Company: STGW
Filing Date: 2025-07-31
Form Type: 10-Q
Source: 0000876883-25-000024
Chunk: 127

Company: Stagwell Inc
Filing Date: 2025-07-31
Form: 10-Q
Item: Item 1
Chunk 127
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7 million, primarily driven by earnings, partially offset by funding working capital requirements during the period.

Cash flows used in operating activities for the six months ended June 30, 2024 were $67.6 million. The use of cash from operating activities was to fund working capital requirements during the period. 

Investing Activities

Cash flows used in investing activities were $34.9 million for the six months ended June 30, 2025, primarily driven by $29.2 million in capitalized software spend and $11.6 million in capital expenditures, partially offset by $14.2 million in acquisitions, net of cash acquired.

Cash flows used in investing activities were $52.2 million for the six months ended June 30, 2024, primarily driven by $17.1 million in capitalized software spend, $14.0 million in capital expenditures, and $20.4 million in acquisitions, net of cash acquired.

Financing Activities

During the six months ended June 30, 2025, cash flows provided by financing activities were $21.1 million, primarily driven by $113.0 million in net proceeds borrowed under the Credit Agreement, partially offset by shares repurchased and tax shares withheld of $67.5 million and payments of deferred consideration of $16.1 million.

During the six months ended June 30, 2024, cash flows provided by financing activities were $138.3 million, primarily driven by $275.0 million in net proceeds borrowed under the Credit Agreement, shares repurchased and cancelled of $86.9 million, payments of deferred consideration of $24.0 million, and distributions to noncontrolling interests of $22.5 million. 

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Total Debt

As of June 30, 2025, Debt, net of debt issuance costs, was $1,464.2 million, compared to $1,353.6 million outstanding as of December 31, 2024. See Note 8 of the Notes included herein for information regarding the Company’s 5.625% Notes and the Credit Agreement.

As of June 30, 2025, the Company was in compliance with all of the terms and conditions of the Credit Agreement, and management believes, based on its current financial projections, that the Company will be in compliance with its covenants over the next twelve months.

If the Company loses all or a substantial portion of its lines of credit under the Credit Agreement, or if the Company uses the