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Quad Reports Second Quarter 2025 Results

On July 29, 2025, Quad/Graphics, Inc. (NYSE: QUAD) announced its financial results for the second quarter ending June 30, 2025. The company, recognized for tackling complex marketing challenges, reported net sales totaling $572 million, which reflects a 10% drop compared to $634 million in Q2 2024. Adjusted for the divestiture of its European operations in February, the decline was a more modest 4%.

Financial Overview

In the quarter, Quad recorded a net loss of $0.1 million, a substantial improvement from a $3 million loss in the same quarter last year. This marks a significant turnaround driven by reductions in selling, general, and administrative expenses as well as lower depreciation and interest costs. Moreover, the company's non-GAAP adjusted EBITDA came in at $43 million, down from $52 million a year earlier.

One of the standout aspects of this report is the rise in adjusted diluted earnings per share to $0.14, up from $0.12 in the previous year, showcasing resilience amidst challenging market conditions.

Strategic Initiatives

Quad continues to focus on strategic growth areas like data and audience intelligence, AI-enabled tools and systems, and enhancing its In-Store Retail Media Network. A notable development during this quarter was the launch of Audience Builder 2.0, which utilizes the company’s proprietary data stack to elevate media buying precision and engagement, resulting in improved audience intelligence and response rates.

Additionally, Quad announced a new partnership with Vallarta Supermarkets, enhancing its In-Store Connect retail media network as part of expanding its reach into mid-market grocery segments. This collaboration is positioned to deepen customer engagement and drive brand awareness through targeted promotional campaigns.

Shareholder Returns

Another critical highlight from the financial results is the commitment to shareholder returns. In 2025, the company repurchased 1.4 million shares of its Class A common stock, totaling 7.3 million shares bought back since the inception of its buyback program in 2022. This represents approximately 13% of the company's shares outstanding as of March 31, 2022. Furthermore, Quad declared a quarterly dividend of $0.075 per share, scheduled for payment on September 5, 2025.

A Look Ahead

Despite the decline in sales, Quad remains optimistic and has reaffirmed its full financial guidance for 2025. The company anticipates net sales could decline between 2% to 6% and expects adjusted EBITDA in the range of $180 million to $220 million. The proactive steps taken to streamline operations and enhance strategic investments are expected to pave the way for a recovery.

Conclusion

The second quarter presented a mixed bag for Quad/Graphics, with challenges in sales but notable improvements in operational efficiency and profit margins. The firm’s commitment to leveraging advanced data solutions and partnerships indicates a forward-moving trajectory aimed at not just weathering the current economic climate but thriving within it.

In a statement, Joel Quadracci, the company’s CEO, emphasized the firm’s evolving position within the marketing sector, noting that robust advancements in audience intelligence remain key to delivering value for clients and stakeholders alike. As Quad navigates these complexities, investors and clients alike will be closely watching the implications of its ongoing strategic transformations.