Company: STGW
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0000876883-25-000034
Chunk: 188

Company: Stagwell Inc
Filing Date: 2025-11-06
Form: 10-Q
Item: Item 8
Chunk 188
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3 %

45

Three Months Ended September 30,20252024Change(dollars in thousands)$%Net Revenue$95,376 $85,270 $10,106 11.9 %Billable costs 8,334 3,022 5,312 175.8 %Revenue103,710 88,292 15,418 17.5 %Billable costs8,334 3,022 5,312 175.8 %Staff costs62,123 56,384 5,739 10.2 %Administrative costs6,981 5,036 1,945 38.6 %Unbillable and other costs, net387 368 19 5.2 %Adjusted EBITDA25,885 23,482 2,403 10.2 %Stock-based compensation934 2,617 (1,683)(64.3)%Depreciation and amortization5,932 5,536 396 7.2 %Deferred acquisition consideration1,874 1,265 609 48.1 %Other items, net432 509 (77)(15.1)%Operating Income$16,713 $13,555 $3,158 23.3 %

Revenue

Revenue for the three months ended September 30, 2025 was $103.7 million, compared to $88.3 million for the three months ended September 30, 2024, an increase of $15.4 million.

Net Revenue

The components of the fluctuations in net revenue for the three months ended September 30, 2025, compared to the three months ended September 30, 2024 were as follows: 

Net Revenue - Components of ChangeChangeThree Months Ended September 30, 2024Foreign CurrencyNet Acquisitions (Divestitures)OrganicTotal ChangeThree Months Ended September 30, 2025OrganicTotal(dollars in thousands)Digital Transformation$85,270 $(99)$4,356 $5,849 $10,106 $95,376 6.9%11.9%Component % change(0.1)%5.1 %6.9 %11.9 %

The increase in organic net revenue was primarily attributable to new client wins and increased spending in the communications and consumer products sectors. The increase in net acquisitions (divest