Trade Desk shares rise 3.3% after Q3 revenue tops estimates

The Trade Desk (TTD) reported third-quarter revenue of $736.0 million, topping the $656.8 million consensus. Adjusted EPS of 33 cents beat the 26-cent consensus.

Shares rose 3.3% at 3:59 p.m. ET on Nov. 10, from a $14.93 close.

Revenue fell 0.5% from $739.4 million a year earlier.

Here's how the company did:

• Revenue: $736.0 million vs. $739.4 million a year earlier, $656.8 million expected
• Adjusted EPS: 33 cents vs. 45 cents a year earlier, 26 cents expected
• GAAP diluted EPS: 8 cents vs. 23 cents a year earlier
• Adjusted EBITDA: $265.8 million vs. $317.5 million a year earlier
• Adjusted EBITDA margin: 36% vs. 43% a year earlier

Quarterly results

Net income was $38.1 million, or 8 cents per diluted share, compared with $115.5 million, or 23 cents, a year earlier.

Adjusted results exclude $44.3 million of restructuring charges from its 2026 Restructuring Plan; there were none a year earlier.

Nine-month revenue was $2.14 billion, up 4% from $2.05 billion. Nine-month adjusted EPS was 95 cents, against $1.18 a year earlier.

Platform operations expense rose to $200.2 million from $162.2 million a year earlier. Total operating expenses were $643.4 million, up from $578.2 million.

Fourth-quarter outlook

The company expects fourth-quarter revenue of at least $755 million and adjusted EBITDA of at least $280 million.

Co-Founder and CEO Jeff Green said the company is "still operating below the level of growth we expect from ourselves."

Buyback expansion

The board authorized an additional $731 million under the share repurchase program for Class A common stock, bringing the total available to $1 billion.

The company had about $269 million available for repurchases as of Sept. 30.

Repurchases of Class A common stock totaled $241.3 million in the first nine months, down from $957.5 million a year earlier.