EEX — Emerald Holding, Inc.

Summary of EEX Q4 2025 Earnings Call

1. Key Financial Results and Metrics

• Q4 Revenue: $132.7 million, up from $106.8 million year-over-year, driven by acquisitions and a 0.3% organic growth.
• Full Year Revenue: $463.4 million, a 16.2% increase from 2024, with reported organic revenue growth of 1.1%. Adjusted for acquisitions, organic growth would have been 4.8%.
• Q4 Adjusted EBITDA: $36.3 million, a 9.7% increase from $33.1 million in Q4 2024.
• Full Year Adjusted EBITDA: $127.1 million, up 25% from $101.7 million in 2024.
• Free Cash Flow: $10.1 million in Q4, down from $18.4 million in the prior year; full year free cash flow was $34.3 million, down from $37.0 million in 2024.
• Cash Position: $100.9 million as of December 31, 2025, with total liquidity of $210.4 million.
• Share Repurchases: 4.06 million shares repurchased in 2025 at an average price of $4.32 per share.

2. Strategic Updates and Business Highlights

• Portfolio Reshaping: The company focused on exiting underperforming brands and acquiring businesses like This is Beyond, Insurtech Insights, and Generis to enhance exposure to high-growth markets.
• Customer Engagement: Strong rebooking activity and sustained demand for in-person events were noted, reinforcing the value of live engagement in B2B transactions.
• AI Initiatives: Implementation of AI agents across events to improve exhibitor experience and operational efficiency, with plans for further integration across various business functions.

3. Forward Guidance and Outlook

• 2026 Revenue Guidance: Expected in the range of $490 million to $495 million, representing approximately 6% growth year-over-year.
• Adjusted EBITDA Guidance: Expected between $137.5 million and $142.5 million, indicating about 10% growth year-over-year.
• Sales Visibility: Over 70% of the year’s revenue is already contracted, with strong pacing particularly in the first half of 2026.

4. Bad News, Challenges, or Points of Concern

• Free Cash Flow Impact: The timing of acquisitions and related expenses negatively affected free cash flow, which was lower than the previous year.
• Integration Costs: Ongoing integration expenses related to acquisitions may impact near-term profitability.
• Market Risks: While the company has minimal direct exposure to geopolitical tensions in the Middle East, there are concerns about potential indirect impacts on travel and event attendance.

5. Notable Q&A Insights

• Free Cash Flow Conversion: Management anticipates a normalized free cash flow conversion of $85 million to $90 million in 2026, contingent on acquisition-related expenses.
• M&A Environment: The M&A landscape remains strong with numerous opportunities in a fragmented industry, and the company is actively pursuing potential acquisitions.
• Las Vegas Convention Center: Construction impacts from 2025 are expected to be resolved, with confidence in improved performance for events in 2026.
• Content and Commerce Strategies: These segments remain small but are being optimized for growth, with early signs of success in lead generation initiatives.

Overall, EEX demonstrated solid financial performance in 2025, with strategic initiatives aimed at strengthening its market position and enhancing growth potential, despite facing challenges related to cash flow and integration costs. The outlook for 2026 appears positive, supported by strong demand and a diversified portfolio.