NYSE$DV

DoubleVerify Holdings Inc · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Achieved record revenue and net cash from operating activities for the quarter and full year, with revenue increasing 27% year-over-year.

DoubleVerify reported a strong Q4 2022, achieving record revenue of $133.6 million, a 27% increase year-over-year. The company's performance was driven by growth in activation and measurement revenue, as well as continued expansion in CTV and social media. DoubleVerify is well-positioned to drive further business expansion and accelerate long-term growth.

  • Total revenue increased by 27% to $133.6 million.
  • Activation revenue grew by 40% to $75.5 million.
  • Measurement revenue increased by 10% to $46.3 million.
  • Adjusted EBITDA reached $48.9 million, representing a 37% margin.

Headline financials

Total Revenue

$134M

Previous: $106M+26.6%
EPS (adj)

$0.11

Previous: $0.17-35.3%
Adjusted EBITDA

$48.9M

Previous: $40.4M+21.0%
Capital Expenditures

$12.3M

Previous: $3.9M+214.6%
Free Cash Flow

$24.2M

Previous: $20.4M+18.7%
Net Income

$18.1M

Previous: $28.3M-36.1%
Operating Income

$28.6M

Previous: $16M+78.5%
Gross Profit

$111M

Previous: $87.1M+27.2%
Cash & Equivalents

$268M

Previous: $222M+20.9%
Total Assets

$1.04B

Previous: $892M+16.2%
Stock-Based Comp

$11.1M

Previous: $9.79M+13.2%

Revenue & EPS history

DoubleVerify · Revenue · Quarterly

$134M

Q4 2022+26.6%vs Q4 2021
Beat estimate in 9 of 15 quarters(60%)
ActualEstimate

Revenue by segment

DoubleVerify · $122M total across 2 segments · Q4 2022

  • Activation
    $75.5M+39.5%
  • Measurement
    $46.3M+9.6%

Forward guidance

DoubleVerify anticipates Revenue and Adjusted EBITDA to be in the following ranges:

Tailwinds

  • Revenue of $117 to $119 million for Q1 2023, a year-over-year increase of 22% at the midpoint.
  • Adjusted EBITDA in the range of $28 to $30 million for Q1 2023, representing a 25% margin at the midpoint.
  • Revenue of $550 to $564 million for full year 2023, a year-over-year increase of 23% at the midpoint.
  • Adjusted EBITDA in the range of $164 to $172 million for full year 2023, representing a 30% margin at the midpoint.

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 Q4 2022

Historical avgQ4 2022

-2.5%

Avg return

Earnings day

-0.8%

Avg return

5 days after

+2.0%

Avg return

30 days after

60%

15 / 25 earnings

Positive

+10.4%

Q4 2025

Best reaction

-39.5%

Q1 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.7%-9.1%-10.6%
Q4 2025+10.4%+8.5%-2.3%
Q3 2025-14.4%-4.3%+0.5%
Q1 2025-5.4%+5.7%+4.7%
Q4 2024-36.0%-32.0%-38.6%
Q3 2024+7.3%+9.6%+12.5%
Q2 2024+3.8%+0.1%-2.8%
Q1 2024-39.5%-39.1%-39.4%
Q4 2023-25.7%-25.8%-15.4%
Q3 2023+4.0%+6.8%+13.5%
Q2 2023-13.5%-19.5%-18.6%
Q1 2023+9.9%+4.9%+33.6%
Q4 2022+3.8%+1.8%+14.8%
Q3 2022+4.3%+11.6%+5.5%
Q2 2022+9.2%+15.1%+12.5%
Q1 2022-2.9%+15.4%+18.8%
Q4 2019+0.1%-13.0%+3.7%
Q4 2021+0.1%+7.4%-2.0%
Q3 2020+3.6%+3.4%-6.5%
Q3 2021+3.6%+3.4%-6.5%
Q2 2020-0.6%-0.1%-3.5%
Q2 2021-0.6%-0.1%-3.5%
Q1 2020+5.5%+6.0%+25.1%
Q1 2021+6.3%+11.8%+27.1%
Q4 2020+5.5%+11.8%+27.1%
Q3 2019

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