Stagwell Inc. ( (STGW) ) has released its Q3 earnings. Here is a breakdown of the information Stagwell Inc. presented to its investors.
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Stagwell Inc. is a marketing transformation company that connects creativity with technology to drive business results for clients worldwide. The company operates in the marketing and advertising sector, with a focus on digital transformation and innovative solutions.
Stagwell Inc. reported a strong third quarter for 2025, with notable revenue growth and strategic advancements. The company achieved a 4% year-over-year increase in revenue, reaching $743 million, and a 6% increase in net revenue. The quarter was highlighted by a groundbreaking partnership with Palantir, enhancing its capabilities in AI-driven marketing solutions.
Key financial metrics for the third quarter include a net income of $25 million attributable to common shareholders, a significant increase from $3 million in the previous year. Adjusted EBITDA rose to $115 million, with a 19% margin on net revenue. The company also reported a year-to-date increase in cash flow from operations by $100 million compared to the prior year. Stagwell’s net new business for the quarter amounted to $122 million, contributing to a last twelve-month total of $472 million.
Looking ahead, Stagwell Inc. remains optimistic about its growth prospects, projecting a total net revenue growth of approximately 8% for 2025. The company anticipates adjusted EBITDA to range between $410 million and $460 million, with a free cash flow conversion exceeding 45%. These projections reflect management’s confidence in sustaining momentum and capitalizing on strategic initiatives.