Emerald Revenue Jumps in Q1, Shares Surge

Emerald reported strong growth in Q1, which is historically its best quarter, and reiterated that it should hit its guidance that it issued at the end of 2024.

Shares were up over 21% in early morning trading.

In the quarter, it ran a number of its large shows, including the Kitchen & Bath Industry Show, Prosper Show and the International Pizza Expo.

The growth came both organically as well as from a number of acquisitions it has made. On the M&A front, its Insurtech Insights deal is being integrated and its This is Beyond deal approved and expected to close soon.

Key figures, year-over-year:

• Revenue of $147.7 million increased by 10.7%
• Organic revenue, which takes into account the impact of acquisitions, scheduling adjustments and discontinued events was $139.2 million, up 5.6%
• Net income was $15.3 million up from $11 million while Adjusted EBITDA was $53.6 million up 31.4%

“Our first quarter performance reflects meaningful progress in executing our strategy with strong traction across key initiatives that deliver value for our customers and for our shareholders,” Emerald Chief Executive Officer Hervé Sedky said on the earnings call. “Emerald’s refined portfolio now spans an increasingly broad range of high growth sectors, reducing reliance on slower growth vertical and enhancing resilience across market cycles.”

All of Emerald’s organic revenue growth came on the events side while its “All Other” category decreased by $600,000 year-over-year, mostly due to a $500,000 decrease in content (aka digital media) revenue. On the earnings call, management said that $3 million of its growth this year came from shows held in Q2 last year being held in Q1 of this year.

On the international front, the company reported that it’s already sold 90% of its full year target of revenue from international exhibitors. Sedky said on earnings that 10% of total revenue is generated from international exhibitors with exhibitors from China and Canada each representing 2% of revenue and Mexico representing 1%. While he did admit that there is some pressure from China and Canada—likely due to the ongoing trade war—he said that they’re “seeing strength from countries like Turkey, Brazil and the United Arab Emirates.”

Guidance reaffirmed

Emerald is projecting that it will generate $450 million to $460 million in revenue, which would be up from $398.8 million in 2024, and $120 million to $125 million in Adjusted EBITDA, which would be up from $100.2 million in 2024.

“We’re seeing increasing rebook rates for Q1 2026,” Sedky said, referring to companies that come back after exhibiting in Q1 2025.

During Q&A, there was some concern due to the ongoing tariff issues and which countries might shrink spending (namely: China and Canada). While Sedky said they are paying very close attention to it, he also said that their confidence for the year is due primarily to the diversity of its portfolio—it operates across a number of industries—and the fact that its clients continue to want exposure at live events.

On a more tactical nature, Sedky said, “The international team is hunting where tariffs are less of an issue, and so we are increasing attendance as well as sales from countries like Turkey, UAE and Brazil as three notable examples.”

Chief Financial Officer David Doft said, “The reality is that the vast majority of our portfolio are domestic trade shows and the vast majority of our exhibitors are domestic exhibitors and the vast majority of our attendees are domestic attendees.” With only 10% coming from international sources, the team’s not so worried about that volatility.