Advantage Solutions Shares Plunge 20% Following Q3 Report
Advantage Solutions Inc. (NASDAQ:ADV) shares plummeted more than 20% on Thursday following the company’s reported Q3 revenue miss and lowered outlook.
Q3 revenue came in at $1.05 billion, worse than the Street estimate of $1.06 billion. Management cited an "extremely challenging labor environment" resulting in an inability to hire enough associates to meet "strong" demand. While in-store sampling & demonstration (the most COVID-impacted) business saw continued year-over-year and sequential growth, the overall event count (as a percent of 2019) stalled vs. Q2.
The company lowered its fiscal 2022 adjusted EBITDA guidance range to $430-$440 million from $490-$510 million. Given strong customer demand, management remains confident that its sampling and demonstration business will continue to build back next year.
| Symbol | Price | %chg |
|---|---|---|
| MNCN.JK | 314 | 0.64 |
| 030000.KS | 18460 | -0.33 |
| 4324.T | 3945 | -2.13 |
| DMMX.JK | 127 | 0 |
