Core Insights - The Dawn McKenna Group (DMG) has expanded its operations to Destin and the 30A corridor in Florida, responding to strong demand for luxury real estate in these popular vacation and second-home destinations [2][5] Company Expansion - DMG's expansion to the 30A area is a strategic move to provide clients with exceptional service and market knowledge, particularly for those looking to buy vacation homes, invest in property, or relocate [2][3] - The new DMG | 30A office is located at 2930 W. County Hwy 30A, Unit 105, Santa Rosa Beach, Florida 32459 [5] Team Expertise - DMG's 30A agents bring over 20 years of experience and have achieved more than $200 million in sales volume, showcasing a history of record-breaking transactions [2] - Bonnie Hall, an award-winning real estate professional, and Maria McKenna, known for her market knowledge and client-first approach, have joined the team to enhance service offerings in the area [3][4] Market Position - DMG is recognized as one of the nation's leading luxury real estate teams, ranked among the Top 20 Mega Teams in the U.S. by The Wall Street Journal RealTrends, with over $6 billion in career sales [6] - The group has a dedicated development division specializing in top-tier developments across the U.S. and Caribbean, representing over $1.9 billion in active inventory [6]

I’m an equity analyst and founder of Goulart’s Restaurant Stocks, a research firm focused on the U.S. restaurant industry — from quick-service and fast casual to fine dining and niche concepts. I lead all thematic research and valuation efforts, applying advanced financial modeling, sector-specific KPIs, and strategic insights to uncover hidden value across public equities. In addition to restaurants, I cover consumer discretionary, food & beverage, casinos & gaming, and IPOs, with a particular focus on mic ...

Group 1 - U.S. stocks experienced a decline, with the Dow Jones index dropping over 100 points on Tuesday [1] - Cementos Pacasmayo SAA – ADR shares surged 47.4% to $10.30 following Holcim's agreement to acquire 50.01% of its owner, Inversiones Aspi. S.A. [1] Group 2 - Rezolve AI PLC reported preliminary December revenue results, leading to a 23.7% increase in its stock price to $2.87 [2] - Emerald Holding Inc announced a review of potential strategic options, resulting in a 17% rise in its stock price to $4.14 [2] - NovaBay Pharmaceuticals Inc's stock increased by 16.2% to $3.15 [2] - Tilray Brands Inc saw a 15% surge in its stock price to $12.57 [2] - Clearpoint Neuro Inc's stock jumped 14.2% to $14.14 [2] - Fermi Inc gained 11.4%, reaching $9.57 [2] - Sezzle Inc authorized a $100 million stock buyback, leading to a 9.6% increase in its stock price to $72.49 [2] - WW International Inc launched a new platform for the GLP-1 era, resulting in a 7.8% gain to $26.19 [2] - Circle Internet Group Inc rose 7.7% to $81.24 [2] - Lemonade Inc's stock surged 7.4% to $80.59 [2] - Netskope Inc gained 6.9%, reaching $20.37 [2] - Ascentage Pharma Group International's stock rose 6% to $29.26 [2] - RH's stock increased by 5.5% to $172.60, with Barclays analyst maintaining an Overweight rating and lowering the price target from $385 to $283 [2] - Affirm Holdings Inc gained 4.4%, reaching $68.56 [2]

Core Insights - Emerald Holding (EEX) typically experiences a downturn in Q3, with October being particularly challenging, as it ends positively only about 33% of the time [1] Company Analysis - Emerald Holding is noted for its seasonal performance, indicating potential investment risks during the October period [1] Industry Context - The analysis highlights the broader context of stock performance trends within the industry, particularly for companies like Emerald Holding that may face cyclical challenges [1]

Financial Performance - Revenues for the three months ended September 30, 2025, were $77.5 million, a 12.7% increase from $72.6 million in the same period of 2024[17] - Net loss attributable to Emerald Holding, Inc. for the three months ended September 30, 2025, was $14.4 million, compared to a net loss of $11.1 million in the same period of 2024[20] - The company reported a basic loss per share of $0.07 for the three months ended September 30, 2025, compared to a basic loss per share of $0.05 for the same period in 2024[17] - The company experienced a net loss of $11.1 million for the three months ended September 30, 2024, compared to a net loss of $2.9 million for the nine months ended September 30, 2024[31] - The net loss for the three months ended September 30, 2025, was $14.4 million, compared to a net loss of $11.1 million in the same period of 2024[181] - For the nine months ended September 30, 2025, revenues increased by $38.7 million, or 13.3%, to $330.7 million, with organic revenue growth of $3.0 million, or 1.0%[211] - Net loss for the nine months ended September 30, 2025, was $0.5 million, an improvement from a net loss of $2.9 million in the same period of 2024[213] Assets and Liabilities - Total assets increased to $1,217.3 million as of September 30, 2025, up from $1,048.7 million as of December 31, 2024, representing a 16.1% growth[15] - Total current liabilities rose to $287.0 million as of September 30, 2025, compared to $241.3 million as of December 31, 2024, indicating a 19.0% increase[15] - The accumulated deficit increased to $650.6 million as of September 30, 2025, from $650.1 million as of December 31, 2024[15] - The company’s total stockholders' equity decreased to $369.5 million as of September 30, 2025, from $385.9 million as of December 31, 2024[15] - As of September 30, 2025, the long-term debt net of current maturities was $499.8 million, an increase from $398.5 million as of December 31, 2024, representing a 25.4% increase[87] Cash Flow and Investments - Cash and cash equivalents decreased to $95.4 million as of September 30, 2025, down from $194.8 million as of December 31, 2024[15] - The company reported a significant increase in cash used in investing activities, totaling $201.1 million for the nine months ended September 30, 2025, compared to $22.8 million for the same period in 2024[31] - The company ended the period with cash and cash equivalents of $95.4 million, down from $194.8 million at the beginning of the period, reflecting a decrease of approximately 51%[31] Expenses - Selling, general and administrative expenses for the three months ended September 30, 2025, were $51.3 million, up from $40.8 million in the same period of 2024, reflecting a 25.9% increase[17] - Stock-based compensation increased to $8.5 million for the nine months ended September 30, 2025, up from $4.7 million for the same period in 2024, representing an increase of approximately 80%[31] - Interest expense for the three months ended September 30, 2025, was $10.7 million, down from $12.3 million in the same period of 2024[17] - Depreciation and amortization expense was $22.7 million for the nine months ended September 30, 2025, compared to $21.2 million in 2024, showing a rise of approximately 7.1%[213] Acquisitions - The acquisition of Generis Group on August 8, 2025, had a total estimated purchase price of $64.6 million, including an initial cash payment of $51.6 million[57] - The acquisition of This is Beyond on May 2, 2025, had a total estimated purchase price of $165.5 million, including an initial cash payment of $122.1 million[64] - Emerald Holding, Inc. made an acquisition of businesses, net of cash acquired, amounting to $192.3 million during the nine months ended September 30, 2025[31] - The company acquired Insurtech Insights Limited for a total estimated purchase price of $27.9 million, which included an initial cash payment of $19.4 million and contingent consideration valued at $4.8 million[72] Revenue Breakdown - Trade show and other events revenues accounted for approximately 87.1% of total revenues for the three months ended September 30, 2025, compared to 86.0% for the same period in 2024[45] - Revenue generated from the acquisition of This is Beyond was $12.4 million for the three months ended September 30, 2025, and $29.5 million for the nine months ended September 30, 2025[66] - Revenues for the Connections segment increased by $5.1 million, or 8.2%, to $67.5 million for the three months ended September 30, 2025, driven primarily by $12.5 million from acquisitions, offset by a $4.5 million organic revenue decline[193] Stock and Dividends - The Company declared a dividend of $0.015 per share payable on November 20, 2025[142] - The Company repurchased 116,094 shares for $0.5 million and 3,776,218 shares for $16.2 million during the three and nine months ended September 30, 2025, with $20.3 million remaining available for share repurchases under the April 2025 Share Repurchase Program[119] Tax and Compliance - The company recorded a benefit from income taxes of $3.5 million for the three months ended September 30, 2025, resulting in an effective tax rate of 19.6%[129] - The company’s liabilities for unrecognized tax benefits were $1.8 million as of September 30, 2025, compared to $1.5 million as of December 31, 2024[130] Market and Economic Conditions - Increased inflation and interest rates pose risks related to labor and venue costs, potentially impacting pricing strategies[155] - The trade show industry is highly fragmented, with the five largest companies, including Emerald, comprising only 8% of the U.S. market, presenting acquisition opportunities[155]

Core Insights - Emerald Holding, Inc. (EEX) is a leading player in the trade show industry, recognized for producing large-scale events and related services, and is the largest producer in the U.S. [1] - EEX reported a disappointing earnings performance for Q3 2025, with an EPS of -$0.02, missing the expected $0.05, and actual revenue of $77.5 million falling short of the estimated $132.9 million [2][6] - Despite quarterly setbacks, EEX's year-to-date revenue for 2025 reached $330.7 million, reflecting a 13.3% increase from the previous year, driven by acquisitions and organic growth [3][6] Financial Metrics - The price-to-sales ratio for EEX stands at 1.95, indicating that investors are willing to pay nearly twice the company's sales per share [4] - The enterprise value to sales ratio is 1.74, which reflects the company's total valuation in relation to its sales [4] - EEX has a low debt-to-equity ratio of 0.014, suggesting minimal debt compared to equity, which is favorable for financial stability [5] - The current ratio of 0.81 indicates potential challenges in covering short-term liabilities with short-term assets, raising concerns about liquidity [5]

Financial Data and Key Metrics Changes - Total revenue for Q3 2025 was $77.5 million, up from $72.6 million in Q3 2024, reflecting a year-over-year increase of 12.6% [14] - Reported organic revenue decreased by 6.8% year-over-year, primarily due to construction impacts at the Las Vegas Convention Center [14][15] - Year-to-date total revenue reached $330.7 million, a 13.3% increase compared to the previous year, driven by acquisitions and higher organic revenues [15] - Adjusted EBITDA for Q3 was $12.8 million, a 2.4% increase from $12.5 million in the prior year [16] - Year-to-date adjusted EBITDA totaled $90.8 million, up 32.4% from $68.6 million in the prior year [16] Business Line Data and Key Metrics Changes - The acquisition of Generis expanded Emerald's portfolio into high-growth sectors, enhancing resilience across market cycles [5][11] - Generis did not contribute revenue in Q3 2025, but the acquisition is expected to positively impact future revenue [15][37] Market Data and Key Metrics Changes - International exhibitors accounted for approximately 10% of total revenue, with growth observed in markets such as Italy, Germany, the UAE, and Brazil [8][9] - The company anticipates a more constructive environment heading into 2026 as trade conditions stabilize [9] Company Strategy and Development Direction - The company is focused on diversifying its portfolio into higher growth sectors and optimizing its operations through strategic acquisitions [11][51] - Continued investment in technology, including an AI-powered event agent, aims to enhance customer experience and operational efficiency [9][44] - The company is committed to disciplined capital deployment across M&A, organic growth, and shareholder returns [21] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in meeting full-year commitments and building momentum into 2026 despite ongoing economic pressures [13][57] - The construction at the Las Vegas Convention Center has impacted customer experience, but completion is expected by the end of the year, improving future event structures [27][42] Other Important Information - The company repurchased approximately 116,000 shares at an average price of $4.87 per share, with a total of 17 million shares repurchased since the program's inception [21] - A quarterly dividend of $0.015 per share was declared, reflecting the company's commitment to returning value to shareholders [22] Q&A Session Summary Question: Impact of tariffs and construction on financial results - The $6 million impact mentioned includes both tariff and construction effects, with construction being the more significant factor affecting customer experience [25][26] Question: Future trade environment and tariff impacts - The company anticipates a more normalized environment next year, with manageable impacts from tariffs as international sales efforts continue to expand [30][31] Question: Guidance without Generis acquisition - Excluding Generis, the company remains within the lower half of its guidance range for revenue, with more mid-range expectations for EBITDA [34][35] Question: AI-powered event agent functionality - The AI tool simplifies attendee interactions by providing answers throughout the customer journey, enhancing overall satisfaction [44][45] Question: M&A environment and valuations - The company sees a strong pipeline for M&A opportunities, with no significant changes in valuations compared to the past [50][51]

Financial Performance & Guidance - Emerald is on track to achieve full-year objectives, delivering a 133% year-over-year growth in Revenue and a 324% year-over-year growth in Adjusted EBITDA year-to-date 2025[12] - For Q3 2025, Revenue grew by 67% and Adjusted EBITDA grew by 24%[12] - Full Year 2025 revenue guidance is updated to a range of $460-$465 million, and Adjusted EBITDA guidance is $1225 - $1275 million, reflecting the acquisition of Generis[12, 14, 17] Organic Revenue Analysis - Year-to-date 2025, reported Organic Revenue growth was 10% from the prior year period[12] - Without recent acquisitions, year-to-date Organic Revenue growth would have been 43%[12] - Reported Organic Revenue declined by 68% in Q3 2025; without recent acquisitions, the decline would have been 29%[12] Capital Allocation - The company repurchased 116,094 shares of common stock for $05 million at an average price of $487 per share in Q3 2025[12] - The Board of Directors declared a dividend of $0015 per share for the quarter ending December 31, 2025[12] - The company has bought back a total of 170 million shares of common stock for an aggregate of $700 million since the restart of the share repurchase program in 2021 through September 30, 2025[42] Market Position & Strategy - Emerald is the largest US-based B2B events platform, diversified across end markets, with Connections representing approximately 90% of revenue[18, 19] - B2B US Marketing spend for events and sponsorships is expected to grow by a CAGR of +7% through 2030[29] - The company has completed and integrated over 30 acquisitions over the last decade, deploying approximately $10 billion in capital[39]

Revenue Performance - Revenues for Q3 2025 were $77.5 million, an increase of $4.9 million or 6.7% compared to Q3 2024, driven primarily by $12.5 million in revenue from acquisitions[8] - Year-to-date revenues reached $330.7 million, an increase of $38.7 million or 13.3% versus the prior year period, primarily due to revenue from acquisitions of $40.9 million[14] - Revenues for Q3 2025 were $77.5 million, compared to $72.6 million in Q3 2024, representing a year-over-year increase of 12.5%[34] - Total revenues for the three months ended September 30, 2025, reached $77.5 million, an increase from $72.6 million in the same period of 2024, driven by a 8.2% increase in Connections revenue[41] - For the nine months ended September 30, 2025, total revenues were $330.7 million, a 13.3% increase from $292.0 million in 2024[37] Organic Revenue - Organic Revenues for Q3 2025 were $64.0 million, a decrease of $4.7 million or 6.8% from $68.7 million in Q3 2024[5] - Organic revenues for the three months ended September 30, 2025, decreased by 6.8% to $64.0 million compared to $68.7 million in the prior year[37] Adjusted EBITDA - Adjusted EBITDA for Q3 2025 was $12.8 million, a 2.4% increase from $12.5 million in Q3 2024[9] - Year-to-date Adjusted EBITDA was $90.8 million, compared to $68.6 million in the prior year period, reflecting a 32.4% increase[14] - Adjusted EBITDA for the nine months ended September 30, 2025, was $38.2 million, compared to $26.0 million for the same period in 2024[34] - Adjusted EBITDA for the three months ended September 30, 2025, was $12.8 million, slightly up from $12.5 million in the prior year[39] - Adjusted EBITDA for the nine months ended September 30, 2025, was $90.8 million, significantly higher than $68.6 million in the prior year[39] Net Loss - Net loss for Q3 2025 was $14.4 million, compared to a net loss of $11.1 million in Q3 2024, primarily due to higher non-recurring expenses[8] - Year-to-date net loss was $0.5 million, an improvement from a net loss of $2.9 million in the prior year period[14] - The net loss attributable to Emerald Holding, Inc. for Q3 2025 was $14.4 million, compared to a net loss of $11.1 million in Q3 2024[34] - For the three months ended September 30, 2025, Emerald Holding reported a net loss of $14.4 million, compared to a net loss of $11.1 million for the same period in 2024[39] - Basic loss per share for Q3 2025 was $(0.07), compared to $(0.05) in Q3 2024[34] Share Repurchase and Dividends - The Board of Directors approved a share repurchase program allowing for the repurchase of up to $25.0 million of common stock through December 31, 2026[5] - A dividend of $0.015 per share was declared for the quarter ending December 31, 2025[17] - Emerald's share repurchase program was extended to allow for the repurchase of $25.0 million of common stock through December 31, 2026[18] - In Q3 2025, Emerald repurchased 116,094 shares for $0.5 million at an average price of $4.87 per share, totaling 3,776,218 shares for $16.2 million year-to-date[18][19] - The company has repurchased a total of 17.0 million shares for an aggregate of $70.0 million since the restart of the share repurchase program in 2021[19] Cash Flow - Year-to-date 2025 Free Cash Flow excluding event cancellation insurance proceeds was $24.2 million, up from $17.6 million in the prior year[24] - Year-to-date Free Cash Flow reflects an impact of approximately $30.0 million in incremental cash flows from operations due to acquisition timing effects[24] - Free cash flow for the three months ended September 30, 2025, was $(0.4) million, down from $6.7 million in the same period of 2024[40] Assets and Liabilities - Total assets increased to $1,217.3 million as of September 30, 2025, up from $1,048.7 million as of December 31, 2024[36] - Total liabilities rose to $847.8 million as of September 30, 2025, compared to $662.8 million at the end of 2024[36] - Stockholders' equity decreased to $369.5 million as of September 30, 2025, down from $385.9 million as of December 31, 2024[36] - The company reported a net accumulated deficit of $650.6 million as of September 30, 2025, compared to $650.1 million at the end of 2024[36] - Deferred revenues increased to $229.0 million as of September 30, 2025, up from $190.5 million as of December 31, 2024[36] Segment Performance - Revenues from the Connections segment for the three months ended September 30, 2025, were $67.5 million, an 8.2% increase from $62.4 million in 2024[38] - The Commerce segment reported revenues of $5.5 million for the three months ended September 30, 2025, slightly up from $5.3 million in the same period of 2024[38] Expenses - The company incurred $10.1 million in interest expense for the three months ended September 30, 2025, consistent with the previous year[41] - General corporate expenses for the three months ended September 30, 2025, were $12.5 million, a slight decrease from $12.7 million in the same period of 2024[41] - Capital expenditures for the three months ended September 30, 2025, were $2.2 million, slightly lower than $2.4 million in the same period of 2024[40] - The company reported intangible asset impairment charges of $6.3 million for the three months ended September 30, 2024, which were not present in the current period[39]

Core Insights - Emerald Holding, Inc. reported a revenue of $330.7 million for the third quarter of 2025, reflecting an increase of $38.7 million or 13.3% compared to the same period last year, driven by revenues from acquisitions and higher organic revenues [1] Financial Performance - Year-to-date revenues reached $330.7 million, marking a 13.3% increase from the previous year [1] - The growth in revenue is attributed to both acquisitions and an increase in organic revenues [1]