Why did SGRP outperform forecasts in 2024?

Spar Group (SGRP) outperformed forecasts in 2024 due to several key factors:

1. **Strong Revenue Growth**: SGRP's consolidated revenues for Q1 2024 were $68.7 million, marking a 7% increase from the previous year. This growth was particularly notable in the U.S. and Canada regions, which saw a 22% increase in revenues compared to the previous year.
2. **Increased Net Income and Profit Margin**: The company reported a net income of $6.63 million for Q1 2024, a significant increase from the $3.2 million recorded in the same period the previous year. Additionally, the profit margin improved to 9.6%, up from 1.3% in Q1 2023.
3. **Earnings Per Share (EPS) Growth**: The diluted EPS for SGRP in Q1 2024 was $0.28, a substantial increase from the $0.04 reported in the same period the previous year. This indicates a strong profitability trend and suggests that investors may have had higher expectations for the company's earnings.
4. **Strategic Decisions**: SGRP's strategic decision to exit its South Africa business proved beneficial, resulting in a $7.2 million gain and a net income of $6.6 million. This move likely improved the company's financial performance and contributed to the positive surprise in earnings.
5. **Market Conditions**: The overall market conditions and industry trends in the media and distribution services sector may have also played a role in SGRP's outperformance. For instance, the company's focus on merchandising, marketing, and distribution services could have benefited from any general uptick in consumer spending or changes in consumer behavior.

In conclusion, SGRP's strong revenue growth, increased net income, EPS growth, strategic decisions, and favorable market conditions combined to enable the company to surpass market forecasts in 2024.

|code|Ticker|Name|Date|Post-Market Percentage Change|Percentage Change|Pre-Market Percentage Change|market_code|
|---|---|---|---|---|---|---|---|
|SGRP|SGRP.O|Spar Group|20250404|4.9587|-4.7244|0|186|

|code|Ticker|Name|Date|Boll|RSI|KDJ|MACD|market_code|
|---|---|---|---|---|---|---|---|---|
|SGRP|SGRP.O|Spar Group|20250404|1.3337|12.5168|-1.3430|0.0114|186|

|code|Ticker|Name|Date|Pre-Market Percentage Change|market_code|
|---|---|---|---|---|---|
|NFLX|NFLX.O|Netflix|20250404|-2.1907|185|
|PDD|PDD.O|PDD Holdings|20250404|-7.6273|185|
|SGRP|SGRP.O|Spar Group|20250404|0|186|
|AMZN|AMZN.O|Amazon.com|20250404|-6.3281|185|

|code|Ticker|Name|Date|Post-Market Percentage Change|market_code|
|---|---|---|---|---|---|
|NFLX|NFLX.O|Netflix|20250404|-0.7197|185|
|PDD|PDD.O|PDD Holdings|20250404|-1.2283|185|
|SGRP|SGRP.O|Spar Group|20250404|4.9587|186|
|AMZN|AMZN.O|Amazon.com|20250404|-0.4678|185|

|code|Ticker|Name|Date|Percentage Change|market_code|
|---|---|---|---|---|---|
|NFLX|NFLX.O|Netflix|20240404|-2.0537|185|
|PDD|PDD.O|PDD Holdings|20240404|-1.7152|185|
|SGRP|SGRP.O|Spar Group|20240404|6.135|186|
|AMZN|AMZN.O|Amazon.com|20240404|-1.3212|185|
|NFLX|NFLX.O|Netflix|20240405|3.0852|185|
|PDD|PDD.O|PDD Holdings|20240405|0.3405|185|
|SGRP|SGRP.O|Spar Group|20240405|8.0925|186|
|AMZN|AMZN.O|Amazon.com|20240405|2.8167|185|
|NFLX|NFLX.O|Netflix|20240408|-1.2214|185|
|PDD|PDD.O|PDD Holdings|20240408|-0.2121|185|