DoubleVerify Shines Despite Industry Challenges: Q4 Earnings Call Highlights
DoubleVerify, a leading digital media measurement and analytics company, delivered impressive results for 2024, despite navigating significant industry challenges. In its recent Fourth Quarter and Full Year earnings call, the company highlighted key achievements that solidify its position as a trusted partner for the world's biggest brands.
The company reported total revenue growth of 15% year-over-year to $657 million, powered by double-digit growth across all three revenue lines. DoubleVerify measured a record $8.3 trillion billable media transactions, a 19% increase year-over-year, demonstrating its unmatched scale across every digital media environment, format, and device.
Mark Zagorski, CEO of DoubleVerify, emphasized the company's meaningful progress in the face of significant business and market challenges. '2024 was a year of growth and momentum for DV,' he said. 'We won an unprecedented number of large global enterprise customers, further cementing our position as the trusted partner for the world's biggest brands.'
One of the key highlights from the quarter was the company's ability to execute effectively while making strategic investments necessary to leverage its unique data assets and client engagements. This resulted in a 33% adjusted EBITDA margin and $160 million in net cash from operating activities, up 33% from last year.
Despite these successes, DoubleVerify navigated isolated headwinds throughout the year, including a scale-back of ad spend from six large customers and a significant reduction in spend with DV by one of its largest customers due to sharply escalating commodity costs. Although this customer has maintained limited engagement with DV while temporarily shifting to standard native tools within each tech platform, DoubleVerify has completely excluded them from their 2025 guidance to provide a realistic outlook for the year ahead.
These factors, combined with the absence of a post-election rebound in ad spend and the continued shift of ad dollars from open web programmatic to proprietary platforms like social, resulted in a disappointing Q4 that fell short of expectations. However, DoubleVerify has taken decisive action to address these market shifts and will continue to do so.
The company's investment in prebid solutions across Meta and TikTok will position it for future social growth as dollars shift into proprietary platforms. Additionally, the recent launch of sell-side curation and decisioning solutions on major SSPs will drive higher attach rates of DV data to PMP and PG deals, aligning with the evolution of the programmatic ecosystem.
