NASDAQ$TTD

Trade Desk Inc · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Revenue increased and outperformed market, driven by growth in Connected TV and retail data.

The Trade Desk reported a strong third quarter with revenue growth of 31% year-over-year, significantly outpacing the market. The company's performance was driven by the increasing value of decisioned media buying on its platform, particularly in the rapidly growing market for Connected TV advertising and the use of retail data to tie campaign activity to actual retail sales.

  • Revenue increased by 31% year-over-year, reaching $395 million.
  • Customer retention remained above 95% for the past eight years.
  • The Trade Desk continues to build support for Unified ID 2.0 (UID2).
  • The company's focus on CTV and retail data is driving growth and innovation.

Headline financials

Total Revenue

$395M

Previous: $301M+31.1%
EPS (adj)

$0.26

Previous: $0.18+44.4%
Capital Expenditures

-$36.4M

Previous: -$43.9M+17.1%
Free Cash Flow

-$20.5M

Previous: $15.5M-232.7%
Net Income

$15.9M

Previous: $59.4M-73.3%
Operating Income

$28.8M

Previous: $80.4M-64.2%
Gross Profit

$325M

Previous: $248M+31.1%
Cash & Equivalents

$995M

Previous: $577M+72.4%
Total Assets

$3.92B

Previous: $2.99B+31.3%
Stock-Based Comp

$121M

Previous: $34.5M+251.2%

Revenue & EPS history

Trade Desk · Revenue · Quarterly

$395M

Q3 2022+31.1%vs Q3 2021
Beat estimate in 12 of 15 quarters(80%)
ActualEstimate

Forward guidance

The Trade Desk expects revenue of at least $490 million and Adjusted EBITDA of approximately $229 million for the fourth quarter of 2022.

Tailwinds

  • Revenue at least $490 million
  • Adjusted EBITDA of approximately $229 million
  • Strong growth in Connected TV advertising
  • Retail data helping clients unleash retail data
  • Pioneering new approaches to identity

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2022

Historical avgQ3 2022

+7.6%

Avg return

Earnings day

+7.0%

Avg return

5 days after

+8.9%

Avg return

30 days after

69%

29 / 42 earnings

Positive

+46.8%

Q1 2018

Best reaction

-33.0%

Q4 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-17.0%-12.2%-16.9%
Q4 2025+12.0%-0.6%-15.4%
Q3 2025-3.2%-4.6%-12.7%
Q1 2025+18.7%+32.1%+19.3%
Q4 2024-33.0%-34.5%-55.9%
Q3 2024+0.3%+5.1%+11.5%
Q2 2024+16.9%+15.8%+18.1%
Q1 2024-1.1%-2.4%+5.1%
Q4 2023+19.7%+11.1%+3.2%
Q3 2023-18.8%-14.2%-10.4%
Q2 2023-9.6%-11.8%-1.7%
Q1 2023+0.6%-0.2%+16.3%
Q4 2022+26.3%+20.8%+17.2%
Q3 2022+9.5%+10.1%+10.2%
Q2 2022+35.1%+35.5%+17.1%
Q1 2022-3.7%+15.4%+16.7%
Q4 2021-1.4%-3.1%-14.5%
Q3 2021+41.6%+46.4%+42.8%
Q2 2021+4.2%-3.7%-14.0%
Q1 2021-22.2%-21.8%-11.5%
Q4 2020+7.0%-6.3%-13.2%
Q3 2020+29.6%+11.8%+42.9%
Q2 2020-0.6%-10.1%-11.0%
Q1 2020+1.1%-0.5%+13.5%
Q4 2019+7.6%+4.0%-25.2%
Q3 2019+0.6%+15.1%+27.2%
Q2 2019+5.7%+2.9%-9.4%
Q1 2019-17.4%-16.6%+10.3%
Q4 2018+31.7%+30.3%+35.2%
Q3 2018-7.1%-15.0%+1.3%
Q2 2018+39.9%+45.6%+55.4%
Q1 2018+46.8%+55.7%+72.0%
Q4 2017+20.3%+11.5%+7.1%
Q3 2017-17.3%-23.7%-26.6%
Q2 2017+0.9%-5.5%+4.1%
Q1 2016+29.4%+30.3%+28.2%
Q1 2017+29.4%+30.3%+28.2%
Q2 2016+2.2%+10.5%+24.8%
Q4 2016+2.2%+10.5%+24.8%
Q3 2016+10.9%+10.0%+19.7%
Q4 2015+10.9%+10.0%+19.7%
Q3 2015+10.9%+10.0%+19.7%
Q2 2015
Q1 2015

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