction (AI and partnerships), doubled free cash flow and implemented cost savings — which together point to building momentum heading into 2026. The company acknowledged near-term headwinds in Communications and the biannual campaign rotation (≈$50M EBITDA impact), modest consolidated top-line growth in 2025, a deliberate slowdown in M&A, and continued market undervaluation. On balance, the positive results, strong cash generation, clear efficiency actions, and product commercialization progress outweigh the listed challenges and position the company for stronger organic growth and margin expansion in 2026.Company Guidance
Full-Year and Quarterly Revenue Growth
Full-year revenue exceeded $2.9B and net revenue exceeded $2.4B, up 5.7% versus 2024; Q4 revenue was $807M (+2.4% YoY) and Q4 net revenue was $651M (+3.4% YoY).
Digital Transformation and Marketing Services Strength
Digital Transformation grew 13.3% in 2025 (Mark highlighted 13%); Marketing Services grew 6% with organic growth of 9% and 5% respectively in those segments, underpinning product and services demand.
Marketing Cloud Rapid Expansion and Profitability
Marketing Cloud annual run-rate exceeded ~$110M in Q4; growth figures cited include +230% YoY overall and +34.3% organic for the year, Q4 organic growth ~41.2%; Marketing Cloud reached a positive adjusted EBITDA margin in Q4 (~10.8%).
Adjusted EBITDA and Margin Improvements
Full-year adjusted EBITDA was $422M (17.4% margin); ex-advocacy adjusted EBITDA rose to $377M (+15.9% YoY / +16% cited elsewhere) with margin expansion, and Q4 ex-advocacy adjusted EBITDA was $114M with an 18.7% margin (≈180 bps expansion vs. Q4 2024).
Free Cash Flow and Cash Conversion
Free cash flow more than doubled to $187M in 2025 (~45% conversion of adjusted EBITDA); guidance expects 50%–60% free cash flow conversion in 2026 with ongoing collections and billing automation efforts.
Net New Business and Client Concentration Gains
LTM net new business grew 25% to $476M (company record) with notable wins at Starbucks, Target and NASCAR; Top 25 clients grew 20% YoY, average relationship $28M, and now represent 29% of revenue (Top 100 grew 16%).
Product Traction and AI/Technology Momentum
Multiple AI products launched and gaining traction: Agentic targeting system (2 PoCs and one $5M full deployment cited), NewVoices.ai, Agent Cloud, Quest and BERA tools (+58% in 2025), and UNICEPTA (+168% organic in Q4). Strategic partnerships include Palantir and AppLovin.
Cost Actions and Operational Efficiency
Implemented $51M of targeted cost savings toward an $80M–$100M initiative; expect these actions to drive nearly 20% improvement in adjusted EBITDA in 2026 as savings fully flow through; payroll cost ratio improved 143 bps vs 2023 to 61.9%.
Capital Allocation and Share Count Reduction
Board approved a $350M expansion of buyback authorization; company repurchased ~23M shares in 2025 and reduced share count from 296M to ~253M; total buyback capacity reported at $400M and prior repurchases over 4 years totaled ~$323M.
STGW Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
STGW Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Mar 10, 2026 | $5.24 | $6.16 | +17.56% |
Nov 06, 2025 | $4.81 | $5.62 | +16.84% |
Jul 31, 2025 | $5.16 | $5.73 | +11.05% |
May 08, 2025 | $5.81 | $5.00 | -14.03% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Stagwell (STGW) report earnings?
Stagwell (STGW) is schdueled to report earning on Apr 30, 2026, Before Open (Confirmed).
What is Stagwell (STGW) earnings time?
Stagwell (STGW) earnings time is at Apr 30, 2026, Before Open (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is STGW EPS forecast?
STGW EPS forecast for the fiscal quarter 2026 (Q1) is 0.17.