Public Policy Holding Co., Inc.(DE:PD70)
€9.550.00 (0.00%)
DE:PD70
Public Policy Holding Co., Inc. earnings date
€9.55
At close:0.00 (0.00%)
Public Policy Holding Co., Inc. (PD70) Q3 2026 Earnings Report
3 Followers
DE:PD70 Q3 2026 EPS Results
- Actual EPS
- EUR 0.30
- Consensus EPS
- EUR 0.30
- Beat/Miss
- Met expectations
- One Year Ago EPS
- EUR 0.54
DE:PD70 Q3 2026 Revenue Results
- Actual Revenue
- EUR 50.08M
- Expected Revenue
- EUR 49.84M
- Beat/Miss
- Beat by +EUR 237.67K
- YoY Revenue Growth
- ―
Earnings Announcement Details
- Quarter
- Q3 2026
- Date
- 11/09/2026
- Time
- After Close
- Conference Call
- Monday, November 9, 2026
DE:PD70 Upcoming Earnings
Public Policy Holding Co., Inc.'s next earnings date is estimated for March 17, 2027, based on past reporting schedules.
Q3 2026 Earnings Call Audio
No earnings call audio is available for this earnings event.
Q3 2026 Earnings Slide Deck
Q3 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call was broadly positive, supported by double-digit revenue growth, accelerating government relations activity, reaffirmed full-year guidance, continued acquisition activity, expanding AI-enabled offerings and a strong acquisition pipeline. The main challenges were lower reported margins due to higher holding-company costs, soft corporate communications and public affairs performance, lower adjusted EPS from share-count dilution, reduced year-to-date free cash flow and higher net debt following acquisition payments.
Company Guidance
The company reaffirmed its full-year 2026 guidance, continuing to anticipate reported revenue in the range between $213 million and $216 million, adjusted EBITDA in the range between $48.5 and $50.5 million, and a margin of between 22.5-23.5%. Guidance has not increased as a consequence of the Revemark acquisition, whose profit contribution for the 2 months in 2026 is relatively small, and guidance does not take into account any future acquisitions. The company continues to expect strong free cash flow conversion in the fourth quarter, consistent with its normal second half weighting of cash generation; its outlook is underpinned by approximately 5% average annual organic growth, and it intends to keep leverage within its stated range of 1.5 to 2x adjusted EBITDA.
- Third-Quarter Revenue and Organic Growth IncreasedThird-quarter revenue increased 13.2% year over year to $55.2 million, including organic growth of 5.1%, up from 3.9% in the second quarter.
- Nine-Month Revenue and EBITDA GrowthFor the first nine months, revenue increased 15.2% to $157.5 million and adjusted EBITDA increased 9.9% to $36.2 million, delivered at a 23% margin and described as being in the middle of the company's raised guidance range.
- Full-Year Guidance ReaffirmedThe company reaffirmed its full-year 2026 guidance for reported revenue of $213 million to $216 million and adjusted EBITDA of $48.5 million to $50.5 million, representing an adjusted EBITDA margin of 22.5%-23.5%.
- Government Relations Organic Growth AcceleratedGovernment relations, which represents approximately 58% of total revenue, delivered 7.5% organic growth in the third quarter and 6.7% growth through the first nine months. The CFO also described nine-month government relations organic growth as 7%, with growth recorded in both the second and third quarters.
- Broad-Based Government Relations StrengthGovernment relations growth was spread across state and federal operations and included substantial growth at Pagefield in London. Federal activity was described as robust, while California firms benefited from a busy end to the legislative cycle involving technology, child safety and other issues.
- Compliance and Insight Services Continued Double-Digit GrowthCompliance and insight services, representing approximately 7% of the business, continued to grow at double-digit rates, described as being in the mid-teens so far in 2026.
- Four Acquisitions Added Meaningful Revenue and CapabilitiesThe company said its four acquisitions completed so far in 2026 added approximately $33 million in annualized net revenue based on figures disclosed at announcement, with pretax margins above the company's average and additional capabilities for its service offerings. The two acquisitions completed in the third quarter were already being integrated and making meaningful contributions.
- Expanded State and Corporate Communications FootprintThe Advocacy Partners acquisition added a Florida government relations firm, giving the company market-leading teams in California, Texas and Florida, three of the four largest state economies in the United States. The Revemark acquisition, closed the week before the call, significantly deepened advisory expertise in crisis litigation and financial communications.
- Corporate Communications and Crisis Capabilities ExpandedThrough TrailRunner International, Tancredi and Revemark, the company expanded litigation transaction support, crisis communications and corporate communications capabilities across Dallas, San Francisco, London, Europe and New York. Management said the TrailRunner Group thesis around litigation, special events and transaction communications is now sharper.
- AI-Enabled Tools and Offerings Gained Client TractionThe company is testing AI tools for congressional-hearing transcription, media monitoring, research, synthetic sampling and synthetic message testing. Management said clients have shown significant appetite for new AI-enabled products and described opportunities to deliver insights faster and at lower cost. The patent-pending Pagefield GPS reputation score has been sold across six or seven firms and is being rolled out from London to Sacramento and Washington, D.C.
- Segment Margins Remained Broadly StableThe blended segment margin was 39.5%, described as effectively two ticks above last year. Government relations expanded its margin due to stable retainer-contract pricing and scale economies, while the CFO said the reported decline in compliance and insight services margin was driven by cost allocation structure rather than fundamental weakening of profitability.
- Adjusted Net Income Increased and GAAP Loss ImprovedNine-month adjusted net income increased 12.8% to $28.6 million, helped by an 11% effective tax rate versus 15.5% last year. Third-quarter GAAP loss per share improved to $0.01 from a $0.45 loss per share a year earlier. Management also said the share-based accounting charge from the 2021 London listing is scheduled to roll off at the end of fiscal 2026, enhancing GAAP profitability from 2027.
- Strong Retainer Base and Client DiversificationApproximately 90% of revenue is retainer based, client retention is in the mid-80s, and no single client represents more than 2% of the total client book.
- Acquisition Integration and Cross-Selling ProgressedManagement said acquisitions are placed on the company's financial systems on day one, with payroll generally integrated on day one for U.S. businesses. Acquired teams retain operational continuity while adding their specializations to other disciplines. The company is using business-development calls, summits, client referrals and joint roadshows to increase collaboration and cross-selling.
- Acquisition Financing Capacity IncreasedThe company announced a new five-year $105 million senior secured credit facility, intended to increase to $150 million through a syndication expected in January 2027, with an uncommitted accordion of up to another $50 million. Management said the facility and operating cash flow provide capacity to pursue opportunities while keeping leverage within the stated range of 1.5 to 2 times adjusted EBITDA.
- M&A Pipeline Remains Active and TargetedThe company said it has dozens of opportunities at various stages of review, primarily addressing geographic gaps. Its criteria include firms with $10 million to $30 million of revenue, margins supporting the overall company profile and clear cross-selling opportunities. Management described a pace of two to four transactions per year as appropriate for its ambitions and said valuations have become more realistic than 12 to 18 months ago.
- Political and Policy Change Supporting Client DemandManagement said political, institutional and control changes are good for the business regardless of partisan outcome. Last week's elections put 21 new governors in office and decided more than 6,000 state legislative seats, while the company said its federal and state coverage positions it to help clients navigate new agendas. Key areas of client activity included health care, energy, technology, tariffs, crypto and AI.
- Employee Ownership Model HighlightedNearly half of the company's approximately 500 employees hold some form of equity in PPHC, and more than 160 hold registered inactive shares. Management said the ownership model is intended to retain talent, bring the next generation into ownership and align employee interests with business success.
DE:PD70 Earnings History
| Report Date | Fiscal Quarter | Forecast / EPS | Last Year's EPS | EPS YoY Change | Press Release |
|---|---|---|---|---|---|
| Mar 17, 2027 | 2026 (Q4) | 0.30- | 0.38 | ― | ― |
| Nov 09, 2026 | 2026 (Q3) | 0.300.30 | 0.54 | -45.00% (-0.24) | |
| Aug 10, 2026 | 2026 (Q2) | 0.270.31 | 0.54 | -43.33% (-0.24) | |
| May 12, 2026 | 2026 (Q1) | 0.230.23 | -0.54 | 141.67% (+0.77) | |
| Mar 23, 2026 | 2025 (Q4) | 0.390.38 | -0.54 | 170.00% (+0.93) | |
| Sep 10, 2025 | 2025 (Q2) | 0.540.54 | 0.49 | 11.11% (+0.05) | |
| Mar 12, 2025 | 2024 (Q4) | ―-0.54 | -0.08 | -545.16% (-0.46) | |
| Sep 18, 2024 | 2024 (Q2) | ―0.49 | 0.5 | -2.35% (-0.01) | |
| Mar 13, 2024 | 2023 (Q4) | ―-0.08 | -0.08 | -9.41% (-0.01) | |
| Sep 13, 2023 | 2023 (Q2) | ―0.50 | -0.23 | 321.20% (+0.73) |
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
