Company: STGW
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0000876883-25-000034
Chunk: 105

Company: Stagwell Inc
Filing Date: 2025-11-06
Form: 10-Q
Item: Item 1
Chunk 105
---
 of deductions for share based compensation expense vested during the period, offset by an increase in current losses subject to valuation allowance.

Noncontrolling and Redeemable Noncontrolling Interests

The effect of noncontrolling and redeemable noncontrolling interests for the three months ended September 30, 2025 was loss of $0.9 million, compared to income of $10.6 million for the three months ended September 30, 2024. The amounts are driven by the mix of income and loss derived from entities not entirely owned by the Company. Additionally, the change was driven by the Class C  Exchange (as defined and discussed in Note 9 of the Notes included herein) during the second quarter of 2025.

Net Income (Loss) Attributable to Stagwell Inc. Common Shareholders 

As a result of the foregoing, net income attributable to Stagwell Inc. common shareholders for the three months ended September 30, 2025 was $24.6 million, compared to net income of $3.3 million for the three months ended September 30, 2024.

41

Earnings Per Share

Diluted EPS and Adjusted Diluted EPS for the three months ended September 30, 2025 were as follows:

GAAPAdjustments (1)Non-GAAP(amounts in thousands, except per share amounts)Net income attributable to Stagwell Inc. common shareholders and adjusted net income$24,619 $38,147 $62,766 Diluted - Weighted average number of common shares outstanding259,583 — 259,583 Diluted EPS and Adjusted Diluted EPS (1)$0.09 $0.24 Adjustments to Net incomeAmortization$38,707 Impairment and other losses466 Stock-based compensation12,646 Deferred acquisition consideration(13,348)Other items, net11,928 $50,399 Adjusted tax expense(12,252)$38,147 

(1) Adjusted Diluted EPS is defined within the Non-GAAP Financial Measures section of the Executive Summary.

42

Diluted EPS and Adjusted Diluted EPS for the three months ended September 30, 2024 were as follows:

GAAPAdjustments (1)Non-GAAP(amounts in thousands, except per share amounts)Net income attributable to Stagwell Inc. common shareholders$3,271 $19,762 $23,