The Trade Desk (NASDAQ: TTD) reported adjusted earnings of $1.49 per share on revenue of $215.9 million for the fourth quarter of 2019, which surpassed the market’s views. Analysts had estimated the company to post earnings of $1.17 per share on revenue of $213.4 million. Shares of TTD, which ended down 6.33% today, gained about 6% during the after-hours.
On a GAAP basis, the Ventura, California-based company generated earnings of $1.06 per share compared to $0.84 in the prior-year quarter. Revenue grew 35% year-over-year, aided by the strong gross spend of more than $1 billion in the recently ended quarter. Video spend grew 54% while Connected TV spend grew about 100% from the prior-year quarter.
Outlook
For fiscal 2020, Trade Desk expects gross spend on its platform to accelerate year-over-year to at least $4.24 billion and revenue to be at least $863 million. For the first quarter of 2020, revenue is pegged to be $169 million.
CEO Jeff Green stated, “In the coming year, we will continue to make aggressive investments in high-growth areas such as Connected TV, data, and global expansion.”
Recent Executive Changes
The Trade Desk appointed Sandeep Swadia as its first Chief Data and Trust Officer during the beginning of the fourth quarter. In November 2019, Paul Ross who served as CFO of Trade Desk retired and the company named Blake Grayson as CFO. Grayson recently served as Amazon’s (AMZN) VP of Finance, International Consumer business.
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After reaching a new 52-week high ($323.78) a week ago, TTD stock lost its momentum and had slumped about 18% in the last five trading days.