TTD Beats Revenue Estimates, Raises Q2 Guidance as Audience Unlimited Gains Traction

Transcript intelligence

What changed

Revenue grew 12% YoY to $689M, beating the $679M consensus by 1.5%, though growth decelerated from 18% in FY2025. EPS of $0.08 missed the $0.087 estimate by 8.4%. Guidance was raised: Q2 revenue of at least $750M and full-year adjusted EBITDA margin target raised to 40% or higher, up from prior 'in line with 2025' language. Audience Unlimited launched with measurable results: 30% lower CPMs, 38% lower data costs, 75% more efficient CPA, 2.7x conversion rate versus control. Record JBP signings in March: 45 new agreements, 55% YoY growth, including a pharma win over Amazon with 114% spend increase. Chief Strategy Officer Samantha Jacob departed for OpenAI while remaining on the board of directors. Stock reaction was negative: -2.6% abnormal move with -15.8% subsequent drift on 2.4x baseline volume.

Guidance delta

Guidance sentiment improved from 'maintained' in the prior quarter to 'raised' in Q1 2026. The prior quarter set Q1 2026 revenue guidance of at least $678M and adjusted EBITDA of $195M; actual results exceeded both at $689M revenue and $206M EBITDA. Management now guides Q2 revenue to at least $750M and has set a full-year adjusted EBITDA margin target of 40% or higher, up from the prior 'in line with 2025' framing.

Key takeaways

• Q1 revenue of $689M grew 12% YoY and beat consensus by 1.5%, with adjusted EBITDA of $206M at a 30% margin.
• Guidance raised: Q2 revenue of at least $750M and full-year adjusted EBITDA margin target of 40% or higher.
• Audience Unlimited delivered measurable efficiency gains: 30% lower CPMs, 38% lower data costs, 75% more efficient CPA, and 2.7x conversion rate versus control.
• Record JBP signings in March (45 agreements, +55% YoY) including a pharma win over Amazon with 114% spend increase.
• Growth led by CTV, audio, retail media, and international markets across EMEA and APAC.
• Despite raised guidance, the stock fell 2.6% on the report and has drifted 15.8% lower since, suggesting the market is weighing revenue deceleration and competitive risks against the improved outlook.

Management priorities

• Scale AI and agentic capabilities, including deeper collaboration with Stagwell.
• Launch and expand Audience Unlimited across more advertisers.
• Integrate sponsored listings with retailers such as Criteo and Dollar General.
• Develop and promote the Ventura CTV operating system.
• Continue disciplined reinvestment while maintaining strong cash generation and share repurchases.