Delayed Quote. Delayed  - 01/22 04:00:00 pm
812.96USD -0.01%

Trade Desk : Third Quarter 2020 Earnings Prepared Remarks

11/09/2020 | 12:28pm

Prepared Remarks of

Third Quarter 2020 Earnings Call

November 5, 2020

Third Quarter 2020 Earnings Call Prepared Remarks, November 5, 2020

Chris Toth, Vice President Investor Relations

Thank you, Operator. Hello and good afternoon to everyone. Welcome to The Trade Desk third quarter 2020 earnings conference call. On the call today are our Founder and CEO Jeff Green, and Chief Financial Officer Blake Grayson.

A copy of our earnings press release can be found on our website at in the Investor Relations section. Before we begin, I would like to remind you that, except for historical information, some of the discussion and our responses in Q&A may contain forward-looking statements, which are dependent upon certain risks and uncertainties. In particular, our expectations around the impact of the Covid-19 pandemic on our business, the Q4 holiday season and results of operations are subject to change. Should any of these risks materialize, or should our assumptions prove to be incorrect, actual financial results could differ materially from our projections or those implied by these forward-looking statements. I encourage you to refer to the risk factors referenced in our press release and included in our most recent SEC filings. In addition to reporting our GAAP financial results, we present supplemental non-GAAP financial data. A reconciliation of the GAAP to non-GAAP measures can be found in our earnings press release. We believe that providing non-GAAP measures combined with our GAAP results provides a more meaningful representation of the Company's operational performance.

I will now turn the call over to Founder and CEO Jeff Green.

2 | P a g e

Third Quarter 2020 Earnings Call Prepared Remarks, November 5, 2020

Jeff Green, Founder and CEO

Hello everyone and thank you for joining us.

We are excited to announce the results of our third quarter. Despite the headwinds of a global pandemic, we had healthy growth in the third quarter, up 32% year-over-year, far surpassing our own expectations.

2020 is a year where agility matters more than ever. In this environment, marketers have come to more fully appreciate the power of data-driven advertising. And as that happens, we are becoming indispensable. We have developed closer relationships with the biggest brands and agencies in the world, and we are winning more business with both new and existing customers.

In addition, we continue to see rapid growth in key channels, such as Connected TV, which grew more than 100% year-over-year. This was a very encouraging quarter, not only in terms of our revenue and market share growth, but also what it signals about our growth opportunity moving forward.

While our growth is very encouraging, we are still operating at a time of great uncertainty for many industries. But even in the midst of that uncertainty, we are clear that our role is to help our customers drive economic recovery. Advertising is an engine of economic growth. And our customers know that their campaigns can fuel growth and drive market share gains for their brand. And because of that, during times of uncertainty, they become much more deliberate.

That's not to say this is a straight-line recovery for our customers. It's not. Often our customers are still being hurt by the global pandemic and the economic consequences of most people staying home. But while we are a long way from being completely out of the woods, I do believe that in 2020 so far, we have gained more marketshare, or said another way, grabbed more land, than at any point in our company's history. We've accomplished this because advertisers have been more deliberate, and we are a part of the solution that helps them manage uncertainty and

3 | P a g e

Third Quarter 2020 Earnings Call Prepared Remarks, November 5, 2020

chart a path to growth. Our rate of grabbing and in Q3 might be the biggest bullish indicator we have produced as a publicly traded company. Market share gains in 2020 is a testament to the strength of our value proposition and of our customer relationships.

That's what makes me more proud of our performance in the third quarter than any other quarter in The Trade Desk's history. Our team navigated uncertainty and helped the most sophisticated advertisers fuel their recovery with new approaches to channels such as CTV. I'll come back to CTV in a few minutes.

Before I do that, I want to give color about the third quarter, because I think it will give insight as to why I'm so bullish on our future.

Since April, we have been focused on understanding where we are on the economic recovery curve. Some industries, such as CPG, pharma and healthcare, were on the leading edge of that curve, as we would expect. In fact, some companies in those industries never fully shut down their digital advertising campaigns. Others are a little farther back. Restaurants and retailers, for example. They needed to advertise that they were open and message what their new normal looked like in terms of pick-up and delivery services. However, their businesses have not yet completely returned to "normal". And then further down the curve, of course, you have other industries like auto, airlines and hospitality, that remain in various early stages of recovery.

My bullishness isn't because I think the macro environment is back to normal. We all know it's not true. Our positivity about our company's future is driven by the share gains that are happening during this time of uncertainty, and the numbers show it. We've spoken in the past about our 95% plus retention rate. We're seeing no deviation from that. In fact, I would assert that customers are relying on us more and more. I see that not only in our growth numbers and the trends underneath those numbers, but also in the conversations I'm having with advertisers every day.

4 | P a g e

This is an excerpt of the original content. To continue reading it, access the original document here.


Trade Desk Inc. published this content on 05 November 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 09 November 2020 17:27:00 UTC

© Publicnow 2021
Copier lien
All news about THE TRADE DESK, INC.
13h ago
3d ago
3d ago
7d ago