Sprout Social, Inc.

Software - Application • Technology • Chicago, IL, United States • SPT (NCM)

866 878 3231 131 South Dearborn Street, Chicago, IL 60603, United States

Quarter: Q3 2025 Reported: September 4, 2025 Sentiment: Neutral

Sprout Social, Inc. designs, develops, and operates a web-based social media management platform in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company provides cloud software for social messaging, data and workflows in a unified system of record, intelligence, and action. It offers AI-powered solutions, such as publishing and scheduling, social customer care, reporting and analytics, social listening and business intelligence, reputation management, social commerce, influencer marketing, employee advocacy, and automation and workflows. In addition, the company provides smart inbox, comprehensive case management, social customer relationship management, social monitoring and alerts, customer service tools, and automation; and centralized content planning, creation, and publishing, automated scheduling, content performance reporting, suggested content, message approval workflows, publishing permissions and governance, and content and asset libraries. Further, it offers social media; content performance, customer service and team, custom report builder, and reporting API; and market research, brand health, competitive insights, consumer trends, and product feedback; and social commerce, reputation and review management, mobile applications, and chat bot creation and management. Additionally, the company offers professional services consisting of consulting and training services. It serves social and community management; public relations; marketing; influencer marketing; customer service and care; commerce, sales and customer acquisition; recruiting and hiring, product development, and business strategy; and small-and-medium-sized businesses, mid-market companies, enterprises, marketing agencies, government, non-profit, and educational institutions. The company was incorporated in 2010 and is headquartered in Chicago, Illinois.

Analysis Summary

Sprout Social, Inc. (SPT) provided a significant update via a Form 8-K filing on September 4, 2025, primarily addressing a leadership transition and reaffirming its financial outlook. The company announced the resignation of Mike Wolff, its Chief Revenue Officer, who will depart at the close of the third quarter on September 30, 2025, to join a strategic partner. This executive change introduces a degree of uncertainty regarding future revenue leadership and strategy, though Mr. Wolff will oversee the revenue organization through the quarter's end.

Despite this leadership change, Sprout Social explicitly reaffirmed its previously issued third quarter and full-year 2025 financial guidance. This guidance was initially provided in the press release announcing Q2 2025 financial results on August 6, 2025. The reaffirmation suggests that management believes the company's operational performance and market conditions remain consistent with their earlier projections, mitigating immediate concerns that might arise from an executive departure. No specific financial figures for revenue, earnings, or growth rates were disclosed in this particular filing; rather, it directs stakeholders to the prior August 6th release for those details.

Management's decision to reaffirm guidance immediately following the CRO's announcement can be interpreted as a move to instill confidence and signal business continuity. The company's competitive positioning and market trends are not explicitly discussed in this filing, but the pursuit of an opportunity at a "strategic partner" by the departing CRO might imply a strengthening ecosystem or competitive landscape. Risk factors highlighted in the boilerplate include general market, economic, and political instability, in addition to those detailed in prior SEC filings (10-K for 2024, 10-Q for Q2 2025). No analyst Q&A was part of this 8-K filing.

Key Highlights

• Chief Revenue Officer Mike Wolff resigned to pursue an opportunity at a strategic partner.
• Mr. Wolff will continue to lead the Company's Revenue organization through September 30, 2025 (end of Q3 2025).
• Sprout Social reaffirmed its third quarter 2025 financial guidance.
• Sprout Social reaffirmed its full-year 2025 financial guidance.
• The reaffirmed guidance was originally provided on August 6, 2025, with Q2 2025 financial results.

Financial Metrics

eps

revenue

guidance

net income

Stock Performance (90 Days)

Data through Dec 26, 2025

Positive Signals

• Reaffirmation of Q3 2025 financial guidance.
• Reaffirmation of full-year 2025 financial guidance.
• Chief Revenue Officer remaining through Q3 ensures continuity during the transition period.
• CRO moving to a 'strategic partner' suggests a potentially amicable and beneficial relationship for the ecosystem.

Risks & Concerns

— Leadership transition with the Chief Revenue Officer's resignation.
— Potential disruption or uncertainty within the revenue organization during and after the CRO transition.
— General market, economic, and political instability as highlighted in forward-looking statements.
— Broader risk factors detailed in the Company's Annual Report on Form 10-K for 2024 and Quarterly Report on Form 10-Q for Q2 2025.