Stagwell Inc. (NASDAQ:STGW) Reports Results for the Three and Twelve Months Ended December 31, 2025

Stagwell Inc. (NASDAQ:STGW) Reports Results for the Three and Twelve Months Ended December 31, 2025 FY25 EPS of $0.08; FY25 Adjusted EPS growth of 5% to $0.83

YoY Increase in Cash Flow from Operations of $148 million; Free Cash Flow more than doubled to $187 million

FY25 YoY Revenue Growth of 2%; FY25 YoY Net Revenue Growth of 6%

FY25 YoY Net Revenue Growth excluding Advocacy of 9%, Digital Transformation Net Revenue Growth of 13%, Marketing Services Net Revenue Growth of 6%

The Marketing Cloud delivered YoY Net Revenue Growth of 230%

FY25 Net Income Attributable to Stagwell Inc. Common Shareholders of $29 million; FY25 Adjusted EBITDA of $422 million; FY25 Adjusted EBITDA ex. Advocacy YoY Growth of 16% to $377 million

Net New Business of $106 million in Q4; LTM Net New Business of $476 million

Company Announces $350 Million Increase in Stock Repurchase Program; $400 Million Now Available Under the Program

Guidance for 2026 of Total Net Revenue Growth of 8% to 12%; Adjusted EBITDA of $475 million to $525 million; Free Cash Flow Conversion of 50% to 60%

NEW YORK CITY, NY / ACCESS Newswire / March 10, 2026 / (NASDAQ:STGW) - Stagwell Inc. ("Stagwell") today announced financial results for the year ended December 31, 2025.

FOURTH QUARTER AND FULL YEAR RESULTS:

Q4 Revenue of $807 million, an increase of 2% versus the prior year period; FY25 Revenue of $2,909 million, an increase of 2% versus the prior year period;

Q4 Revenue ex. Advocacy of $742 million, an increase of 12% versus the prior year period; FY25 Revenue ex. Advocacy of $2,689 million, an increase of 9% versus the prior year period;

Q4 Net Revenue of $651 million, an increase of 3% versus the prior year period; FY25 Net Revenue of $2,428 million, an increase of 6% versus the prior year period;

Q4 Net Revenue ex. Advocacy of $609 million, an increase of 8% versus the prior year period; FY25 Net Revenue ex. Advocacy of $2,282 million, an increase of 9% versus the prior year period;

Q4 Net Income attributable to Stagwell Inc. Common Shareholders of $13 million versus $3 million in the prior year period; FY25 Net Income attributable to Stagwell Inc. Common Shareholders of $29 million versus $2 million in the prior year period;

Q4 Adjusted EBITDA of $129 million, an increase of 3% versus the prior year period; FY25 Adjusted EBITDA of $422 million, an increase of 1% versus the prior year period;

Q4 Adjusted EBITDA Margin of 20% on net revenue; FY25 Adjusted EBITDA Margin of 17% on net revenue;

Q4 Earnings Per Share Attributable to Stagwell Inc. Common Shareholders of $0.05 versus $0.03 in the prior year period; FY25 Earnings Per Share Attributable to Stagwell Inc. Common Shareholders of $0.08 versus $0.02 in the prior year period;

Q4 Adjusted Earnings Per Share attributable to Stagwell Inc. Common Shareholders of $0.30 versus $0.25 in the prior year period; FY25 Adjusted Earnings Per Share attributable to Stagwell Inc. Common Shareholders of $0.83 versus $0.79 in the prior year period;

YTD Net Cash provided by Operating Activities of $291 million versus $143 million in the prior year period;

Net new business of $106 million in the fourth quarter, last twelve-month net new business of $476 million

See "Non-GAAP Financial Measures" below for explanations and reconciliations of the Company's non-GAAP financial measures.

"In 2025, Stagwell increased its strategic pivot toward AI applications and services, building a powerful foundation for 2026. With accelerating growth ex-advocacy, record net new business, expanding margins and doubled free cash flow, our FY25 results prove our strategy is working," shared Mark Penn, Stagwell's Chairman and CEO. "We see great opportunity in 2026 to capitalize on an industry distracted by restructurings and mergers, and bolster our position as a winner in the age of AI."

Ryan Greene, Chief Financial Officer, commented: "2025 marked an inflection year for Stagwell, with clear momentum in the underlying business and improving efficiency contributing to strong year-over-year net revenue, adjusted EBITDA and adjusted EPS growth. Proactive cash management meant we more than doubled our free cash flow in 2025. We expect another strong year in 2026, and will be aggressive in our capital allocation to drive shareholder value."

Financial Outlook

2026 financial guidance is as follows:

Total Net Revenue growth of 8% to 12%

Adjusted EBITDA of $475 million to $525 million

Free Cash Flow Conversion of 50% to 60%

Adjusted EPS of $0.98 - $1.12

Guidance includes anticipated impact from acquisitions or dispositions.

* The Company has excluded a quantitative reconciliation with respect to the Company's 2026 guidance under the "unreasonable efforts" exception in Item 10(e)(1)(i)(B) of Regulation S-K. See "Non-GAAP Financial Measures" below for additional information.

Stock Repurchase Program

On March 4, 2026, the Board of Directors authorized an extension and a $350.0 million increase in the size of our previously approved stock repurchase program (the "Repurchase Program"). Under the Repurchase Program, as amended, we may repurchase up to an aggregate of $725.0 million of shares of our outstanding Class A common stock, par value $0.001 per share ("Class A Common Stock"), with any previous purchases under the Repurchase Program continuing to count against that limit. With the increase, we have a total of approximately $400.0 million available for repurchases. The Repurchase Program will expire on March 4, 2029.

Video Webcast

Management will host a video webcast on Tuesday, March 10, 2026, at 8:30 a.m. (ET) to discuss results for Stagwell Inc. for the year ended December 31, 2025. The video webcast will be accessible at https://edge.media-server.com/mmc/p/3x58p928/. An investor presentation has been posted on our website at www.stagwellglobal.com and may be referred to during the webcast.

A recording of the webcast will be accessible one hour after the webcast and available for ninety days at www.stagwellglobal.com.

Stagwell Inc.

Stagwell is the challenger network built to transform marketing. We deliver scaled creative performance for the world's most ambitious brands, connecting culture-moving creativity with leading-edge technology to harmonize the art and science of marketing. Led by entrepreneurs, our specialists in 45+ countries are unified under a single purpose: to drive effectiveness and improve business results for their clients. Join us at www.stagwellglobal.com.

Contacts

For Investors:

Ben Allanson

[email protected]

For Press:

Beth Sidhu

[email protected]

Non-GAAP Financial Measures

In addition to its reported results, Stagwell Inc. has included in this earnings release certain financial results that the Securities and Exchange Commission (SEC) defines as "non-GAAP Financial Measures." Management believes that such non-GAAP financial measures, when read in conjunction with the Company's reported results, can provide useful supplemental information for investors analyzing period to period comparisons of the Company's results. Such non-GAAP financial measures include the following:

(1) Organic Net Revenue: "Organic net revenue growth" and "Organic net revenue decline" reflects the year-over-year change in the Company's reported net revenue attributable to the Company's management of the entities it owns. We calculate organic net revenue growth (decline) by subtracting the net impact of acquisitions (divestitures) and the impact of foreign currency exchange fluctuations from the aggregate year-over-year increase or decrease in the Company's reported net revenue. The net impact of acquisitions (divestitures) reflects the year-over-year change in the Company's reported net revenue attributable to the impact of all individual entities that were acquired or divested in the current and prior year. We calculate impact of an acquisition as follows: (a) for an entity acquired during the current year, we present the entity's current period reported revenue as the impact of the acquisition in the current year; and (b) for an entity acquired in the prior year, we present an amount equal to the entity's current year net revenue for the same period during which we didn't own the entity in the prior year as the impact of the acquisition in the current year. We calculate impact of a divestiture as follows: (a) for a divestiture in the current year, we present the entity's prior year net revenue for the same period during which we no longer owned it in the current year as impact of the divestiture in the current year; and (b) for a divestiture in the prior year, we present the entity's prior year net revenue for the period during which we owned it in the prior year as impact of the divestiture in the current year. We calculate the impact of any acquisition or divestiture without adjusting for foreign currency exchange fluctuations. The impact of foreign currency exchange fluctuations reflects the year-over-year change in the Company's reported net revenue attributable to changes in foreign currency exchange rates. We calculate the impact of foreign currency exchange fluctuations for the portion of the reporting period in which we recognized revenue from a foreign entity in both the current year and the prior year. The impact is calculated as the difference between (1) reported prior period net revenue (converted to U.S. dollars at historical foreign currency exchange rates) and (2) prior period net revenue converted to U.S. dollars at current period foreign exchange rates.

(2) Net New Business: Estimate of annualized revenue for new wins less annualized revenue for losses incurred in the period.

(3) Adjusted EBITDA: defined as Net income (loss) attributable to Stagwell Inc. common shareholders excluding non-operating income or expense to achieve operating income (loss), plus depreciation and amortization, stock-based compensation, deferred acquisition consideration adjustments, impairment and other losses, and other items. Other items primarily includes restructuring, certain system implementation, working capital administrative fees and acquisition-related expenses. Adjusted EBITDA for our reportable segments is reconciled to Operating Income (Loss), as Net Income (Loss) is not a relevant reportable segment financial metric.

(4) Adjusted Diluted EPS" is defined as (i) Net income (loss) attributable to Stagwell Inc. common shareholders, plus net income (loss) attributable to Class C shareholders, excluding the impact of amortization expense, impairment and other losses, stock-based compensation, deferred acquisition consideration adjustments, discrete tax items, and other items (as defined above), based on total consolidated amounts, then allocated to Stagwell Inc. common shareholders and Class C shareholders, based on their respective income allocation percentage using a normalized effective income tax rate divided by (ii) the diluted weighted average shares outstanding. The diluted weighted average shares outstanding is calculated as (a) the diluted weighted average number of common shares outstanding plus (b) the shares of Class C Common Stock as if converted to shares of Class A Common Stock if not included because they were anti-dilutive.

(5) Free Cash Flow: defined as Net cash provided from operations less normalized capital expenditures and capitalized software. Free Cash Flow Conversion is the percentage of adjusted EBITDA.

Included in this earnings release are tables reconciling reported Stagwell Inc. results to arrive at certain of these non-GAAP financial measures.

This document contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). The Company's representatives may also make forward-looking statements orally or in writing from time to time. Statements in this document that are not historical facts, including, statements about the Company's beliefs and expectations, future financial performance, growth, and future prospects, the Company's strategy, business and economic trends and growth, technological leadership and differentiation, potential and completed acquisitions, anticipated and actual operating efficiencies and synergies and estimates of amounts for redeemable noncontrolling interests and deferred acquisition consideration, constitute forward-looking statements. Forward-looking statements, which are generally denoted by words such as "ability," "aim," "anticipate," "assume," "believe," "better," "build," "consider," "continue," "could," "develop," "drive," "enhance," "estimate," "expect," "focus," "forecast," "future," "grow," "guidance," "improve," "intend," "likely," "maintain," "may," "ongoing,", "outlook," "plan," "position," "possible," "potential," "probable," "project," "seek," "should," "target," "will," "would" or the negative of such terms or other variations thereof and terms of similar substance used in connection with any discussion of current plans, estimates and projections are subject to change based on a number of factors, including those outlined in this section.

Forward-looking statements in this document are based on certain key expectations and assumptions made by the Company. Although the management of the Company believes that the expectations and assumptions on which such forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company can give no assurance that they will prove to be correct. The material assumptions upon which such forward-looking statements are based include, among others, assumptions with respect to general business, economic and market conditions, the competitive environment, anticipated and unanticipated tax consequences and anticipated and unanticipated costs. These forward-looking statements are based on current plans, estimates and projections, and are subject to change based on a number of factors, including those outlined in this section. These forward-looking statements are subject to various risks and uncertainties, many of which are outside the Company's control. Therefore, you should not place undue reliance on such statements. Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to update publicly any of them in light of new information or future events, if any.

Forward-looking statements involve inherent risks and uncertainties. A number of important factors could cause actual results to differ materially from those contained in any forward-looking statements. Such risk factors include, but are not limited to, the following:

risks associated with international, national and regional unfavorable economic conditions, including the effect of changing tariff and other trade policies, inflation and other macroeconomic factors that could affect the Company or its clients;

demand for the Company's services, which may precipitate or exacerbate other risks and uncertainties;

inflation and actions taken by central banks to counter inflation;

the Company's ability to attract new clients and retain existing clients;

the impact of a reduction in client spending and changes in client advertising, marketing and corporate communications requirements;

financial failure of the Company's clients;

the Company's ability to retain and attract key employees;

the Company's ability to compete in the markets in which it operates;

the Company's ability to achieve its cost saving initiatives;

the Company's implementation of strategic initiatives;

the Company's ability to remain in compliance with its debt agreements and the Company's ability to finance its contingent payment obligations when due and payable, including but not limited to those relating to redeemable noncontrolling interests, deferred acquisition consideration and profit interests;

the Company's ability to manage its growth effectively;

the Company's ability to identify and complete acquisitions or other strategic transactions that complement and expand the Company's business capabilities and successfully integrate newly acquired businesses into the Company's operations, retain key employees, and realize cost savings, synergies and other related anticipated benefits within the expected time period;

the Company's ability to identify and complete divestitures and to achieve the anticipated benefits therefrom;

the Company's ability to develop products incorporating new technologies, including augmented reality, artificial intelligence, and virtual reality, and realize benefits from such products;

the Company's use of artificial intelligence, including generative artificial intelligence;

adverse tax consequences for the Company, its operations and its stockholders, that may differ from the expectations of the Company, including that recent or future changes in tax laws, potential changes to corporate tax rates in the United States and disagreements with tax authorities on the Company's determinations that may result in increased tax costs;

adverse tax consequences in connection with the business combination that formed the Company in August 2021, including the incurrence of material Canadian federal income tax (including material "emigration tax");

the Company's ability to maintain an effective system of internal control over financial reporting, including the risk that the Company's internal controls will fail to detect misstatements in its financial statements;

the Company's ability to accurately forecast its future financial performance and provide accurate guidance;

the Company's ability to protect client data from security incidents or cyberattacks;

economic disruptions resulting from war and other economic and geopolitical tensions (such as the ongoing military conflicts in Iran and the Middle East, and between Russia and Ukraine), terrorist activities, natural disasters, public health events, and tariff and trade policies;

stock price volatility; and

foreign currency fluctuations.

Investors should carefully consider these risks factors, the additional risk factors outlined under the caption "Risk Factors" in this Form 10-K, and in the Company's other filings with the Securities and Exchange Commission (the"SEC") which are accessible on the SEC's website at www.sec.gov.

SCHEDULE 1

STAGWELL INC.

UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS

(amounts in thousands, except per share amounts)

Three Months Ended December 31,

Year Ended December 31,

2025

2024

2025

2024

807,444

788,708

2,909,000

2,841,216

503,718

502,522

1,845,958

1,842,978

203,481

203,887

732,326

711,803

43,614

38,771

171,249

151,652

466

1,715

750,813

745,180

2,749,999

2,708,148

56,631

43,528

159,001

133,068

(24,431

)

(24,038

)

(96,438

)

(92,317

)

(1,156

)

645

(1,640

)

(1,656

)

(2,245

)

(2,245

)

9,937

2,314

(547

)

171

(1,372

)

(15,581

)

(23,940

)

(90,215

)

(95,345

)

41,050

19,588

68,786

37,723

24,321

3,741

38,271

13,182

16,729

15,847

30,515

24,541

111

503

16,822

15,847

30,626

25,044

(4,162

)

(12,612

)

(1,525

)

(22,785

)

12,660

3,235

29,101

2,259

0.05

0.03

0.13

0.02

0.05

0.03

0.08

0.02

251,650

109,266

220,608

110,890

258,997

115,147

264,523

115,752

SCHEDULE 2

STAGWELL INC.

UNAUDITED COMPONENTS OF NET REVENUE CHANGE

(amounts in thousands)

Net Revenue - Components of Change

Change

Three Months Ended December 31, 2024

Foreign Currency

Net Acquisitions (Divestitures)

Organic (1)

Total Change

Three Months Ended December 31, 2025

Organic

Total

240,262

2,017

1,315

1,215

4,547

244,809

0.5

1.9

84,570

(130

)

5,419

2,335

7,624

92,194

2.8

9.0

161,720

1,745

3,154

11,546

16,445

178,165

7.1

10.2

131,736

385

(23,796

)

(23,411

)

108,325

(18.1

(17.8

13,122

485

8,706

5,404

14,595

27,717

41.2

111.2

(1,787

)

1,410

(377

)

(78.9

629,623

4,502

18,594

(1,886

)

21,210

650,833

(0.3

3.4

(1) See Non-GAAP Financial Measures section above for the definition of Organic Net Revenue.

SCHEDULE 3

STAGWELL INC.

UNAUDITED COMPONENTS OF NET REVENUE CHANGE

(amounts in thousands)

Net Revenue - Components of Change

Change

Year Ended December 31, 2024

Foreign Currency

Net Acquisitions (Divestitures)

Organic (1)

Total Change

Year Ended December 31, 2025

Organic

Total

905,117

3,491

9,788

41,280

54,559

959,676

4.6

6.0

324,183

(405

)

13,615

29,779

42,989

367,172

9.2

13.3

601,503

3,396

5,829

(708

)

8,517

610,020

(0.1

1.4

435,626

547

29,002

(71,744

)

(42,195

)

393,431

(16.5

(9.7

32,265

941

62,229

11,051

74,221

106,486

34.3

230.0

(2,032

)

(7,082

)

(7,082

)

(9,114

)

2,296,662

7,970

120,463

2,576

131,009

2,427,671

0.1

5.7

(1) See Non-GAAP Financial Measures section above for the definition of Organic Net Revenue.

SCHEDULE 4

STAGWELL INC.

UNAUDITED SEGMENT OPERATING RESULTS

(amounts in thousands)

For the Three Months Ended December 31, 2025

Marketing Services

Digital Transformation

Media & Commerce

Communications

The Marketing Cloud

Corporate, Elimination and Other

Total

244,809

92,194

178,165

108,325

27,717

(377

)

650,833

50,555

9,117

32,862

64,037

156,611

295,364

101,311

211,027

172,362

27,752

(372

)

807,444

50,555

9,117

32,862

64,037

156,611

144,258

63,081

93,713

57,083

14,964

17,055

390,154

20,304

7,668

25,988

13,799

4,243

12,238

84,240

18,103

154

21,000

2,390

5,511

)

47,157

62,144

21,291

37,464

35,053

2,999

(29,669

)

129,282

4,647

1,041

1,127

(435

)

3,486

9,953

12,154

5,924

8,637

6,362

6,078

4,459

43,614

4,542

(2,143

)

(23

)

2,444

5,996

366

7,437

1,362

1,042

437

16,640

39,347

9,418

20,195

29,907

(4,185

)

(38,051

)

56,631

(1) See Non-GAAP Financial Measures section above for the definition of Adjusted EBITDA and Other items, net.

SCHEDULE 5

STAGWELL INC.

UNAUDITED SEGMENT OPERATING RESULTS

(amounts in thousands)

For the Year Ended December 31, 2025

Marketing Services

Digital Transformation

Media & Commerce

Communications

The Marketing Cloud

Corporate, Elimination and Other

Total

959,676

367,172

610,020

393,431

106,486

(9,114

)

2,427,671

175,145

26,327

80,655

199,146

481,329

1,134,821

393,499

690,675

592,577

106,537

(9,109

)

2,909,000

175,145

26,327

80,655

199,146

481,329

565,484

247,967

363,031

229,356

68,647

52,411

1,526,896

105,801

27,267

93,003

50,841

17,613

7,938

302,463

78,333

1,305

64,833

9,300

22,689

)

176,459

210,058

90,633

89,153

103,934

(2,463

)

(69,462

)

421,853

19,716

4,122

4,191

6,325

628

19,113

54,095

52,295

23,174

30,263

25,711

23,514

16,292

171,249

(4,784

)

12,271

3,010

(7,022

)

(10,942

)

(7,467

)

222

244

466

10,228

1,859

17,549

5,048

3,651

6,174

44,509

132,603

49,207

34,140

73,650

(19,558

)

(111,041

)

159,001

(1) See Non-GAAP Financial Measures section above for the definition of Adjusted EBITDA and Other items, net.

SCHEDULE 6

STAGWELL INC.

UNAUDITED SEGMENT OPERATING RESULTS

(amounts in thousands)

For the Three Months Ended December 31, 2024

Marketing Services

Digital Transformation

Media & Commerce

Communications

The Marketing Cloud

Corporate, Elimination and Other

Total

240,262

84,570

161,720

131,736

13,122

(1,787

)

629,623

48,294

2,110

11,719

97,372

(410

)

159,085

288,556

86,680

173,439

229,108

13,122

(2,197

)

788,708

48,294

2,110

11,719

97,372

(410

)

159,085

146,876

60,557

91,108

69,381

10,614

11,685

390,221

25,300

6,102

22,190

13,646

2,725

3,312

73,275

15,458

605

18,944

2,882

2,860

40,749

52,628

17,306

29,478

45,827

(3,077

)

(16,784

)

125,378

2,093

(1,480

)

1,866

2,254

157

8,345

13,235

12,680

5,585

7,301

6,556

3,193

3,456

38,771

3,379

4,221

(1,292

)

9,673

(936

)

15,045

8,823

201

1,863

1,403

2,421

14,799

25,653

8,779

19,740

25,941

(5,579

)

(31,006

)

43,528

(1) See Non-GAAP Financial Measures section above for the definition of Adjusted EBITDA and Other items.

SCHEDULE 7

STAGWELL INC.

UNAUDITED SEGMENT OPERATING RESULTS

(amounts in thousands)

For the Year Ended December 31, 2024

Marketing Services

Digital Transformation

Media & Commerce

Communications

The Marketing Cloud

Corporate, Elimination and Other

Total

905,117

324,183

601,503

435,626

32,265

(2,032

)

2,296,662

172,490

11,473

93,899

267,439

(747

)

544,554

1,077,607

335,656

695,402

703,065

32,265

(2,779

)

2,841,216

172,490

11,473

93,899

267,439

(747

)

544,554

557,776

227,522

356,684

232,096

28,686

46,942

1,449,706

101,145

21,809

83,572

47,335

9,777

11,408

275,046

70,924

1,393

65,188

10,840

6,117

154,462

175,272

73,459

96,059

145,355

(12,315

)

(60,382

)

417,448

17,095

6,622

6,265

7,721

805

13,653

52,161

53,106

22,398

31,450

20,100

12,502

12,096

151,652

5,379

7,911

(7,745

)

18,770

(1,320

)

22,995

1,500

215

1,715

20,251

3,090

17,103

4,860

629

9,924

55,857

77,941

33,438

48,986

93,904

(24,931

)

(96,270

)

133,068

(1) See Non-GAAP Financial Measures section above for the definition of Adjusted EBITDA and Other items, net.

SCHEDULE 8

STAGWELL INC.

UNAUDITED RECONCILIATION OF ADJUSTED DILUTED EARNINGS PER SHARE (NON-GAAP MEASURE)

(amounts in thousands, except per share amounts)

For the Three Months Ended December 31, 2025

GAAP

Adjustments

Non-GAAP

12,660

64,037

76,697

258,997

0.05

0.30

Adjustments to Net income

38,333

9,953

2,444

16,639

67,369

(3,332

)

64,037

(1) See Non-GAAP Financial Measures section above for the definition of Adjusted Diluted EPS.

SCHEDULE 9

STAGWELL INC.

UNAUDITED RECONCILIATION OF ADJUSTED DILUTED EARNINGS PER SHARE (NON-GAAP MEASURE)

(amounts in thousands, except per share amounts)

For the Year Ended December 31, 2025

GAAP

Adjustments

Non-GAAP

29,101

198,129

227,230

(6,637

)

(6,637

)

22,464

198,129

220,593

225,468

39,055

264,523

0.08

0.83

Adjustments to Net Income

145,506

466

54,095

(7,467

)

46,792

239,392

(41,263

)

198,129

(1) See Non-GAAP Financial Measures section above for the definition of Adjusted Diluted EPS.

SCHEDULE 10

STAGWELL INC.

UNAUDITED RECONCILIATION OF ADJUSTED DILUTED EARNINGS PER SHARE (NON-GAAP MEASURE)

(amounts in thousands, except per share amounts)

For the Three Months Ended December 31, 2024

GAAP

Adjustments

Non-GAAP

3,235

22,778

26,013

41,549

3,235

64,327

67,562

115,147

151,649

115,147

151,649

266,796

0.03

0.25

Adjustments to Net income

30,572

13,235

15,045

14,799

73,651

(20,618

)

53,033

11,294

64,327

22,778

30,255

11,294

41,549

64,327

(1) See Non-GAAP Financial Measures section above for the definition of Adjusted Diluted EPS.

SCHEDULE 11

STAGWELL INC.

UNAUDITED RECONCILIATION OF ADJUSTED DILUTED EARNINGS PER SHARE (NON-GAAP MEASURE)

(amounts in thousands, except per share amounts)

For the Year Ended December 31, 2024

GAAP

Adjustments

Non-GAAP

2,259

82,506

84,765

126,735

2,259

209,241

211,500

115,752

151,649

115,752

151,649

267,401

0.02

0.79

Adjustments to Net income

122,442

1,715

52,161

22,995

55,857

255,170

(63,073

)

192,097

17,144

209,241

82,506

109,591

17,144

126,735

209,241

(1) See Non-GAAP Financial Measures section above for the definition of Adjusted Diluted EPS.

SCHEDULE 12

STAGWELL INC.

UNAUDITED CONSOLIDATED BALANCE SHEETS

(amounts in thousands)

December 31, 2025

December 31, 2024

104,537

131,339

735,752

716,415

164,694

173,194

157,309

114,200

1,162,292

1,135,148

73,081

72,706

213,576

219,400

1,595,238

1,554,146

834,248

836,783

281,057

46,926

55,055

43,112

4,214,547

3,908,221

548,320

449,347

239,490

245,883

291,554

265,356

329,815

294,609

55,386

60,195

15,446

51,906

1,480,011

1,367,296

1,326,013

1,353,624

24,598

50,209

224,397

245,397

54,726

47,239

252,390

25,493

51,077

33,646

3,413,212

3,122,904

24,968

8,412

252

115

744,463

343,647

32,930

11,740

(19,252

)

(23,773

)

758,393

331,731

17,974

445,174

776,367

776,905

4,214,547

3,908,221

SCHEDULE 13

STAGWELL INC.

UNAUDITED SUMMARY CASH FLOW DATA

(amounts in thousands)

Years Ended December 31,

2025

2024

30,626

25,044

54,095

52,161

171,249

151,652

67,495

75,117

(3,116

)

1,715

10,439

(10,686

)

(7,467

)

23,005

2,245

(9,937

)

7,519

7,622

28,787

8,465

12,012

(54,350

)

(51,534

)

(6,200

)

73,573

24,438

(42,244

)

(28,658

)

25,574

(22,651

)

(76,465

)

(83,905

)

(1,823

)

(19,910

)

291,028

142,859

(67,489

)

(35,094

)

(43,741

)

(18,912

)

(6,179

)

(103,254

)

10,850

(7,119

)

(5,212

)

(113,678

)

(162,472

)

(2,026,000

)

(1,755,000

)

1,999,326

1,960,000

(134,261

)

(108,249

)

(9,662

)

(26,723

)

(33,343

)

(29,774

)

(3,316

)

(6,077

)

(210,017

)

36,938

5,865

(5,723

)

(26,802

)

11,602

131,339

119,737

104,537

131,339

SOURCE: Stagwell