The Trade Desk doubles net income for second quarter
The Trade Desk stock slumped more than 7 percent ahead of an earnings release that showed a 54 percent increase in the Ventura-based company’s second quarter earnings, bringing in $72.8 million and doubling its net income to $18.8 million.
Earnings per diluted share nearly tripled to 43 cents, up from 15 cents for the same quarter in 2016. Revenues from its mobile in-app, video and web advertising saw substantial gains year-over-year, now making up a third of all of the gross spending for the quarter, including an 87 percent gain for mobile in-app and a 171 percent gain for mobile video.
The company also opened a 20th office during the quarter in Shanghai. It increased its full-year revenue guidance by 4 percent to $303 million and said it expected earnings before interest, taxes, depreciation and amortization to be $88 million.
“A great start in the first half of the year points to a strong 2017 for our business,” founder and CEO Jeff Green said in a news release Aug. 10, adding later that a shift toward programmatic advertising and investments in growth areas like video, mobile and connected TV are expected to drive further growth for the company.
The Trade Desk had $115.9 million in cash on hand, with $311.5 million in current liabilities. The stock fell $3.93 to $50.06 ahead of the announcement, but rose 8.4 percent to $54.25 in after-hours trading.
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