Stagwell Inc. reported financial results for the three and nine months ended September 30, 2026, in a Form 8-K filed on October 29, 2026. The company announced a third-quarter revenue of $816 million, representing a 10% increase compared to the prior year period. Year-to-date revenue for the first nine months was reported at $2.306 billion, also up 10%.
On an organic basis, Q3 net revenue grew 7% year-over-year to $664 million, while YTD organic net revenue increased 5% to $1.880 billion. Specific segments showed significant growth, with Digital Transformation net revenue increasing 23% organically to $119 million and The Marketing Cloud net revenue increasing 108% organically to $56 million.
The company reported Q3 net income attributable to Stagwell Inc. common shareholders of $18 million, compared to $25 million in the prior year. Earnings per share attributable to common shareholders were $0.07 for the quarter, down from $0.09 in the prior year. However, adjusted earnings per share grew 42% year-over-year to $0.34. Adjusted EBITDA for the quarter increased 25% to $145 million, with a margin of 22% on net revenue.
Stagwell also reported substantial improvements in cash flow. Year-to-date net cash provided by operating activities increased 396% to $152 million, and year-to-date free cash flow increased 227% to $52 million. Net new business for the quarter was $168 million, bringing the last twelve-month total to $586 million.
In terms of business wins, the company secured the largest multi-agency deal in its history with ServiceNow and its first major federal government win. It also expanded a partnership with Palantir.
Based on these results, Stagwell raised its full-year 2026 guidance. The company now expects Adjusted EBITDA of $490 million to $540 million and Adjusted EPS of $1.07 to $1.21. It reiterated its total net revenue growth guidance of 8% to 12% for the full year.
