Open the filing on EDGARThe Trade Desk Reports Third Quarter 2026 Financial Results
The Trade Desk also announced a $731 million increase to its share repurchase authorization, bringing the total amount available for future repurchases to $1 billion of its Class A common stock.
LOS ANGELES--(BUSINESS WIRE)--November 9, 2026--The Trade Desk, Inc. (“The Trade Desk,” the “Company” or “we”) (NASDAQ: TTD), a provider of a global technology platform for buyers of advertising, today announced financial results for its third quarter ended September 30, 2026.
“Q3 represented meaningful progress, with results well ahead of our expectations entering the quarter, but we are still operating below the level of growth we expect from ourselves,” said Jeff Green, Co-Founder and CEO of The Trade Desk. “We are moving with greater urgency across the company, strengthening how we engage with our largest customers, improving the platform through innovations such as Zuma, Audience Unlimited, agentic AI, and advancing a new approach to measurement designed to help marketers better understand what is actually driving business growth. We have more work to do, but I believe the actions we are taking are improving the underlying trajectory of the business and positioning The Trade Desk for stronger, more durable growth over the long term.”
Third Quarter 2026 Financial Highlights:
The following table summarizes the Company’s unaudited consolidated financial results for the three and nine months ended September 30, 2026 and 2025 ($ in millions, except per share amounts):
| Three Months EndedSeptember 30, | Nine Months EndedSeptember 30, |
|---|
| 2026 | 2025 | 2026 | 2025 |
|---|
| GAAP Results | | | | |
| Revenue | $736 | | $739 | | $2,140 | | $2,049 | |
| Increase (decrease) in revenue year over year | (0.5)% | | 18% | | 4% | | 20% | |
| Net income | $38 | | $116 | | $142 | | $256 | |
| Net income margin | 5% | | 16% | | 7% | | 13% | |
| GAAP diluted earnings per share | $0.08 | | $0.23 | | $0.30 | | $0.52 | |
| Non-GAAP Results | | | | |
| Adjusted EBITDA | $266 | | $317 | | $713 | | $796 | |
| Adjusted EBITDA margin | 36% | | 43% | | 33% | | 39% | |
| Non-GAAP net income | $155 | | $221 | | $447 | | $589 | |
| Non-GAAP diluted earnings per share | $0.33 | | $0.45 | | $0.95 | | $1.18 | |
Third Quarter and Recent Business Highlights:
- Strong Customer Retention: Customer retention remained over 95% during the third quarter, as it has for over a decade.
- New Innovation and Partnership Announcements:
- The Trade Desk introduced Kokai Zuma, the latest release of Kokai, bringing new agentic AI capabilities and a more intuitive user experience designed to help advertisers move faster and drive better campaign outcomes.
- The Trade Desk expanded its healthcare measurement and optimization integrations with Veeva Crossix and IQVIA Digital, bringing more granular healthcare insights closer to media decisioning and enabling pharmaceutical advertisers to apply campaign learnings in real-time.
- Kijiji made its first-party consumer intent data available for programmatic activation through The Trade Desk for the first time, giving advertisers access to Canadian marketplace signals across categories including automotive, real estate and home goods.
- OptimizeRx is bringing authenticated healthcare professional (HCP) reach to The Trade Desk through OpenPath.
- LoopMe announced a brand lift measurement integration with The Trade Desk.
- Olyzon launched an agentic orchestration platform, with agents live across DSPs including The Trade Desk.
- Connected TV (CTV): The Trade Desk offers advertisers access to premium inventory across major networks and streaming services around the world.
- Netflix expanded its integration with The Trade Desk, enabling advertisers beginning in November to use both first-party and third-party data to target audiences on Netflix through Kokai, with in-platform measurement capabilities expected to follow. This is in addition to Netflix joining The Trade Desk’s Sellers and Publishers 500+, enabling advertiser access to Netflix’s premier streaming environment automatically within Kokai.
- The Trade Desk expanded its CTV offering in Italy with access to Pause Ads on HBO Max and Discovery+, giving advertisers a new programmatic format for reaching viewers within premium environments.
- Gracenote (a Nielsen company) announced its first DSP integration with The Trade Desk, with show-level CTV targeting and reporting.
- Share Repurchases: The Company had approximately $269 million available and authorized for repurchases as of September 30, 2026. The Company also announced that its board of directors approved an additional $731 million under its share repurchase program, bringing the total amount available for future repurchases of the Company’s outstanding Class A common stock to $1 billion.
- Industry Recognition:
- Recognized on Newsweek’s America's Greatest Companies 2026 list for strong business performance, innovation, workforce investment, and stakeholder trust.
- Recognized on Business Insider’s America's Most Innovative Businesses 2027 list for excellence in innovation, technological impact, and investment in research and development.
- Taylor Ash was named to AdExchanger’s Top Women in Media & Ad Tech 2026 list and Cynopsis’ Top Women in Media Awards 2026 list.
- Kristi Argyilan was named an AdExchanger Top Women in Media & Ad Tech Industry Impact Award recipient.
Financial Guidance:
Fourth Quarter 2026 outlook summary:
- Revenue at least $755 million
- Adjusted EBITDA at least $280 million
The Company has not provided an outlook for GAAP net income or reconciliation of Adjusted EBITDA guidance to net income, the closest corresponding U.S. GAAP measure, because net income outlook is not available without unreasonable efforts on a forward-looking basis due to the variability and complexity with respect to the charges included in the calculation of this GAAP measure; in particular, the measures and effects of our stock-based compensation expense that are directly impacted by unpredictable fluctuations in our share price. The Company expects the variability of the above charges could have a significant and potentially unpredictable impact on our future U.S. GAAP financial results.
Use of Non-GAAP Financial Information
Included within this press release are the non-GAAP financial measures of Adjusted EBITDA, Adjusted EBITDA margin, Non-GAAP net income and Non-GAAP diluted earnings per share (“EPS”) that supplement the Condensed Consolidated
Statements of Operations of the Company prepared under generally accepted accounting principles (“GAAP”). Adjusted EBITDA is net income before depreciation and amortization expense; stock-based compensation expense; restructuring charges; interest income, net; and provision for income taxes. Adjusted EBITDA margin is Adjusted EBITDA divided by revenue, and Adjusted EBITDA margin’s closest corresponding U.S. GAAP measure is net income margin, which is GAAP net income divided by revenue. Non-GAAP net income excludes charges and the related income tax effects for stock-based compensation and restructuring. Tax rates on the tax-deductible portions of stock-based compensation expense and of restructuring charges approximating 25% to 30% have been used in the computation of non-GAAP net income and non-GAAP diluted EPS. The Company excluded restructuring charges resulting from its 2026 Restructuring Plan from Adjusted EBITDA and Non-GAAP net income because the Company believes such charges are infrequent and non-recurring in nature, are distinct from ongoing operational costs and are not reflective of our ongoing performance or the underlying trends in our business. There was no comparable restructuring plan in the corresponding prior periods presented.
Reconciliations of GAAP to non-GAAP amounts for the periods presented herein are provided in schedules accompanying this release and should be considered together with the Condensed Consolidated Statements of Operations. These non-GAAP measures are not meant as a substitute for GAAP, but are included solely for informational and comparative purposes. The Company’s management believes that this information can assist investors in evaluating the Company’s profitability, operational trends and financial performance. Management believes these non-GAAP measures allow investors to evaluate the Company’s financial performance using some of the same measures as management and securities analysts. However, the non-GAAP financial measures should not be considered in isolation of, as a replacement for, or as superior to corresponding, similarly captioned, GAAP measures and may be different from non-GAAP financial measures used by other companies.
Third Quarter 2026 Financial Results Webcast and Conference Call Details
- When: November 9, 2026 at 2:00 P.M. Pacific Time (5:00 P.M. Eastern Time).
- Webcast: A live webcast of the call can be accessed from the Investor Relations section of The Trade Desk’s website at http://investors.thetradedesk.com. Following the call, a replay will be available on the Company’s website.
- Dial-in: To access the call via telephone in North America, please dial 888-506-0062. For callers outside the United States, please dial +1-973-528-0011. Participants should reference the conference call ID code “317771” after dialing in.
- Audio replay: An audio replay of the call will be available beginning about two hours after the call. To listen to the replay in the United States, please dial 877-481-4010 (replay code: 54726). Outside the United States, please dial +1-919-882-2331 (replay code: 54726). The audio replay will be available via telephone until November 16, 2026.
The Trade Desk, Inc. uses its Investor Relations website (http://investors.thetradedesk.com), its X feed (@TheTradeDesk), LinkedIn page (https://www.linkedin.com/company/the-trade-desk), Facebook page (https://www.facebook.com/TheTradeDesk) and Jeff Green’s LinkedIn profile (https://www.linkedin.com/in/jefftgreen) as a means of disclosing information about the Company and for complying with its disclosure obligations under Regulation FD. The information that is posted through these channels may be deemed material. Accordingly, investors should monitor these channels in addition to The Trade Desk’s press releases, SEC filings, public conference calls and webcasts.
About The Trade Desk
The Trade Desk™ is a technology company that empowers buyers of advertising. Through its self-service, cloud-based platform, ad buyers can create, manage, and optimize digital advertising campaigns across ad formats and devices. Integrations with major data, inventory, and publisher partners ensure maximum reach and decisioning capabilities, and enterprise APIs enable custom development on top of the platform. Headquartered in Ventura, CA, The Trade Desk has offices across North America, Europe and Asia Pacific. To learn more, visit thetradedesk.com or follow us on Facebook, X, LinkedIn and YouTube.
Forward-Looking Statements
Forward-looking statements notice
This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements relate to expectations concerning matters that (a) are not historical facts, (b) predict or forecast future events or results, or (c) embody assumptions that may prove to have been inaccurate, including statements relating to industry and market trends, the Company’s growth and financial targets, such as revenue and Adjusted EBITDA and the amount, timing and sources of funding for the Company’s share repurchase program. When words such as “believe,” “expect,” “anticipate,” “will,” “outlook” or similar expressions are used, the Company is making forward-looking statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it cannot give readers any assurance that such expectations will prove correct. These forward-looking statements involve risks, uncertainties and assumptions, including those related to the Company’s ability to maintain and grow its client base and revenue through its platform and related offerings, which makes it difficult to evaluate the Company’s business and prospects, the market for programmatic advertising developing slower or differently than the Company’s expectations, the demands and expectations of clients and the ability to attract and retain clients. The actual results may differ materially from those anticipated in the forward-looking statements as a result of numerous factors, many of which are beyond the control of the Company. These are disclosed in the Company’s reports filed from time to time with the Securities and Exchange Commission, including its most recent Form 10-K and any subsequent filings on Forms 10-Q or 8-K, available at www.sec.gov. Readers are urged not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company does not intend to update any forward-looking statement contained in this press release to reflect events or circumstances arising after the date hereof.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Amounts in thousands, except per share amounts)
(Unaudited)
| Three Months Ended September 30, | Nine Months Ended September 30, |
|---|
| 2026 | 2025 | 2026 | 2025 |
|---|
| Revenue | $735,965 | | $739,433 | | $2,139,879 | | $2,049,493 | |
| Operating expenses : | | | | |
| Platform operations | 200,163 | | 162,154 | | 566,466 | | 455,973 | |
| Sales and marketing | 170,807 | | 156,830 | | 517,390 | | 470,704 | |
| Technology and development | 147,266 | | 127,893 | | 430,728 | | 394,546 | |
| General and administrative | 125,123 | | 131,337 | | 364,465 | | 395,822 | |
| Total operating expenses | 643,359 | | 578,214 | | 1,879,049 | | 1,717,045 | |
| Income from operations | 92,606 | | 161,219 | | 260,830 | | 332,448 | |
| Other expense (income): | | | | |
| Total other income, net | (13,844) | | (18,300) | | (37,669) | | (56,041) | |
| Income before income taxes | 106,450 | | 179,519 | | 298,499 | | 388,489 | |
| Provision for income taxes | 68,400 | | 63,972 | | 156,058 | | 132,135 | |
| Net income | $38,050 | | $115,547 | | $142,441 | | $256,354 | |
| Earnings per share: | | | | |
| Basic | $0.08 | | $0.24 | | $0.30 | | $0.52 | |
| Diluted | $0.08 | | $0.23 | | $0.30 | | $0.52 | |
| Weighted-average shares outstanding: | | | | |
| Basic | 468,996 | | 487,729 | | 470,652 | | 491,069 | |
| Diluted | 470,197 | | 492,984 | | 472,318 | | 497,198 | |
Includes stock-based compensation expense as follows:
STOCK-BASED COMPENSATION EXPENSE
(Amounts in thousands)
(Unaudited)
| Three Months Ended September 30, | Nine Months Ended September 30, |
|---|
| 2026 | 2025 | 2026 | 2025 |
|---|
| Platform operations | $7,449 | | $7,953 | | $24,663 | | $26,253 | |
| Sales and marketing | 23,199 | | 28,133 | | 80,862 | | 87,437 | |
| Technology and development | 36,794 | | 40,197 | | 120,715 | | 123,978 | |
| General and administrative | 27,651 | | 45,033 | | 87,455 | | 140,786 | |
| Total | $95,093 | | $121,316 | | $313,695 | | $378,454 | |
Includes stock-based compensation expense relating to long-term CEO performance grants of $2 million and $14 million for the three months ended September 30, 2026 and September 30, 2025, respectively, as well as $8 million and $57 million for the nine months ended September 30, 2026 and 2025, respectively.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Amounts in thousands)
(Unaudited)
| As of September 30, 2026 | As of December 31, 2025 |
|---|
| ASSETS | | |
| Current assets: | | |
| Cash and cash equivalents | $1,229,288 | $658,175 |
| Short-term investments, net | 420,380 | 644,882 |
| Accounts receivable, net | 3,075,736 | 3,770,194 |
| Prepaid expenses and other current assets | 123,456 | 187,753 |
| Total current assets | 4,848,860 | 5,261,004 |
| Property and equipment, net | 451,227 | 396,819 |
| Operating lease assets | 473,927 | 342,042 |
| Deferred income taxes | 59,758 | 55,700 |
| Other assets, non-current | 113,866 | 97,655 |
| Total assets | $5,947,638 | $6,153,220 |
| LIABILITIES AND STOCKHOLDERS’ EQUITY | | |
| Current liabilities: | | |
| Accounts payable | $2,425,837 | $3,007,651 |
| Accrued expenses and other current liabilities | 194,398 | 181,991 |
| Operating lease liabilities | 87,410 | 76,355 |
| Total current liabilities | 2,707,645 | 3,265,997 |
| Operating lease liabilities, non-current | 493,880 | 359,975 |
| Other liabilities, non-current | 43,616 | 42,857 |
| Total liabilities | 3,245,141 | 3,668,829 |
| Stockholders’ equity: | | |
| Preferred stock | - | - |
| Common stock | - | - |
| Additional paid-in capital | 3,383,737 | 3,075,303 |
| Accumulated deficit | (681,240) | (590,912) |
| Total stockholders’ equity | 2,702,497 | 2,484,391 |
| Total liabilities and stockholders’ equity | $5,947,638 | $6,153,220 |
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Amounts in thousands)
(Unaudited)
| Nine Months Ended September 30, |
|---|
| 2026 | 2025 |
|---|
| OPERATING ACTIVITIES: | | |
| Net income | $142,441 | | $256,354 | |
| Adjustments to reconcile net income to net cash provided by operating activities: | | |
| Depreciation and amortization expense | 94,511 | | 83,824 | |
| Stock-based compensation expense | 313,695 | | 378,454 | |
| Deferred income taxes | (4,058) | | 118,163 | |
| Noncash lease expense | 60,416 | | 51,234 | |
| Provision for expected credit losses on accounts receivable | 6,225 | | 1,498 | |
| Gain on sale of property and equipment | (17,687) | | - | |
| Other | 5,075 | | (13,841) | |
| Changes in operating assets and liabilities: | | |
| Accounts receivable | 674,792 | | (149,053) | |
| Prepaid expenses and other current and non-current assets | 57,095 | | (91,574) | |
| Accounts payable | (501,015) | | 120,381 | |
| Accrued expenses and other current and non-current liabilities | 26,550 | | (26,798) | |
| Operating lease liabilities | (54,372) | | (47,510) | |
| Net cash provided by operating activities | 803,668 | | 681,132 | |
| INVESTING ACTIVITIES: | | |
| Purchases of investments | (416,404) | | (826,210) | |
| Sales of investments | 112,060 | | - | |
| Maturities of investments | 529,756 | | 597,413 | |
| Purchases of property and equipment | (226,745) | | (170,688) | |
| Proceeds from sale of property and equipment | 33,513 | | - | |
| Capitalized software development costs | (11,567) | | (9,093) | |
| Business acquisition | - | | (4,350) | |
| Net cash provided by (used in) investing activities | 20,613 | | (412,928) | |
| FINANCING ACTIVITIES: | | |
| Repurchases of Class A common stock | (241,331) | | (957,540) | |
| Proceeds from exercise of stock options | 5,897 | | 20,287 | |
| Proceeds from employee stock purchase plan | 11,929 | | 32,446 | |
| Taxes paid relating to net settlement of restricted stock | (29,663) | | (79,726) | |
| Net cash used in financing activities | (253,168) | | (984,533) | |
| Increase (decrease) in cash and cash equivalents | 571,113 | | (716,329) | |
| Cash and cash equivalents - Beginning of period | 658,175 | | 1,369,463 | |
| Cash and cash equivalents - End of period | $1,229,288 | | $653,134 | |
Non-GAAP Financial Metrics
(Amounts in thousands, except per share amounts)
The following tables show the Company’s non-GAAP financial metrics reconciled to the comparable GAAP financial metrics included in this release.
| Three Months EndedSeptember 30, | Nine Months EndedSeptember 30, |
|---|
| 2026 | 2025 | 2026 | 2025 |
|---|
| Net income | $38,050 | | $115,547 | | $142,441 | | $256,354 | |
| Add back (deduct): | | | | |
| Depreciation and amortization expense | 32,940 | | 33,135 | | 94,511 | | 83,824 | |
| Stock-based compensation expense | 95,093 | | 121,316 | | 313,695 | | 378,454 | |
| Restructuring charges | 44,258 | | - | | 44,258 | | - | |
| Interest income, net | (12,904) | | (16,490) | | (37,781) | | (54,657) | |
| Provision for income taxes | 68,400 | | 63,972 | | 156,058 | | 132,135 | |
| Adjusted EBITDA | $265,837 | | $317,480 | | $713,182 | | $796,110 | |
| Three Months EndedSeptember 30, | Nine Months EndedSeptember 30, |
| | 2026 | | 2025 | | 2026 | | 2025 |
| GAAP net income | $38,050 | | $115,547 | | $142,441 | | $256,354 | |
| Add back (deduct): | | | | |
| Stock-based compensation expense | 95,093 | | 121,316 | | 313,695 | | 378,454 | |
| Restructuring charges | 44,258 | | - | | 44,258 | | - | |
| Adjustment for income taxes | (22,064) | | (16,141) | | (53,282) | | (46,019) | |
| Non-GAAP net income | $155,337 | | $220,722 | | $447,112 | | $588,789 | |
| GAAP diluted earnings per share | $0.08 | | $0.23 | | $0.30 | | $0.52 | |
| GAAP weighted-average shares outstanding - diluted | 470,197 | | 492,984 | | 472,318 | | 497,198 | |
| Non-GAAP diluted earnings per share | $0.33 | | $0.45 | | $0.95 | | $1.18 | |
| Non-GAAP weighted-average shares used in computing Non-GAAP earnings per share, diluted | 470,197 | | 492,984 | | 472,318 | | 497,198 | |
We have excluded restructuring charges, which primarily include severance and other termination benefit costs for affected employees, associated with our 2026 Restructuring Plan from Adjusted EBITDA and Non-GAAP net income because such charges are infrequent and non-recurring in nature, are distinct from ongoing operational costs and are not reflective of our ongoing performance or the underlying trends in our business. There was no comparable restructuring plan in the three and nine months ended September 30, 2025.
Contacts
IR@thetradedesk.com
PR@thetradedesk.com