The Trade Desk (NASDAQ:TTD) posted strong Q1 results, beating both revenue and EPS expectations. Revenue grew 25% year-over-year, driven by robust ad spend, with 88% still coming from North America but faster growth being seen internationally. Customer retention remained above the 95% threshold, and around two-thirds of the client base is now using the AI-powered Kokai platform, which has shown positive results that should lead to unlocking client performance budgets.
However, the earnings call lacked detail on the current operational health of the business, instead leaning heavily into the ongoing pitch for the Open Internet. It had an Investor Day feel rather than earnings call. CEO Jeff Green spent a significant portion of the call decrying the “walled gardens” of Alphabet, Meta, and Amazon, predicting their inevitable decline and forced acceptance of the Open Internet. While visionary, this approach risks alienating investors who may be looking for more concrete financial and operational updates rather than philosophical battles.
For more details, key highlights, and commentary, check out the high-level earnings summary.
