Agencies

Stagwell revenue up 8% in Q2

The holding company reported $598 million in net revenue and $117 million in net new business in the quarter. It posted a net loss of $5 million in Q2.

Jess Ruderman

July 31, 2025

1:00 pm

Credit: Getty Images / JGI/Daniel Grill

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Stagwell reported $598 million in Q2 net revenue, a 8% organic net revenue increase compared to the year earlier.

The holding company posted a net loss of $5 million in the period, down from $3 million in Q2 2024. The holding company owns and operates PR and public affairs agencies including Allison, Hunter, SKDK and Sloane & Company. Stagwell unified PR firms Hunter and KWT Global under the Hunter brand in January.

“People seem to tie our fortunes to tariffs and other old economy measures,” Stagwell CEO and chairman Mark Penn said on the company’s earnings call on Thursday. “We are a tech company’s tech company and most affected by the ups and downs of that industry.”

“We have a cycle of lower organic growth in H1, as that’s when clients churn, and higher organic growth in H2 when media and other clients tend to increase their spend,” he added. “With new assignments from GM, Visa, Adobe and Target, we expect a similar pattern this year, in which organic growth will again grow to high-single and near-double digits in H2.”

Stagwell posted net new business of $117 million in the quarter, including assignments with Samsung, New Balance, ServiceNow and Volkswagen. Penn called out a strong performance in its Digital Transformation business, 26% growth among its top 25 customers and the company’s “first major government win” in its newly formed Government Contracts division via Allison’s assignment for Covered California.

Most of the holding company’s business segments posted organic net revenue growth in Q2. Creativity & Communications grew 1.6%, Consumer Insights & Strategy improved by 5.7% and Digital Transformation was up by 1.4%. Meanwhile, Performance Media & Data decreased by 1.6% and The Marketing Cloud Group was down 6.1%. Stagwell’s PR firms are spread among its divisions.

By region, the U.S. reported a net revenue decline of 0.2% for the quarter. The U.K. saw a 7.7% net revenue decline. All other geographies were up 10.1%.

Stagwell follows Q2 results from fellow holding companies Omnicom Group, Interpublic Group and Publicis Groupe this month.

Omnicom Public Relations Group reported Q2 revenue of $372.9 million, a 9.3% decrease on an organic basis from the year prior. The agencies within Omnicom PR Group include FleishmanHillard, Ketchum, Marina Maher Communications and Porter Novelli.

The PR agencies in Interpublic Group’s Specialized Communications and Experiential Solutions unit saw “solid” single-digit growth on an organic basis in Q2. The unit contains agencies The Weber Shandwick Collective, Golin, Current Global, DeVries Global and R&CPMK, as well as sports and events shops such as Jack Morton, Momentum and Octagon.

Omnicom is in the process of acquiring Interpublic Group in a deal announced in December. The acquisition is expected to close in the second half of this year.

Publicis, whose primary U.S. PR firm is MSL, does not list PR performance in its earnings reports. WPP is expected to report earnings on August 7.

This article originally appeared on PRWeek US.

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