What guidance did The Trade Desk's management provide for the next earnings period?

What does The Trade Desk do and what are its main business segments?

What is the revenue and EPS growth rate for The Trade Desk year over year?

What were the key takeaways from The Trade Desk’s earnings call?

What factors drove the changes in The Trade Desk's revenue and profit?

What were the key takeaways from The Trade Desk's earnings call?

What is the market's earnings forecast for The Trade Desk next quarter?

What is The Trade Desk's latest dividend and current dividend yield?

- **Revenue Surge**: Q3 revenue up 18% YoY to $739M, with CTV driving 50% of video spend. Ex-political growth 22%, outpacing peers.
- **AI-Driven Innovation**: Kokai platform delivers 26% better CPAs, 94% reach improvement. New products like Audience Unlimited and OpenPath enhance supply chain transparency.
- **Leadership Restructuring**: New execs drive operational rigor, JBP pipeline worth billions, and 43% EBITDA margin.
- **Q4 Outlook**: $840M revenue (18.5% YoY ex-political), $375M EBITDA, with focus on international and mid-market growth.
- **Competitive Edge**: TTD's open Internet focus captures 66% of consumer digital time vs. 10% of advertiser budgets, positioning for long-term share gain.

**【CEO Summary Section】**
- **Revenue Growth**: Q3 revenue grew 18% YoY to $739M, excluding political spend, growth was 22%. CTV remains the fastest-growing channel, contributing 50% of video revenue.
- **AI and Product Innovation**: Kokai AI platform delivered 26% better CPAs, 58% better CTR, and 94% better reach. New products like Audience Unlimited, OpenPath, and Deal Desk aim to enhance supply chain transparency and efficiency.
- **Leadership and Restructuring**: Hired new COO, CFO, and CRO to drive operational rigor. Streamlined go-to-market strategies, improving JBP (Joint Business Plan) execution and client retention.
- **Market Positioning**: Emphasized TTD's role as an objective DSP in a buyer's market, contrasting with walled gardens. Highlighted premium content consumption on the open Internet (66% of digital time) versus advertiser budgets (minority allocated to open Internet).

**【CFO Financial Commentary】**
- **Financial Highlights**: Adjusted EBITDA of $317M (43% margin), free cash flow of $155M, and $1.4B cash balance. Q4 revenue guidance of $840M (18.5% YoY ex-political), with $375M EBITDA.
- **Channel Growth**: CTV and audio channels growing faster than overall business. Mobile (30% share) and display (low double-digit) stable, while international growth outpaces North America (13% vs. 87% share).
- **Capital Allocation**: $310M share buybacks in Q3, with $500M new authorization. Focus on reducing dilution and returning capital to shareholders.

**【Q&A Key Highlights】**
- **Competition and Strategy**: Jeff clarified TTD's focus on open Internet vs. Amazon/Google's owned inventory. Discussed AI's minimal impact on inventory but emphasized long-term opportunities in search-like ads. Alex highlighted Q4 guidance confidence despite macro concerns, citing JBP pipeline and product adoption.
- **AI and Inventory Impact**: Jeff noted AI reduces ad density, benefiting premium publishers. Kokai adoption driving 43% CTR improvements. Alex saw no macro risks, attributing guidance to consistent trends.
- **Product Priorities**: Kokai, Audience Unlimited, and Deal Desk highlighted as key growth drivers. Kokai's 35% better deal performance vs. Solimar showcased AI's value in forward markets.


The Trade Desk, Inc. (TTD) Q3 2025 Earnings Call Transcript

- **Revenue Growth**: 19% YoY to $694M, CTV driving 40%+ share. Kokai adoption (75% clients) delivers 20+ point KPI improvements.
- **Strategic Momentum**: 100+ JBPs pipeline, JBP spend outpaces overall business. Sincera data, OpenPath partnerships enhance supply chain efficiency.
- **Financial Strength**: $271M adj EBITDA (39% margin), $1.7B cash, $261M share buybacks. Q3 guidance: $717M rev (14% YoY).
- **AI Differentiation**: Kokai's AI-powered forecasting, Deal Desk beta with Disney, and retail media partnerships drive long-term growth.
- **Competitive Edge**: Independent DSP vs. walled gardens. 86% North America dominance, 14% intl growth highlights global expansion.

**【CEO Summary Section】**
- **Revenue Growth**: Q2 2025 revenue of $694 million, up 19% YoY, driven by 70%+ CTV spend and Kokai adoption (75% of clients). CTV video share >40%, mobile >30%, audio 5%.
- **Kokai Platform**: 20+ point KPI improvements (e.g., Samsung +43% target reach, Cashrewards +73% CPA). 100% client adoption by end-2025. Deal Desk beta sees strong Disney, publisher interest.
- **Strategic Initiatives**: Sincera data integration, OpenPath publisher partnerships (NY Post +97% rev, Hearst +4x fill rate). Retail media partnerships with Instacart, Walmart expand measurement.
- **Leadership Transition**: Alex Kayyal as CFO (effective Aug 21), Omar Tawakol joins Board. Vivek Kundra COO strengthens go-to-market rigor.
- **Market Positioning**: 86% North America, 14% intl growth. 100+ JBPs pipeline, JBP spend outpaces overall business. 2026 vision: AI-driven, open Internet leadership.

**【CFO Financial Commentary】**
- **Top Line**: $694M rev (19% YoY), $271M adj EBITDA (39% margin). Q3 guidance: $717M rev (14% YoY), $277M adj EBITDA. Free cash flow $117M, $1.7B cash balance.
- **Expense Management**: Opex $448M (23% YoY), driven by AI, platform scaling. Tax expense $43M, share buybacks $261M.
- **Segment Performance**: Tech/computing +20s%, medical health +20s%, home/garden -10%, style/fashion -5%.

**【Q&A Highlights】**
- **Amazon Competition**: Independent DSP vs. walled gardens. Amazon's Prime Video bias limits objectivity; TTD focuses on open Internet, not owned media.
- **Tariff Impact**: Large advertisers face uncertainty, but programmatic agility drives 20%+ Kokai spend acceleration. CTV upfronts favor flexibility over full-year deals.
- **AI ROI**: Kokai's distributed AI improves forecasting, supply path optimization. Agentic use cases (e.g., real-time campaign adjustments) emerging.
- **Segment Weakness**: Home/garden seasonal, style/fashion <5% of business. Retail media growth offsets underperformance.

The Trade Desk, Inc. (TTD) Q2 2025 Earnings Call Transcript

- **Record Q1 Growth**: 25% YoY revenue to $616M, driven by Kokai adoption and programmatic resilience.
- **Fairer Market Dynamics**: Google antitrust rulings create level playing field, benefiting open internet leaders.
- **Kokai Performance**: 66% client adoption delivers 42% cost per reach reduction and 24% lower conversion costs.
- **Cash Flow Strength**: $230M free cash flow and $386M share buybacks support long-term growth.
- **CTV Dominance**: Video (CTV) accounts for ~50% of revenue, leading industry shift to addressable TV.


**【CEO Opening Remarks】**
- **Q1 Revenue Growth**: 25% YoY to $616M, driven by programmatic advertising resilience amid macro uncertainty.
- **Market Share Expansion**: Outperformed broader digital marketing industry, gaining land from competitors in tough environments.
- **Kokai Platform Adoption**: 66% of clients now using Kokai, delivering 42% reduction in cost per unique reach and 24% lower cost per conversion.

**【Open Internet & Regulatory Shifts】**
- **Google Antitrust Rulings**: U.S. court declared Google an illegal monopoly, creating fairer market conditions for open internet players.
- **Meta Auction Controversy**: Flawed auction mechanics highlighted need for transparent, objective buying platforms like The Trade Desk.
- **Cookie Reversal Impact**: Reversal of Chrome cookie phase-out aids display advertising, though CTV remains core growth driver.

**【Product Innovations】**
- **Kokai Enhancements**: AI-driven tools (e.g., Koa) improve campaign performance, with 20% lower cost per acquisition on Kokai.
- **OpenPath Supply Chain**: Arena Group saw 79% programmatic revenue growth; OpenPath adoption accelerates transparency and efficiency.
- **Sincera Acquisition**: Free Open Sincera tool to industry for supply chain insights, enhancing data-driven decision-making.

**【CFO Financial Highlights】**
- **Q1 Financials**: $616M revenue (25% YoY), $208M adjusted EBITDA (34% margin), $230M free cash flow.
- **Channel Growth**: Video (CTV) at ~50% of mix, mobile ~35%, display ~10%.
- **Geographic Expansion**: International spend up 9x YoY, led by CTV in Europe and APAC.
- **Share Repurchases**: $386M in Q1, offsetting dilution while maintaining financial flexibility.

**【Q&A Key Takeaways】**
- **Google Competition**: Antitrust rulings force Google to focus on core businesses, reducing open internet interference.
- **Amazon DSP Limitations**: Amazon's bias towards Prime Video ads limits its ability to compete as an objective DSP.
- **Q2 Outlook**: $682M+ revenue (17% YoY), guided by Kokai adoption and macro resilience.
- **Upfront Expectations**: Programmatic growth expected to outpace linear TV amid macro uncertainty.


The Trade Desk, Inc. (TTD)-8 May 25-2025 Q1 Earnings call transcript

- **2024 Growth Highlights**: $2.4B revenue (+26% YoY), $1B+ EBITDA, $630M free cash flow. Q4 miss due to internal execution, not market weakness.
- **Strategic Shifts**: Agile product teams, brand-direct focus, Kokai migration, and AI investments to drive long-term growth.
- **Key Opportunities**: CTV leadership, audio expansion, Google open internet exit, and $1T TAM with 1% market share.
- **Financial Outlook**: 2025 revenue growth with modest margin deleverage, $1B share buyback program, and focus on infrastructure investments.

**【CEO Summary Section】**
- **Record-Breaking Year**: Total spend reached $12 billion, revenue grew 26% YoY to $2.4 billion, and adjusted EBITDA exceeded $1 billion. However, Q4 fell short of internal expectations due to execution missteps while preparing for future growth.
- **Strategic Adjustments**: Largest reorganization in company history, agile product development with 100+ scrum teams, brand-direct focus (JBPs growing 50% faster), and Kokai platform migration completion by end-2025.
- **Long-Term Opportunities**: CTV as the fastest-growing channel, audio advertising expansion, and leveraging Google's potential exit from the open internet. AI investments in forecasting, identity, and measurement are key growth drivers.

**【CFO Financial Commentary】**
- **Q4 2024 Results**: Revenue $741 million (+22% YoY), adjusted EBITDA $350 million (47% margin). Full-year free cash flow $630 million. Missed expectations due to internal execution challenges, not external factors.
- **Expense Outlook**: 2025 operating expenses to grow modestly, with focus on infrastructure, talent, and Kokai enhancements. CapEx expected at 5% of revenue. Share buyback program expanded to $1 billion.
- **Q1 2025 Guidance**: Revenue $575 million (+17% YoY), adjusted EBITDA $145 million. Margins expected to deleverage temporarily due to investments.

**【Q&A Key Takeaways】**
- **Google's Open Internet Exit**: Believed to create significant opportunity for The Trade Desk as walled gardens de-prioritize open platforms. OpenPath adoption accelerating in CTV and audio.
- **Amazon Competition**: Objectivity advantage positions The Trade Desk to win against Amazon's conflicting interests. Focus on partnerships with Prime Video and other premium content.
- **Political Spend**: Q4 political ad spend contributed ~5% of revenue, peaking in the quarter but part of broader retail media growth.
- **Leadership Expansion**: Planning to double senior leadership roles to support scaling, including potential COO hire for operational rigor.

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