The Trade Desk Soars 13.76% on Strong Q1 Earnings

The Trade Desk (TTD) surged 13.76% in pre-market trading on May 9, 2025, driven by strong first-quarter earnings and revenue growth.

The Trade Desk reported a significant revenue increase of 25% year-over-year, reaching $616 million in the first quarter of 2025. This growth was attributed to strong customer retention, which remained above 95%, and the company's position as the leading independent demand-side platform (DSP).

The company's earnings per share (EPS) exceeded expectations by 32%, with a net income margin of 8%. The Trade Desk's strategic upgrades implemented in Q4 2024 have begun to pay off, contributing to this outperformance. The company also announced the acquisition of Sincera, a digital advertising data company, and significant share repurchases amounting to $386 million.

Despite recent headwinds, including a challenging start to 2025 with a stock price decline of roughly 60% from its 52-week high, The Trade Desk remains confident in its ability to resume accelerated growth. The company is focused on learning from execution issues and making adjustments to ensure smoother future rollouts and operational excellence.

The Trade Desk continues to see strong momentum in key growth areas, particularly connected TV (CTV) and retail media, which are establishing a solid foundation for future expansion. International growth has also accelerated, with promising results beyond the U.S. market. The company is committed to helping clients leverage data-driven advertising to drive growth and brand loyalty, positioning itself for long-term success.