NASDAQ$STGW

Stagwell Inc · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

MDC Partners reported strong results with sequential revenue and Adjusted EBITDA growth, driven by strategic plan implementation and cost management.

MDC Partners Inc. announced financial results for Q3 2020, demonstrating resilience amidst the COVID-19 pandemic. The company achieved 9% sequential revenue growth and a 49% sequential increase in Adjusted EBITDA from the previous quarter. Net new business wins totaled $31.9 million.

  • Revenue reached $283.4 million, a 9% sequential increase from Q2 2020.
  • Net income attributable to MDC Partners common shareholders was $0.4 million, compared to a net loss of $5.1 million in the prior year.
  • Adjusted EBITDA increased by 9.9% to $54.1 million, with a margin of 19.1%.
  • Net New Business wins totaled $31.9 million.

Headline financials

Total Revenue

$283M

Previous: $343M-17.3%
EPS (adj)

$0.00

Previous: -$0.07+100.0%
Adjusted EBITDA Margin

19.1%

Previous: 14.3%+33.6%
Capital Expenditures

-$11.5M

Previous: -$5.86M-95.7%
Free Cash Flow

-$7.4M

Previous: -$7.62M+2.8%
Net Income

$4.08M

Previous: -$1.75M+332.6%
Operating Income

$28.9M

Previous: $29.4M-1.8%
Gross Profit

$111M

Previous: $120M-7.9%
Cash & Equivalents

$37.1M

Previous: $27.3M+35.9%
Total Assets

$1.71B

Previous: $1.75B-2.6%

Revenue & EPS history

Stagwell · Revenue · Quarterly

$283M

Q3 2020-17.3%vs Q3 2019
Beat estimate in 4 of 11 quarters(36%)
ActualEstimate

Revenue by segment

Stagwell · $82.5M total across 1 segment · Q3 2023

  • Communications
    $82.5M+5.0%

Forward guidance

Given the uncertainties in the global business environment arising from the COVID-19 pandemic, the Company is not providing a 2020 outlook for Revenue and Covenant EBITDA at this time.

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 Q3 2020

Historical avgQ3 2020

+0.7%

Avg return

Earnings day

+0.2%

Avg return

5 days after

+1.3%

Avg return

30 days after

61%

38 / 62 earnings

Positive

+34.9%

Q1 2020

Best reaction

-59.3%

Q3 2016

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.1%+2.1%+11.8%
Q4 2025+17.8%+17.9%+23.9%
Q3 2025+16.9%+4.4%+19.3%
Q1 2025-14.0%-6.9%-22.7%
Q4 2024-5.4%-10.1%-11.6%
Q3 2024+10.1%+7.7%+7.0%
Q2 2024-8.1%-9.3%+7.6%
Q1 2024+19.5%+16.0%+16.5%
Q4 2023-26.0%-22.4%-11.4%
Q3 2023+5.6%+11.7%+26.5%
Q2 2023+1.3%-10.8%-14.3%
Q1 2023-5.3%-4.5%+32.9%
Q4 2022+11.6%+32.5%+9.3%
Q3 2022-5.0%-2.2%+1.4%
Q2 2022-9.7%-13.4%-9.4%
Q1 2022+6.0%+5.4%+19.7%
Q4 2021-0.7%+5.7%-7.7%
Q3 2021+15.1%+16.0%-8.0%
Q2 2021+3.1%+9.5%+46.3%
Q1 2021+9.3%+6.4%+10.6%
Q4 2020+2.2%-5.8%+5.8%
Q3 2020+10.4%+8.0%+10.8%
Q2 2020-7.3%-6.5%-4.3%
Q1 2020+34.9%+17.9%+24.5%
Q4 2019+20.1%+8.1%-34.9%
Q3 2019-13.1%-13.4%-28.3%
Q2 2019+10.1%-1.8%+9.2%
Q1 2019+27.2%+37.8%+31.3%
Q4 2018+3.0%-8.4%+4.4%
Q3 2018+6.8%+29.9%+1.7%
Q2 2018+9.1%+7.1%-2.0%
Q1 2018-31.2%-41.8%-34.0%
Q4 2017-6.4%-9.6%-28.9%
Q3 2017+6.5%+1.9%+9.3%
Q2 2017+12.4%+10.9%-3.1%
Q1 2017+2.3%-0.6%-6.3%
Q4 2016-2.2%+0.6%+4.5%
Q3 2016-59.3%-57.5%-25.7%
Q2 2016-29.8%-26.1%-32.4%
Q1 2016-13.9%
Q4 2015+10.7%
Q3 2015-3.4%
Q2 2015+16.2%
Q1 2015-28.9%
Q4 2014+5.7%
Q3 2014-3.3%
Q2 2014+3.7%
Q1 2014+1.5%
Q4 2013-6.3%
Q3 2013+10.8%
Q2 2013+6.4%
Q1 2013+0.1%
Q2 2012+6.5%
Q4 2012+6.3%
Q3 2012-3.2%
Q1 2011+2.2%
Q1 2012+2.2%
Q4 2011-8.1%
Q2 2011-8.1%
Q3 2011+7.3%
Q3 2010+7.3%
Q2 2010-8.6%

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