Viant Technology (DSP) Q1 2025 Earnings Call May 06, 2025 05:00 PM ET Speaker0 Hello, everyone, and welcome to Viant Technologies first quarter twenty twenty five earnings conference call. My name is Emmanuel, and I will be your operator today. Before I hand the call over to the Viant leadership team, I'd like to go over a few housekeeping notes for the program. As a reminder, this call is being recorded. After the speakers' remarks, there will be a question and answer session. If you plan to ask a question ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2025 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number: 001-40015 ______________________________________________________________________________________________________________________________________________________ Viant Technolog ...

Exhibit 99.1 Viant Technology Announces First Quarter 2025 Financial Results Revenue growth of 32% and gross profit growth of 30% year-over-year Contribution ex-TAC growth of 25% and adjusted EBITDA growth of 76% year-over-year CTV eclipsed 45% of total advertiser spend (1) Increased share repurchase authorization by $50 million, underscoring continued commitment to shareholder returns IRVINE, Calif., May 6, 2025 – Viant Technology Inc. (Nasdaq: DSP), a leader in AI-powered programmatic advertising, today r ...

Q1 2025 EARNINGS PRESENTATION May 6, 2025 1 SAFE HARBOR This presentation contains "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements include, without limitation, any statement that may predict, forecast, indicate or imply future results, performance or achievements, and may contain words such as "guidance," "believe," "expect," "estimate," "project," "plan," "will," or words or phrases with s ...

Viant Technology Inc. (NASDAQ: DSP ) 's scalable, fixed-cost-heavy structure positioned it to convert modest revenue growth into outsized profitability. Viant returned to profitability in 2024, and its strong balance sheet adds to its financial flexibility. While peer comparisons showBSc (Eng), MBA. Self-taught value investor with 2 decades of investing experience. Blogger at i4value.asia. The blog is on value investing through case studies where I analyze and value listed companies in the ASEAN and US regi ...

Financial Data and Key Metrics Changes - In Q4 2024, revenue reached $90.1 million, a 40% increase year-over-year, exceeding guidance by 6% [63] - Contribution ex-TAC for Q4 totaled $54.4 million, up 28% year-over-year, also above guidance [64] - For the full year 2024, revenue totaled $289.2 million, a 30% increase over 2023, with adjusted EBITDA rising to $44.4 million, up 53% year-over-year [60][62] Business Line Data and Key Metrics Changes - CTV ad spend increased over 40% in 2024, accounting for over 40% of total ad spend on the platform [14][68] - The number of customers generating significant levels of contribution ex-TAC increased by 42% year-over-year [65] - Direct access CTV ad spend increased nearly 70% in 2024, representing over 50% of total CTV ad spend on the platform [47] Market Data and Key Metrics Changes - CTV accounted for over 40% of ad spend on the platform, with a significant shift from linear TV to CTV expected [14][40] - The total addressable market for CTV is projected to grow from $30 billion to $90 billion as live sports transition to CTV [44] - The demand for addressability and measurable insights, especially in cookieless channels, is expected to continue growing [18] Company Strategy and Development Direction - The company is focused on enhancing its CTV targeting and measurement capabilities through acquisitions like Iris TV and Locker [52][79] - Viant AI is being rolled out in phases, with expectations to drive significant improvements in ad campaign planning and execution [26][33] - The strategy emphasizes addressing the needs of publishers and advertisers in the open Internet, particularly against the backdrop of competition from walled gardens [92] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in continued growth driven by CTV proliferation, leadership in addressability, and AI innovation [12][38] - The company anticipates that contribution ex-TAC will continue to outpace the broader US programmatic market, projected to grow approximately 13-14% [78] - Management highlighted the importance of strategic acquisitions in enhancing capabilities and driving long-term growth [79] Other Important Information - The company ended Q4 2024 with over $205 million in cash and cash equivalents, no debt, and a $75 million undrawn credit facility [73][74] - The acquisition of Locker is expected to accelerate the adoption of household ID and Iris ID, enhancing addressability solutions [25][106] Q&A Session Summary Question: Can you explain the logic behind the Locker acquisition? - Management explained that Locker reduces friction in integrating first-party data for publishers, allowing them to unlock multiple alternative IDs with a single integration [87][92] Question: How much revenue did Iris contribute in Q4? - Management indicated that Iris contributed about 1% of total revenue in the quarter [100] Question: What is the strategic fit of the Locker acquisition? - Management stated that Locker is primarily aimed at accelerating the adoption of household ID and Iris ID while serving as a utility for the open Internet [105][106] Question: How has the market been performing post-election? - Management noted that while there are mixed results across the industry, they experienced strong performance and do not see significant weakness in their results [116] Question: What are the expectations for scaling Viant AI in 2025? - Management highlighted that Viant AI is expected to increase wallet share and attract new customers due to its efficiency in planning and executing ad campaigns [130]

Viant Technology Inc. (NASDAQ:DSP) Q4 2024 Results Conference Call March 3, 2025 5:00 PM ET Company Participants Nick Zangler - Vice President of Investor Relations Tim Vanderhook - Co-Founder and Chief Executive Officer Chris Vanderhook - Co-Founder and Chief Operating Officer Larry Madden - Chief Financial Officer Conference Call Participants Laura Martin - Needham & Company Maria Ripps - Concord Nat Schindler - Scotiabank Jason Kreyer - Craig-Hallum Matt Condon - JMP Securities Operator Hello, everyone, ...

Core Insights - Viant Technology reported quarterly earnings of $0.15 per share, missing the Zacks Consensus Estimate of $0.23 per share, representing an earnings surprise of -34.78% [1] - The company posted revenues of $54.36 million for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 3.94%, compared to year-ago revenues of $42.6 million [2] - Viant shares have increased approximately 5.3% since the beginning of the year, outperforming the S&P 500's gain of 1.2% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.03 on revenues of $41 million, and for the current fiscal year, it is $0.68 on revenues of $206.4 million [7] - The estimate revisions trend for Viant is currently favorable, leading to a Zacks Rank 2 (Buy) for the stock, indicating expected outperformance in the near future [6] Industry Context - The Technology Services industry, to which Viant belongs, is currently ranked in the top 31% of over 250 Zacks industries, suggesting a positive outlook for stocks within this sector [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

Advertising Market Growth - U.S. programmatic advertising is expected to grow at a 14% CAGR from 2023 to 2026, reaching $202.1 billion by 2026, representing 44% of total U.S. media spend[33]. - The U.S. CTV advertising market is forecasted to grow from $33 billion in 2025 to $42 billion in 2027, a 12% CAGR[46]. - The total global advertising market is projected to grow from $1.0 trillion in 2025 to $1.2 trillion in 2028, an 8% CAGR[37]. Product and Technology Innovations - The ViantAI product suite launched in 2024 aims to create a fully autonomous advertising experience, optimizing campaign management and execution[40]. - The Viant Data Platform integrates first-party data with third-party data, providing actionable insights and reporting opportunities[45]. - The Household ID™ (HHID) technology enables accurate reach and frequency management across channels, including cookieless environments[43]. - The self-service platform allows customers to manage ad campaigns efficiently, contributing to strong operating leverage as customer usage increases[51]. - Advanced reporting capabilities provide real-time insights, including conversion lift and multi-touch attribution analytics, enhancing campaign effectiveness[48]. - The advertising market is shifting from linear TV to CTV, with a focus on identity-based capabilities for better targeting and privacy compliance[51]. - The platform provides exclusive access to Household ID (HHID), enabling effective advertising in cookieless environments across CTV and mobile applications[54]. - The company integrates with over 70 data providers, allowing extensive audience data mapping based on purchase behaviors, location, and TV viewership insights[58]. - The platform features advanced reporting capabilities, linking advertising spend to both online and offline sales, enhancing measurement accuracy[57]. - The ViantAI suite includes AI Planning and AI Bidding, optimizing campaign performance and costs, with future enhancements planned for AI Measurement and Analysis[59]. Financial and Operational Strategy - The company plans to invest in acquisitions to expand product offerings and capitalize on market opportunities[51]. - The company expects technology and development expenses to increase as it invests in platform enhancements and additional advertising integrations[59]. - The sales strategy focuses on direct sales and consultative approaches, with a formal certification program to educate clients on platform capabilities[65]. - The platform offers flexible pricing options, including a percentage of spend and fixed cost per mille (CPM) options, catering to diverse customer needs[66]. Workforce and Culture - The company emphasizes a culture of inclusion and employee development, conducting annual surveys to gather feedback and drive new initiatives[76]. - As of December 31, 2024, the company had approximately 376 employees across 10 offices in North America, reflecting a diverse workforce[75]. - The company had approximately 376 employees across 10 offices in the United States by the end of 2024[86]. Competitive Landscape - The competitive landscape includes major players like The Trade Desk and Google, with the company differentiating itself through advanced reporting and identity resolution capabilities[73]. - The company has transformed from a full-service digital advertising provider to a leading Demand-Side Platform (DSP) since acquiring Adelphic in 2017[86]. Sustainability Initiatives - The company achieved carbon neutrality for known and measurable emissions by the end of 2023 through strategic collaborations and purchasing carbon offsets[81]. - The company offers a customer carbon reduction program called Adtricity to help partners reduce their GHG emissions based on their media spend[82]. - The company has joined Ad Net Zero and the IAB Tech Lab - Sustainability Working Group to promote sustainability initiatives in the advertising industry[82]. - The company has a commitment to finalize emissions metrics for 2024 and expects to purchase sufficient environmental attributes to address its emissions once calculated[81]. Regulatory and Financial Position - The company is classified as an Emerging Growth Company (EGC) and may take advantage of exemptions from various reporting requirements until it ceases to be an EGC[88]. - The company has no outstanding balances on its revolving credit facility as of December 31, 2024, indicating no market risk from interest rate changes[437]. - The company has not used any derivative financial instruments to manage interest rate risk exposure[437]. - As of December 31, 2024, the company held 57 issued patents, 21 pending patent applications, and 300 issued trademarks, with patents expiring between 2025 and 2041[84].

Financial Performance - Fourth quarter 2024 revenue reached $90.054 million, a 40% increase year-over-year, while full year revenue was $289.235 million, up 30% from 2023[3] - Contribution ex-TAC for Q4 2024 was $54.359 million, reflecting a 28% growth year-over-year, and for the full year, it was $177.390 million, a 24% increase[3] - Adjusted EBITDA for Q4 2024 was $17.091 million, a 31% increase year-over-year, and for the full year, it was $44.441 million, up 53% from 2023[3] - Net income for Q4 2024 was $7.720 million, a 133% increase year-over-year, while the full year net income was $12.452 million, compared to a net loss of $9.943 million in 2023[3] - Revenue for Q4 2024 reached $90.054 million, a 39.6% increase from $64.406 million in Q4 2023[19] - Net income attributable to Viant Technology Inc. was $1.747 million in Q4 2024, compared to $626,000 in Q4 2023, marking a significant improvement[19] - Non-GAAP net income for the three months ended December 31, 2024, was $13,831,000, compared to $10,845,000 in 2023, indicating a year-over-year increase of 28%[40] - The company reported a net income (loss) of $12,452,000 for the year ended December 31, 2024, compared to a loss of $(9,943,000) in 2023[38] - For the year ended December 31, 2024, the net income is $12,452,000 compared to a net loss of $9,943,000 for the year ended December 31, 2023[42] - Non-GAAP net income for 2024 is $34,661,000, while for 2023 it was $21,743,000, representing a significant increase[42] Operational Metrics - Cash flow from operations increased by 37% to $51.8 million for FY 2024[10] - Total operating expenses for Q4 2024 were $84.151 million, up from $63.524 million in Q4 2023, reflecting a 32.5% increase[19] - Total operating expenses for the year ended December 31, 2024, were $285,757,000, compared to $241,230,000 in 2023, reflecting an increase of 18%[36] - The company reported a net cash provided by operating activities of $51.767 million for the year ended December 31, 2024, compared to $37.752 million in 2023[23] Shareholder Actions - The company repurchased 2.0 million shares of Class A common stock for a total of $25.7 million, with $24.3 million remaining for future repurchases[10] - Basic earnings per share for 2024 is $0.15, up from a loss of $0.23 in 2023, indicating a positive turnaround[42] - Diluted earnings per share for 2024 is $0.14, compared to a loss of $0.23 in 2023, reflecting improved financial performance[42] - Earnings per share (diluted) increased to $0.10 in Q4 2024 from $0.14 in Q4 2023, a decrease of 29%[44] Assets and Liabilities - Cash and cash equivalents decreased to $205.048 million as of December 31, 2024, from $216.458 million at the end of 2023[21] - Accounts receivable increased to $146.951 million in 2024, compared to $117.473 million in 2023, indicating a 25.1% rise[21] - Total assets increased to $440.804 million in 2024, up from $404.911 million in 2023, representing an increase of 8.8%[21] Acquisitions and Partnerships - Viant completed the acquisition of Lockr in February 2025, enhancing its data collaboration capabilities[10] - The company achieved a 95% match rate for Household ID technology by expanding its partnership with TransUnion[10] Stock-Based Compensation - Stock-based compensation for the year ended December 31, 2024, was $21.034 million, down from $32.291 million in 2023, indicating a reduction of 34.8%[23] - The company reported stock-based compensation adjustments of $5,728 million for Q4 2024, compared to $7,556 million in Q4 2023, indicating a 24% reduction[44] Transaction Expenses - The company incurred transaction expenses of $1,742,000 related to recent acquisitions for the year ended December 31, 2024[37] - The company incurred transaction expenses of $1,358 million related to recent acquisitions in Q4 2024[44] Taxation - The estimated income tax effect for 2024 is calculated using a blended tax rate of 25%, compared to 21% for 2023[43] - The estimated income tax effect of the company's share of income (loss) was calculated using a blended tax rate of 25% for Q4 2024, compared to 21% for Q4 2023[45] Other Charges - Restructuring and other charges for 2024 were $467,000, slightly up from $465,000 in 2023[42] - Non-operational media purchases for 2024 totaled $1,271,000, with no such costs reported for 2023[42]