Company: STGW
Filing Date: 2025-07-31
Form Type: 10-Q
Source: 0000876883-25-000024
Chunk: 30

Company: Stagwell Inc
Filing Date: 2025-07-31
Form: 10-Q
Item: Item 2
Chunk 30
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 and an increase in Cost of Services and Depreciation and amortization, partially offset by a decrease in Deferred acquisition consideration.

Cost of services increased $1.6 million. Excluding the decline in Billable costs of $7.0 million, Cost of services increased $8.6 million due to the inclusion of costs from acquired entities.

Deferred acquisition consideration decreased by $3.5 million, primarily attributable to a decrease in the fair value of a certain Brand, partially offset by an increase in the fair value of certain other Brands.

Depreciation and amortization increased by $4.2 million, primarily attributable to the inclusion of costs from acquired entities.

Adjusted EBITDA decreased by $10.4 million, primarily due to a decrease in Operating Income, as discussed above.

 All Other

The components of operating results for the six months ended June 30, 2025, compared to the six months ended June 30, 2024 were as follows: 

Six Months Ended June 30,20252024Change(dollars in thousands)$%Revenue$48,941 $12,852 $36,089 280.8 %Operating ExpensesCost of services28,599 11,353 17,246 151.9 %Office and general expenses37,093 9,588 27,505 286.9 %Depreciation and amortization9,228 7,365 1,863 25.3 %$74,920 $28,306 $46,614 164.7 %Operating Loss$(25,979)$(15,454)$(10,525)68.1 %

62

Six Months Ended June 30,20252024Change(dollars in thousands)$%Net Revenue$48,568 $12,653 $35,915 283.8 %Billable costs 373 199 174 87.4 %Revenue (1)48,941 12,852 36,089 280.8 %Billable costs373 199 174 87.4 %Staff costs32,700 15,428 17,272 112.0 %Administrative costs (1)15,203 (531)15,734 NMUnbillable and other costs, net13,940 4,891 9,049 185.0 %Adjusted EBITDA(13,275)(7,135)(