As MDC Partners Stagwell was more famous for spending money than making it but now Stagwell, which includes MDC alongside CEO Mark Penn’s other tech-based businesses, is seemingly making it too. Stagwell is forecasting around $500m of EBITDA profit (profit before exceptional items) for the yeqr on the back of 16% Q@ organic revenue growth, driven chiefly by digital and media, the latter through its Stagwell Media Network.
Stagwell, whose agencies include Anomaly, 72andSunny and Crispin Porter, is saying it expects to deliver double digit growth throughout the year while its bigger holding company rivals are forecasting around 6-7%. The company is also re-organising itself, bringing creative and media agencies closer together.
CEO Penn (above) says: “Stagwell is executing exactly as we said we would, and doing so profitably. We delivered significant organic net revenue growth of 16% in the second quarter, which has the toughest comparisons of the year. Our high-growth digital capabilities expanded to 57% of net revenue and grew 28% organically versus the prior year period. Due to our unique mix of digital and creative capabilities, clients now recognize Stagwell as a serious alternative to legacy incumbents – and we are now a regular contender in many of the largest global pitches.”