The Trade Desk reported on Thursday $53.4 million in total revenue for Q1 2017, a 76% increase from the year-ago period. In addition, the ad-tech firm said it’s upping its guidance for this year from $270 million to $291 million. Based on the news, shares of The Trade Desk rose 17%, near 47.80, in after-hours trading.
During an earnings call with analysts, company CEO Jeff Green attributed the growth to a wave of consolidation among demand-side platforms. The company reported that mobile channels represented more than a third of ad spending on the platform, while spending on native ads was higher in the first quarter of 2017 than all of 2016.
The company, which runs a self-service platform that enables ad buyers to create, run, and optimize digital ad campaigns, reported that connected TV grew 200% year over year. And while there’s limited CTV inventory on The Trade Desk’s platform, the company sees it as an area of opportunity.
"During the quarter, we had incredibly strong customer wins, international growth was exceptional, (and) mobile, which includes in-app, video and web, continued to lead our channel growth," Green said in a statement. He said the company added customers in the financial, auto, apparel, and quick-service restaurant sectors in Q1. For the second quarter, the company expects revenue of $67 million.
The Trade Desk was recently named by Procter & Gamble as one of a handful of ad-tech firms the consumer packaged goods giant will tap for programmatic technology. Testing with the brand is expected to begin in the second half of the year.