Stagwell is optimistic about what its digital transformation efforts hold for the year ahead after delivery another quarter of organic growth.

The company ended the 2022 fiscal year with 14% year-over-year organic growth, including 8% organic growth in Q4.

That was driven by its digital transformation segment, which had organic growth 21.5% in Q4 and 33.4% for the full year. Stagwell’s creative and communications agencies – still its largest segment by revenue – had organic revenue growth of 3.1% in Q4 and 5.1% for the fiscal year.

Stagwell’s performance media and data agencies – also a key part of the company’s digital transformation strategy – had organic growth of 2.5% in Q4 and 9.6% for the full year. While it is the small contributor to revenue, the company’s consumer insights and strategy offering is growing fast, with 16.6% organic growth in Q4 and 25.3% organic growth for the full year.

Overall, 57% of the company’s revenue in 2022 came from digital activities, which is up 28% from the prior year.

“We promised to transform marketing, and we have built game-changing AI and AR-driven products as we continue to grow and transform both our business and the industry,” said Mark Penn, Stagwell’s chairman and CEO. “We look forward to another year of double-digit growth[…]in 2023, continuing our momentum.”

Stagwell’s holdings in Canada include DonerNorth, Anomaly, The Media Kitchen, Veritas, Forsman & Bodenfors, Dyversity Communications, Kenna, Multiview and Assembly.

In terms of guidance, the company is predicting organic net revenue growth between 7.5% and 10%.