Stagwell Q1 revenue slightly beats estimates on AI-driven digital boost

Stagwell

30/04/2026 12:31

Overview

US marketing services firm's Q1 revenue rose 8%, a slight beat of analyst expectations

Adjusted EPS for Q1 was $0.17, meeting analyst expectations

Q1 adjusted EBITDA grew 9% but slightly missed analyst estimates

Outlook

Stagwell reiterates 2026 total net revenue growth guidance of 8% to 12%

Company maintains 2026 adjusted EBITDA outlook of $475 mln to $525 mln

Stagwell expects 2026 adjusted EPS of $0.98 to $1.12

Result Drivers

DIGITAL TRANSFORMATION - Co said 9% net revenue growth in digital transformation was driven by applying AI to client work

NEW BUSINESS WINS - Record net new business of $141 mln in Q1, including first government contracts, contributed to growth

COST CONTROL - Management said cost controls supported 9% adjusted EBITDA growth and 31% adjusted EPS growth

Company press release: ID:nACScz4W3a

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Slight Beat*
$704 mln
$700.51 mln (8 Analysts)
Q1 Adjusted EPS
Meet
$0.17
$0.17 (7 Analysts)
Q1 EPS
-$0.05
Q1 Net Income
-$13 mln
Q1 Adjusted EBITDA
Slight Miss*
$90 mln
$90.42 mln (8 Analysts)
Q1 Adjusted EBITDA Margin
15.00%
Q1 Revenue Growth
8.00%


*Applies to a deviation of less than 1%; not applicable for per-share numbers.

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)