Trade Desk Q4 2024 Earnings Report

Key Takeaways

The Trade Desk reported strong revenue growth in Q4 2024, with a 22% YoY increase to $741M. Net income nearly doubled, reflecting improved profitability. However, the company acknowledged falling short of internal expectations, leading to a strategic reorganization.

Total Revenue

$741M

Previous year: $606M

+22.3%

EPS

$0.59

Previous year: $0.41

+43.9%

Gross Ad Spend

$12B

Previous year: $9.5B

+26.3%

Customer Retention

95%

Previous year: 95%

+0.0%

Cash and Equivalents

$1.37B

Previous year: $1.38B

-0.8%

Total Assets

$6.11B

Previous year: $4.89B

+25.0%

Trade Desk Revenue

Trade Desk EPS

Trade Desk Revenue by Segment

Forward Guidance

The Trade Desk expects Q1 2025 revenue of at least $575M, with adjusted EBITDA of approximately $145M. The company is focusing on premium advertising channels, particularly CTV, retail media, and identity solutions.

Positive Outlook

Strong adoption of Connected TV advertising
Continued high customer retention rates above 95%
Expansion of Unified ID 2.0 to enhance identity solutions
Growth in retail media partnerships
Launch of Ventura OS to improve streaming ad experiences

Challenges Ahead

Q4 performance fell short of internal expectations
Increasing competition in the ad tech industry
Macroeconomic uncertainties impacting advertising budgets
Potential risks from regulatory changes in digital advertising
Stock-based compensation expenses remain significant