ADVNasdaqServices-Business Services, NECUS GAAP · USD

Advantage Solutions Inc.

Advantage Solutions Inc. is a U.S.-based outsourced sales and marketing services company focused on consumer packaged goods manufacturers and retailers. It helps clients improve distribution, retail execution, shopper engagement, merchandising, sampling, and private brand development across physical stores and digital commerce channels. The company serves more than 4,000 clients across grocery, mass, club, pharmacy, convenience, and other retail formats, with activity concentrated in North America. Its business is organized into Branded Services, Experiential Services, and Retailer Services, each tied to different parts of the in-store and omni-commerce value chain.

Revenue3,543m USD
−0.7 %y/y
Operating profit (EBIT)-126m USD
+57.1 %y/y
EBIT margin-3.6%
+4.7 ppy/y
Net income-228m USD
+30.3 %y/y
Free cash flow55.1m USD
−35.4 %y/y

Fiscal year 2025 · change from previous year

Development 2020–2025

-2,00002,0004,0006,000m USD2020: 3,156 m USD2020: EBIT 67 m USD20202021: 3,602 m USD2021: EBIT 230 m USD20212022: 4,050 m USD2022: EBIT -1,439 m USD20222023: 4,225 m USD2023: EBIT 76 m USD20232024: 3,566 m USD2024: EBIT -295 m USD20242025: 3,543 m USD2025: EBIT -126 m USD20253,543-126
RevenueOperating profit (EBIT)

Business

Share of revenue
Branded Services45 %

Sales, brokerage, merchandising, and omni-commerce marketing support for branded CPG manufacturers.

Experiential Services20 %

In-store and digital sampling, demonstrations, and consumer engagement events for brands and retailers.

Retailer Services35 %

Private brand consulting, retailer merchandising, and retail media/agency services for retailers.

Customers

The company primarily sells to consumer packaged goods manufacturers that outsource sales, merchandising, and shopper marketing functions to improve retail execution and distribution. It also serves retailers that want support for private brands, merchandising resets, retail media, and in-store marketing programs. Many engagements are tied to specific client programs, so demand depends on client spending priorities, category performance, and retailer relationships. The largest clients contribute a significant portion of revenue, making account retention and renewal important to the business model.

CPG manufacturers

Buy outsourced sales, brokerage, merchandising, and shopper marketing services to expand distribution and improve shelf execution.

Retailers

Buy private brand, merchandising, circular, and retail media services to improve store execution and monetize shopper traffic.

Brand marketers and shopper teams

Buy omni-commerce marketing, digital shelf, and promotion programs to drive awareness, trial, and conversion.

Consumer engagement program sponsors

Buy sampling and experiential events to generate product trial and support launch or seasonal campaigns.

Strategy

Management is focused on strengthening core service offerings while improving operational efficiency and aligning the cost structure with the current scale of the business. A major priority is to enhance technology and data capabilities so the company can improve decision-making, execution quality, and client reporting. The company is also simplifying its portfolio through divestitures of non-core businesses and investing in enterprise systems modernization, including ERP and information systems upgrades. Longer term, it wants to expand omni-commerce capabilities and logical adjacencies while preserving relevance with CPG and retail clients.

Operational simplification and cost alignmentShort term

The company wants its cost base and organizational structure to match current demand and improve margins and execution.

Technology and data enablementMedium term

Better analytics, routing, and client insights improve service quality and help defend accounts in a competitive market.

Omni-commerce expansionMedium term

Clients increasingly need support across physical and digital commerce, retail media, and digital shelf execution.

Geography

2025

Advantage Solutions operates primarily across North America, with its service footprint built around U.S. and Canadian retail channels. The company serves clients in more than 100,000 retail locations, which makes store coverage and local execution capabilities central to its operating model. Its business is less dependent on manufacturing geography than on proximity to retail networks and client field execution. The reports do not disclose a country-level revenue split, but the company clearly describes North America as its core market and operating base.

North America51 %
United States47 %
Asia Pacific2.5 %
Europe0.2 %

Share of the revenue the company reports by geography.

Risks

The business is exposed to client spending cuts because CPG manufacturers and retailers can review, rebid, or cancel programs on short notice. Labor availability and wage inflation are major risks because the company relies heavily on field teammates, and service delivery depends on hiring, training, and retaining a large workforce. Execution risk is also high because the company depends on retailer relationships, supply chain conditions, and technology systems to deliver store-level programs at scale. Cybersecurity, third-party outsourcing, and client consolidation add further pressure by increasing operational complexity and the risk of account loss, service disruption, or margin compression.

Sorted by severity
LowMediumHighLowMediumHighImpact →Likelihood →Client account loss or reduced spending1Labor cost inflation and workforce retention2Cybersecurity and data breach events3Technology and omni-commerce execution risk4Third-party outsourcing and vendor dependence5
Impact is the risk’s severity and likelihood how probable it is over the next few years, both assessed from the company’s reports. Numbers match the list.
  1. Client account loss or reduced spendingImpact: HighLikelihood: Medium

    Revenue depends on recurring program relationships with CPG manufacturers and retailers, who can rebid or cancel services quickly.

    Exposure: Largest clients generate a significant portion of revenue.

  2. Labor cost inflation and workforce retentionImpact: HighLikelihood: Medium

    The service model is labor-intensive, so wage changes, turnover, and hiring/training challenges directly affect margins and execution quality.

    Exposure: Field teammates and program staffing across retail locations.

  3. Cybersecurity and data breach eventsImpact: HighLikelihood: Medium

    The company handles client, consumer, and operational data; a breach could create legal, financial, and reputational damage.

    ExposureIT systemsConfidential client dataOutsourced service environments
  4. Technology and omni-commerce execution riskImpact: MediumLikelihood: Medium

    The company must keep pace with digital shelf, retail media, and analytics needs to remain relevant to clients.

    Exposure: Omni-commerce marketing and retail media services.

  5. Third-party outsourcing and vendor dependenceImpact: MediumLikelihood: Medium

    Some logistics, IT, and back-office functions are outsourced, which can reduce control and create service continuity risk.

    ExposureHostingSupportBusiness process outsourcing arrangements

Accounting

Judgemental items
Variable consideration and revenue estimates

Many contracts depend on client sales, hours, event counts, or bonuses, so management estimates can materially affect reported revenue.

Impact: Revenue and margin timing

Deferred revenue and billing adjustments

Advance billings and true-ups change the timing of revenue recognition and cash flow presentation.

Impact: Revenue, working capital

Goodwill impairment

The company recognized goodwill impairment charges in 2025, indicating sensitivity to valuation inputs and segment performance.

Impact: Earnings and balance sheet carrying values

Acquired intangible assets

A large intangible asset base can require impairment testing and affects amortization expense.

Impact: Operating profit and net income

Publicly listed companies with a comparable business focus.

Last updated: 24/09/2026

Advantage Solutions Inc. (ADV) Revenue, Earnings & Financials 2025 – Clarifo