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Dec 31, 2023

Advantage Solutions Q4 2023 Earnings Report

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

Key Takeaways

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.

Total Revenue
$1.08B
Previous year: $1.1B
-2.1%
EPS
$0.05
Previous year: $0.17
-70.6%
Gross Profit
$109M
Previous year: $146M
-25.0%
Cash and Equivalents
$126M
Previous year: $121M
+4.8%
Free Cash Flow
$41.7M
Previous year: $28.9M
+44.2%
Total Assets
$3.78B
Previous year: $4.26B
-11.3%

Advantage Solutions

Advantage Solutions

Advantage Solutions Revenue by Segment

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.

Revenue & Expenses

Visualization of income flow from segment revenue to net income