Stagwell’s Earnings Results: A Breakthrough Year

Today marks the release of Stagwell’s (NASDAQ: STGW) Q4 and 2024 earnings, which Chairman and CEO, Mark Penn, will expand on during an 8:30am ET webcast. To preview, Stagwell delivered industry-leading growth – $2.30 billion in net revenue (up 7% YoY) and $789 million in revenue (up 20% YoY in Q4 24). 

2024 was a breakthrough year for Stagwell re-establishing the marketing network as the fastest growing business in the industry. Second half total net revenue growth of 11% was more than 400 basis points stronger than their nearest competitor, while their organic net revenue growth of 9% was almost 300 basis points stronger. 

Throughout Q4 Stagwell saw an acceleration with their digital transformation businesses and tech customers, led by the Code and Theory Network’s unique blend of engineering expertise and creative ability. Also, the U.S. election cycle and its accompanying unprecedented political ad spend fuelled their advocacy businesses, which grew 80% in Q4.

Stagwell made significant investments to enhance tools to help marketers, including growing their cloud and AI-based software solutions. 

Their new business pipeline continues to be strong; winning ever larger mandates with the world’s leading companies including Starbucks, Stellantis, Target, Adobe, Ferrero, GM and Visa.

Lastly, Stagwell remained aggressive in M&A throughout 2024, completing 11 transactions. Their biggest move was a push in the Middle East, a region in which they see a number of opportunities, led by the acquisition of Consulum, a highly regarded public affairs agency, and of Leaders, an Israeli social agency. 

Mark Penn, chairman and CEO, shared, "2024 was a breakthrough year for Stagwell and has fuelled a strong start to 2025. We re-established ourselves as the fastest growing business in the industry, accelerated rapidly in Digital Transformation, took advantage of an unprecedented U.S. election cycle, and made strategic investments to expand our capabilities and geographical reach. I'm looking forward to a strong 2025."