TTD
Revenue came in a little hot
The Trade Desk closed out Q4 with $847 million in revenue, up 14% year over year. Strip out political advertising and growth looks even better at 19%, which is the kind of detail that tells you the core business still has some gas in the tank.
Earnings were fine — the real flex was cash
Adjusted diluted EPS came in at 59 cents, exactly in line with Wall Street’s expectations. But the more interesting part of the report was the cash machine behavior: operating cash flow hit $312 million and free cash flow reached $282 million. Translation: this business isn’t just growing, it’s actually making money in a way that can fund future bets without needing a lifeline.
Costs are still creeping, but not enough to ruin the vibe
Operating expenses rose to $590 million, up 8% from a year ago, or 15% excluding stock-based compensation. That’s not exactly a “we’ve entered monk mode” spending profile, but with adjusted EBITDA at $400 million and a nearly 47% margin, the math still looks pretty healthy.
Buybacks: the company’s version of saying “we like the stock”
Trade Desk ended the quarter with about $1.3 billion in cash, cash equivalents and short-term investments, and zero debt. It also repurchased $423 million of shares in Q4 and lifted its authorization to $500 million. Big picture: when a growth company is throwing off cash, holding no debt, and still buying back shares, that usually means management thinks the business can keep compounding without drama.