The Trade Desk Inc (NASDAQ:TTD) is trading lower Wednesday morning despite announcing better-than-expected fourth-quarter financial results.
The Trade Desk reported quarterly revenue of $395.6 million, which beat the estimate of $389.19 million. The company reported quarterly adjusted earnings of 42 cents per share, which beat the 28 cent estimate.
"We exceeded our objectives for 2021 and I could not be more excited about the momentum we’re carrying into the first quarter and the year ahead," said Jeff Green, founder and CEO of The Trade Desk.
"We remain committed to creating a better internet that is open, competitive and fair for all participants. Major advertisers and partners around the world are embracing this vision as the global advertising market races toward a $1 trillion TAM. And as a result, more and more of them are gravitating to our platform," Green added.
The Trade Desk expects first-quarter revenue to be at least $303 million versus the estimate of $287.2 million. The company guided for adjusted EBITDA of approximately $91 million in the first quarter.
The company noted that its stock-based compensation expenses are directly impacted by unpredictable fluctuations in The Trade Desk's share price. The company said it expects that the variability of its stock-based compensation plan could have a significant and potentially unpredictable impact on the company's future U.S. GAAP financial results.
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TTD Price Action: The Trade Desk has traded as low as $55.05 and as high as $114.09 over a 52-week period.
The stock was down 8.27% at $73.86 at time of publication.
