Trade Desk reports record revenue in 2020, but shares drop with no 2021 guidance
The Trade Desk ended its 2020 fiscal year on strong note, with 26% growth in revenue and 123% growth in net income from 2019, according to the fourth quarter and full year financial results the Ventura-based internet advertising company released Feb. 18.
Trade Desk CEO Jeff Green spotlighted the company’s continued market share gain, as gross spending on the Trade Desk’s platform was at an all-time high of $4.2 billion in 2020, up 34% from the previous year.
“While 2020 was a uniquely challenging year, it was also a turning point for our industry and our company,” Green said in a company news release.
The company recorded $319.9 million in revenue in the fourth quarter of 2020, a 48% gain from the same quarter of 2019, while net income was $151.9 million, up from $50.9 million from the fourth quarter of 2019.
Revenue for the full fiscal year was at $836 million, up from $666.1 million in 2019, and net income was at $242.3 million in 2020, compared to $108.3 million in 2019.
Earnings per share jumped 118%, to $4.27 for the 2020 fiscal year, compared to $2.27 in 2019.
Financial results were released after the trading day ended, with the Trade Desk closing at $846.50. Shares were down nearly 1% after hours with the stock dropping below $840, likely due to the fact that the company did not share a financial outlook for fiscal year 2021, citing pandemic concerns.