$ADV

Advantage Solutions Inc.

CIK:0001776661|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (UNAUDITED) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Income Statement [Abstract]
Revenues	$ 889,450	$ 873,707	$ 1,759,051	$ 1,695,499
Cost of revenues (exclusive of depreciation and amortization shown separately below)	783,831	746,932	1,545,405	1,469,686
Selling, general, and administrative expenses	50,924	68,657	104,233	133,522
Depreciation and amortization	51,271	50,698	102,842	101,059
Loss on divestiture	1,732	0	718	0
Income from invesments in European joint venture	0	(2,591)	0	(4,158)
Total operating expenses	887,758	863,696	1,753,198	1,700,109
Total segment operating (loss) income	1,692	10,011	5,853	(4,610)
Other expenses (income):
Interest expense, net	39,963	35,814	74,761	70,174
Income from unconsolidated investments	(2,389)	0	(4,861)	0
Other expense, including debt fees	5,000	16	25,352	26
Total other expenses, net	42,574	35,830	95,252	70,200
Loss before income tax expense	(40,882)	(25,819)	(89,399)	(74,810)
Income tax expense	21,825	4,621	45,139	11,760
Net loss	$ (62,707)	$ (30,440)	$ (134,538)	$ (86,570)
Diluted net income (loss) per share:
Basic loss per common share	$ (4.85)	$ (2.35)	$ (10.35)	$ (6.7)
Diluted loss per common share	$ (4.85)	$ (2.35)	$ (10.35)	$ (6.7)
Weighted-average number of common shares:
Weighted-average common shares outstanding - basic	12,916,928	12,972,587	12,996,965	12,920,253
Weighted-average common shares outstanding - diluted	12,916,928	12,972,587	12,996,965	12,920,253
Comprehensive (Loss) Income:
Net loss	$ (62,707)	$ (30,440)	$ (134,538)	$ (86,570)
Other comprehensive income (loss), net of tax:
Foreign currency translation adjustments	(1,612)	13,365	(5,915)	14,167
Total comprehensive loss	$ (64,319)	$ (17,075)	$ (140,453)	$ (72,403)

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss	$ (134,538)	$ (86,570)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities
Non-cash adjustments on derivatives and non-cash interest income	(1,242)	(3,298)
Amortization of deferred financing fees	3,425	3,502
Deferred financing costs recognized at debt modification	1,178	0
Depreciation and amortization	102,842	101,059
Deferred income taxes	17,749	(1,439)
Equity-based compensation of Karman Topco L.P.	0	(1,524)
Stock-based compensation	9,177	13,069
Gain on repurchases of Senior Secured Notes and Term Loan Facility debt	0	(1,624)
Loss on divestiture, net	718	0
Income from unconsolidated investments	(4,861)	(4,158)
Distribution received from equity method investments	2,883	0
Impairment and restructuring costs	12,056	931
Other	0	27
Changes in operating assets and liabilities:
Accounts receivable, net	(43,339)	(66,433)
Prepaid expenses and other assets	43,104	(17,207)
Accounts payable	14,304	19,185
Accrued compensation and benefits	(5,862)	(3,479)
Deferred revenues	(5,322)	7,420
Other accrued expenses and other liabilities	4,940	(7,189)
Net cash provided by (used in) operating activities	17,212	(47,728)
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of investments in unconsolidated affiliates	(2,075)	(3,458)
Purchase of property and equipment and development of capitalized software	(20,839)	(17,219)
Proceeds from divestitures	40,919	0
Net cash provided by (used in) investing activities	18,005	(20,677)
CASH FLOWS FROM FINANCING ACTIVITIES
Borrowings under lines of credit	40,000	80,000
Payments on lines of credit	(40,000)	(80,000)
Payment of deferred financing fees for line of credit modification	(13,702)	0
Principal payments on long-term debt	(137,785)	(6,625)
Repurchases of Senior Secured Notes and Term Loan Facility	0	(18,243)
Proceeds from 2020 Employee Stock Purchase Plan	744	993
Payments for taxes related to net share settlement of equity awards	(4,310)	(3,624)
Purchase of treasury stock	(16,974)	(869)
Net cash used in financing activities	(172,027)	(28,368)
Net effect of foreign currency changes on cash, cash equivalents and restricted cash	(1,712)	(3,775)
Net change in cash, cash equivalents and restricted cash	(138,522)	(100,548)
Cash, cash equivalents and restricted cash, beginning of period	252,987	220,751
Cash, cash equivalents and restricted cash, end of period	114,465	120,203
SUPPLEMENTAL CASH FLOW INFORMATION
Purchases of property and equipment and development of capitalized software recorded in accounts payable and accrued expenses	$ 5,845	$ 4,841

CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) - USD ($) $ in Thousands	Jun. 30, 2026	Dec. 31, 2025
Current assets
Cash and cash equivalents	$ 102,306	$ 240,850
Restricted cash	12,159	12,137
Accounts receivable, net of allowance for expected credit losses of $19,126 and $16,771, respectively	634,900	594,999
Prepaid expenses and other current assets	80,977	124,629
Total current assets	830,342	972,615
Property, equipment, and capitalized software, net	121,578	115,858
Goodwill	438,900	438,900
Other intangible assets, net	909,299	993,927
Investments in unconsolidated affiliates	202,846	234,138
Other assets	36,747	37,977
Total assets	2,539,712	2,793,415
Current liabilities
Current portion of long-term debt, net	25,274	13,250
Accounts payable	176,148	162,376
Accrued compensation and benefits	118,152	121,105
Other accrued expenses	118,265	105,449
Deferred revenues	25,043	30,454
Total current liabilities	462,882	432,634
Long-term debt, net of current portion	1,515,972	1,660,611
Deferred income tax liabilities	107,763	90,023
Other long-term liabilities	51,276	56,189
Total liabilities	2,137,893	2,239,457
Commitments and contingencies (Note 10)
Equity attributable to stockholders of Advantage Solutions Inc.
Common stock, $0.0001 par value, 197,400,000 shares authorized; 12,824,638 and 13,058,852 shares issued and outstanding as of June 30, 2026 and December 31, 2025, respectively	1	1
Additional paid in capital	3,439,506	3,489,020
Accumulated deficit	(3,003,885)	(2,869,347)
Loans to Karman Topco L.P.	(7,996)	(7,673)
Accumulated other comprehensive loss	(10,073)	(4,158)
Treasury stock, at cost; 511,636 and 515,781 shares as of June 30, 2026 and December 31, 2025, respectively	(15,734)	(53,885)
Total stockholders' equity	401,819	553,958
Total liabilities and stockholders' equity	$ 2,539,712	$ 2,793,415