In early Friday trading, Trade Desk’s stock was up 5% to $202.76 -- following a decline of 4% on Thursday after its earning release.
Connected TV and audio had improvements of 145% and 160%, respectively. Mobile also remains a big piece -- with 48% of total spending through the platform. Mobile video revenues rose 50%; mobile in-app was 58% higher.
The Trade Desk continues to tout high retention rate of customers -- over 95%.
Connected TV (CTV) remains an important category for the company. Jeffrey Green, chairman-president-CEO of Trade Desk, believes growing efforts among major players will push its business higher.
He cites advertising options for HBO Max, NBC’s Peacock and Disney’s streaming ad-funded options for ABC, National Geographic, FX and Disney’s virtual pay TV network service Hulu. Of the latter, he says in its earnings call with analysts: “It has been leading the fusion of programmatic ads and CTV.”
Green adds that programmatic abilities for connected TV for live sports will be a major growth area -- especially when near real-time decisions could be made by marketers in a close or overtime/extra inning game.
Green says the platform’s connected TV inventory going through Amazon Fire TV is up 21 times in the recent quarter.
In addition, Comcast’s FreeWheel ad server is starting what amounts to a header bidding product, “so that programmatic demand can compete with sort of the ordinary sales force in TV.” That’s another positive for the company.
Net income was slightly down in the third quarter versus the same period a year ago -- to $19.4 million from $20.3 million.