NASDAQ$ADV

Advantage Solutions Inc · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Reported solid financial results for the fourth quarter and full fiscal year 2021 and provided initial 2022 outlook.

Advantage Solutions reported a solid finish to 2021, converting strong revenue growth to healthy EBITDA gains. The company is planning to reinvest opportunistically to support and extend the Advantage franchise.

  • Revenues increased due to growth in the marketing and sales segments.
  • Operating income increased due to higher revenues and a decrease in non-recurring expenses.
  • Net income increased due to higher operating income, lower interest expense, and a non-cash fair value adjustment to warrant liability.
  • Adjusted EBITDA increased due to profit growth in international, product demonstration, and digital units, and lower performance-based compensation.

Headline financials

Total Revenue

$1.03B

Previous: $850M+21.5%
EPS (adj)

$0.24

Previous: $0.16+50.0%
Adjusted EBITDA

$0.00

No prior period
Capital Expenditures

$7.07M

Previous: $7.76M-8.9%
Free Cash Flow

$17.9M

Previous: $339M-94.7%
Net Income

$0.00

Previous: -$139M+100.0%
Operating Income

$0.00

Previous: -$53M+100.0%
Gross Profit

$186M

Previous: $181M+3.0%
Cash & Equivalents

$165M

Previous: $204M-19.4%
Total Assets

$0.00

Previous: $5.78B-100.0%
Stock-Based Comp

-$1.89M

Previous: $88.1M-102.1%

Revenue & EPS history

Advantage Solutions · Revenue · Quarterly

$1.03B

Q4 2021+21.5%vs Q4 2020
Beat estimate in 5 of 7 quarters(71%)
ActualEstimate

Forward guidance

The company is guiding 2022 Adjusted EBITDA to a range of $490 million to $510 million, reflecting a decision to pursue opportunistic reinvestment in talent, adjacent services, and infrastructure.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2021

Historical avgQ4 2021

-2.7%

Avg return

Earnings day

-3.9%

Avg return

5 days after

-0.1%

Avg return

30 days after

36%

9 / 25 earnings

Positive

+18.6%

Q4 2022

Best reaction

-20.2%

Q3 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+15.3%-5.5%+1.8%
Q4 2025-1.0%+15.9%+57.6%
Q3 2025-3.3%+8.9%-30.1%
Q1 2025-17.8%-14.3%+12.2%
Q4 2024-8.9%-28.4%-44.9%
Q3 2024+10.1%-1.6%+5.1%
Q2 2024+4.2%+0.3%+3.6%
Q1 2024-17.6%-20.2%-29.1%
Q4 2023+2.1%-3.4%+14.6%
Q3 2023-16.0%-16.5%+29.1%
Q2 2023+2.3%+1.2%+12.4%
Q1 2023+10.8%+18.5%+62.3%
Q4 2022+18.6%+7.7%-28.2%
Q3 2022-20.2%-17.5%-33.4%
Q2 2022-9.7%+3.2%-32.5%
Q1 2022-11.0%-9.6%-15.3%
Q4 2021-15.9%-26.9%-18.9%
Q3 2021+4.4%+1.6%-13.9%
Q2 2021-6.7%-6.0%-13.0%
Q1 2021-3.8%-5.6%-4.7%
Q4 2020-0.2%+7.2%+27.1%
Q2 2020-0.2%+7.2%+27.1%
Q3 2020-2.1%-13.8%-1.5%
Q1 2020+0.5%+0.0%+4.9%
Q4 2019-1.0%-1.0%+5.1%
Q3 2019
Q2 2019
Q1 2019
Q1 2017
Q1 2016

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