Company: STGW
Filing Date: 2025-07-31
Form Type: 10-Q
Source: 0000876883-25-000024
Chunk: 74

Company: Stagwell Inc
Filing Date: 2025-07-31
Form: 10-Q
Item: Item 1
Chunk 74
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 leases accounted for under the FASB’s Accounting Standards Codification 842 (“ASC 842”) is the Company’s collateralized credit adjusted borrowing rate.

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The following table presents lease costs and other quantitative information for the three and six months ended June 30, 2025 and 2024:Three Months Ended June 30,Six Months Ended June 30, 2025202420252024Lease Cost:(dollars in thousands)Operating lease cost$16,957$18,702$34,075$39,648Variable lease cost5,1385,88911,14511,826Sublease rental income(2,161)(1,935)(4,296)(4,415)Total lease cost$19,934$22,656$40,924$47,059Additional information:Cash paid for amounts included in the measurement of lease liabilities for operating leasesOperating cash flows$19,982$22,159$40,167$43,819Right-of-use lease assets obtained in exchange for operating lease liabilities and other non-cash adjustments$20,116$7,171$21,636$13,138As of June 30, 2025, the weighted average remaining lease term was 5.6 years, and the weighted average discount rate was 5.8%.Operating lease expense is included in Office and general expenses in the Unaudited Consolidated Statements of Operations. The Company’s lease expense for leases with a term of 12 months or less is immaterial.The following table presents minimum future rental payments under the Company’s leases as of June 30, 2025 and their reconciliation to the corresponding lease liabilities: Maturity Analysis(dollars in thousands)2025$33,812 202667,081 202759,647 202852,136 202947,038 Thereafter81,440 Total341,154 Less: Present value discount(52,810)Lease liability$288,344 

8. DebtThe following tables present the Company’s indebtedness as reported on the Unaudited Consolidated Balance Sheets as of June 30, 2025 and December 31, 2024:June 30, 2025December 31, 2024(dollars in thousands)Credit Agreement$377,000 $264,000 5.625% Notes1,100,000 1,100,000 Debt issuance costs(12,758)(10,376)