MGNI
Q1 came in hotter than the guidance map
Magnite didn’t just roll out a standard earnings card — it showed up with a little extra swagger. For the quarter ended March 31, revenue climbed to $164.4 million, contribution ex-TAC grew 10% year over year to $160.9 million, and adjusted EBITDA rose 16% to $42.9 million.
The star of the show? Connected TV. CTV contribution ex-TAC jumped 30% and now makes up more than half of total contribution ex-TAC, which is a tidy reminder that streaming ads are still the shiny object in ad tech. Meanwhile, DV+ was down 5%, but it still beat the high end of guidance, so this wasn’t a one-trick pony.
The part investors will actually care about
Magnite also did the thing markets love most: it raised the forward-looking stuff.
- Q2 contribution ex-TAC is expected at $177 million to $181 million
- Full-year contribution ex-TAC growth is still pegged at at least 11%
- Adjusted EBITDA margin guidance is now at least 35.5%, up from above 35%
- Free cash flow growth is expected to be in the mid-30% range
That’s basically management saying, “Yes, the growth story is intact, and yes, the cash is starting to look better too.” In ad tech, that’s a pretty compelling combo.
Why this matters
This is the kind of report that can keep a stock from getting side-eyed by investors. Growth is still healthy, CTV is doing the heavy lifting, and the company is getting more confident about margins and free cash flow. Big picture: if you’ve been waiting for ad-tech names to prove they can grow without turning into cash bonfires, Magnite just made a decent argument.