NASDAQ$ADV

Advantage Solutions Inc · Q4 2023 earnings

Q4 2023 earnings · · Investor relations

Briefing

Advantage Solutions reported solid fourth-quarter performance, exceeding 2023 financial guidance, and anticipates continued growth in 2024.

Advantage Solutions' Q4 2023 performance showed solid results with operating income of $46.2 million and a 2% year-over-year increase in Adjusted EBITDA. Consolidated revenues declined 2.1% to $1.1 billion but increased 3.4% excluding the impact of foreign exchange, acquisitions and divestitures.

  • Solid performance in the fourth quarter resulted in operating income of $46.2 million.
  • Adjusted EBITDA increased 2% year-over-year, and 4.4% excluding foreign exchange, acquisitions and divestitures.
  • Margin increased 40 basis points to 10.6%.
  • Management continued to execute its transformation plan, including the deconsolidation of its European joint venture, the divestiture of its foodservice businesses, and collaborations with Genpact and TCS to outsource certain administrative functions.

Headline financials

Total Revenue

$1.08B

Previous: $1.1B-2.1%
EPS (adj)

$0.05

Previous: $0.17-70.6%
Capital Expenditures

-$16.6M

Previous: $10.4M-259.5%
Net Income

$17.8M

Previous: -$1.42B+101.3%
Operating Income

$46.2M

Previous: -$1.54B+103.0%
Gross Profit

$109M

Previous: $146M-25.0%
Stock-Based Comp

$754K

Previous: $208K+262.5%

Revenue & EPS history

Advantage Solutions · Revenue · Quarterly

$1.08B

Q4 2023-2.1%vs Q4 2022
Beat estimate in 10 of 15 quarters(67%)
ActualEstimate

Forward guidance

Management expects 2024 revenue and Adjusted EBITDA growth in the range of low single digits, excluding the in-year impact of the completed divestitures on the 2023 results.

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 2023

Historical avgQ4 2023

-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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