DoubleVerify Reports First Quarter 2025 Financial Results
DoubleVerify (“DV”) (NYSE: DV), the leading software platform for digital media measurement, data, and analytics, today announced financial results for the first quarter ended March 31, 2025. “...
Increased Revenue by 17% Year-over-Year to $165.1 Million
Increased First Quarter Activation Revenue by 20% and Supply-Side Revenue by 35% Year-over-Year
Achieved Net Income of $2.4 Million and Adjusted EBITDA of $44.7 Million, representing a 27% Adjusted EBITDA margin
NEW YORK: DoubleVerify (“DV”) (NYSE: DV), the leading software platform for digital media measurement, data, and analytics, today announced financial results for the first quarter ended March 31, 2025.
“DoubleVerify is off to a strong start in 2025, with first-quarter revenue and adjusted EBITDA meaningfully ahead of expectations,” said Mark Zagorski, CEO of DoubleVerify. “Our growth this quarter was fueled by broader adoption across our verification and activation solutions, faster scaling from new enterprise customers, strong momentum with Scibids AI, and encouraging early success in social activation. On the Supply Side, we’re seeing the benefits of the strategic platform partnerships we won last year, along with expanding opportunities in retail media. As we advance our long-term vision of building an AI-fueled unified intelligence platform for advertisers, we are confident that sustained product adoption, deeper engagement, and operational discipline will continue to drive durable growth over the long term.”
First Quarter 2025 Financial Highlights:
(All comparisons are to the first quarter of 2024)
- Total revenue of $165.1 million, an increase of 17%.
- Activation revenue of $95.2 million, an increase of 20%.
- Measurement revenue of $53.4 million, an increase of 8%.
- Social measurement revenue increased by 1%.
- International measurement revenue decreased by 8%.
- Media Transactions Measured (“MTM”) for CTV increased by 43%.
- Supply-side revenue of $16.5 million, an increase of 35%.
- Net income of $2.4 million and adjusted EBITDA of $44.7 million, which represented a 27% adjusted EBITDA margin.
First Quarter and Recent Business Highlights:
- Grew Total Advertiser revenue by 16% year-over-year in the first quarter.
- MTM increased by 22% year-over-year, and Measured Transaction Fee (MTF) declined 6% year-over-year, excluding the impact of an introductory fixed fee deal for one large customer.
- MTM increased by 22% year-over-year, and Measured Transaction Fee (MTF) declined 6% year-over-year, excluding the impact of an introductory fixed fee deal for one large customer.
- Continued to achieve a Gross Revenue Retention rate of over 95% in the first quarter.
- Drove global market share growth through product upsells, international expansion, and new enterprise logo wins. Notable first-quarter new business wins include:
- New enterprise customer wins: Natura/Avon, Valvoline, INEOS Grenadier
- Expansions: Nike
/b>
- Launched pre-screen brand safety and suitability solution for Google’s Search Partner Network (SPN). This launch gives advertisers additional control when extending their campaign reach on SPN inventory.
- Expanded viewability and invalid traffic (IVT) measurement for display ads to Instagram Reels, building on existing support for Facebook. Advertisers now gain unified transparency and performance insights across all Reels ad formats.
- Released TikTok’s Video Exclusion List Solution into general availability, empowering advertisers to proactively avoid unsuitable content before their ads are served, strengthening DV’s pre-bid protection across social platforms.
- Expanded brand safety and suitability measurement on TikTok to cover Post-Roll ad placements and Smart+ campaigns, extending DV’s protection across emerging formats and AI-driven campaign types.
- Launched 3D in-experience viewability and invalid traffic (IVT) measurement on Roblox. The solution now supports immersive ad formats across image and video on mobile web and in-app environments.
Share Repurchase Program:
- Repurchased 6.8 million shares for $128.0 million in 2024 and 1.1 million shares for $22.2 million in Jan 2025, fully utilizing the original $150.0 million authorization under the Repurchase Program.
- Repurchased 5.2 million shares for $82.2 million in Q1 2025 under both programs, including 4.0 million shares for $60.0 million under the New Repurchase Program.
- $140.0 million remained available under the $200.0 million New Repurchase Program as of Mar 31, 2025.
Strategic Investment and Innovation Day:
- Acquired Rockerbox, Inc. (“Rockerbox”) on March 13, 2025, for $82.6 million, net of cash acquired. Rockerbox is a leader in performance attribution, optimization, and marketing measurement, empowering advertisers to optimize advertising campaigns and maximize their return on investment.
- Announced an in-person Innovation Day for the investment community on Wednesday, June 11, from 1:00 p.m. to 4:00 p.m. at the New York Stock Exchange in New York City. The event will also be webcast live, with an archived replay available the following day.
“We exceeded expectations in Q1, delivering 17% revenue growth and 27% adjusted EBITDA margins,” said Nicola Allais, CFO of DoubleVerify. “Our performance was driven by broader adoption of DV’s core verification solutions, rapid scaling by new enterprise customers, and strong growth in our supply-side business. Our strong cash flow generation and debt-free balance sheet enabled us to repurchase shares and invest in growth opportunities like Rockerbox. We are maintaining cost discipline, prioritizing investments that drive long-term value while protecting margins. With solid Q1 execution and multiple long-term growth drivers in place, DV is well positioned to deliver sustained, diversified growth well beyond 2025.”
Second Quarter and Full-Year 2025 Guidance:
DoubleVerify anticipates Revenue and Adjusted EBITDA to be in the following ranges:
Second Quarter 2025:
- Revenue in the range of $169 and $173 million, a year-over-year increase of 10% at the midpoint.
- Adjusted EBITDA in the range of $48 and $52 million, representing a 29% margin at the midpoint.
Full Year 2025:
- Revenue growth of approximately 10%.
- Adjusted EBITDA margin of approximately 32%.
With respect to the Company’s expectations under "Second Quarter and Full Year 2025 Guidance" above, the Company has not reconciled the non-GAAP measure Adjusted EBITDA to the GAAP measure net income in this press release because the Company does not provide guidance for depreciation and amortization expense, acquisition-related costs, interest income, and income taxes on a consistent basis as the Company is unable to quantify these amounts without unreasonable efforts, which would be required to include a reconciliation of Adjusted EBITDA to GAAP net income. In addition, the Company believes such a reconciliation would imply a degree of precision that could be confusing or misleading to investors.
Conference Call, Webcast, and Other Information
DoubleVerify will host a conference call and live webcast to discuss its first quarter 2025 financial results at 4:30 p.m. Eastern Time today, May 08, 2025. To access the conference call, dial (877) 841-2987 for the U.S. or Canada, or (215) 268-9878 for international callers. The webcast will be available live on the Investors section of the Company’s website at https://ir.doubleverify.com/. An archived webcast will be available approximately two hours after the conclusion of the live event.
In addition, DoubleVerify plans to post certain additional historical quarterly financial information on the investor relations portion of its website for easy access to investors.
Key Business Terms
Activation revenue is generated from the evaluation, verification and measurement of advertising impressions purchased through programmatic demand-side and social media platforms.
Measurement revenue is generated from the verification and measurement of advertising impressions that are directly purchased on digital media properties, including publishers and social media platforms.
Supply-Side revenue is generated from platforms and publisher partners who use DoubleVerify’s data analytics to evaluate, verify and measure their advertising inventory.
Gross Revenue Retention Rate is the total prior period revenue earned from advertiser customers, less the portion of prior period revenue attributable to lost advertiser customers, divided by the total prior period revenue from advertiser customers.
Net Revenue Retention Rate is the total current period revenue earned from advertiser customers, which were also customers during the entire most recent twelve-month period, divided by the total prior year period revenue earned from the same advertiser customers, excluding a portion of our revenues that cannot be allocated to specific advertiser customers.
Media Transactions Measured (MTM) is the volume of media transactions that DoubleVerify’s software platform measures.
Measured Transaction Fee (MTF) is the fixed fee DoubleVerify charges per thousand Media Transactions Measured.
International Revenue Growth Rates are inclusive of foreign currency fluctuations.
DoubleVerify Holdings, Inc. | ||||||||
|
|
|
|
|
|
| ||
|
| As of |
| As of | ||||
(in thousands, except per share data) |
| March 31, 2025 |
| December 31, 2024 | ||||
Assets: |
|
|
|
|
|
| ||
Current assets |
|
|
|
|
|
| ||
Cash and cash equivalents |
| $ | 156,360 |
|
| $ | 292,820 |
|
Short-term investments |
|
| 17,934 |
|
|
| 17,805 |
|
Trade receivables, net of allowances for doubtful accounts of $8,578 and $9,003 as of March 31, 2025 and December 31, 2024, respectively |
|
| 213,358 |
|
|
| 226,225 |
|
Prepaid expenses and other current assets |
|
| 34,140 |
|
|
| 22,201 |
|
Total current assets |
|
| 421,792 |
|
|
| 559,051 |
|
Property, plant and equipment, net |
|
| 85,994 |
|
|
| 70,195 |
|
Operating lease right-of-use assets, net |
|
| 68,062 |
|
|
| 67,721 |
|
Goodwill |
|
| 504,762 |
|
|
| 427,621 |
|
Intangible assets, net |
|
| 121,865 |
|
|
| 110,356 |
|
Deferred tax assets |
|
| 35,363 |
|
|
| 35,488 |
|
Other non-current assets |
|
| 11,157 |
|
|
| 5,778 |
|
Total assets |
| $ | 1,248,995 |
|
| $ | 1,276,210 |
|
Liabilities and Stockholders' Equity: |
|
|
|
|
|
| ||
Current liabilities |
|
|
|
|
|
| ||
Trade payables |
| $ | 12,620 |
|
| $ | 11,598 |
|
Accrued expenses |
|
| 42,297 |
|
|
| 54,532 |
|
Operating lease liabilities, current |
|
| 11,934 |
|
|
| 11,048 |
|
Income tax liabilities |
|
| 23,800 |
|
|
| 15,592 |
|
Current portion of finance lease obligations |
|
| 7,206 |
|
|
| 2,512 |
|
Other current liabilities |
|
| 15,656 |
|
|
| 8,200 |
|
Total current liabilities |
|
| 113,513 |
|
|
| 103,482 |
|
Operating lease liabilities, non-current |
|
| 76,805 |
|
|
| 77,297 |
|
Finance lease obligations |
|
| 9,399 |
|
|
| 812 |
|
Deferred tax liabilities |
|
| 8,351 |
|
|
| 8,509 |
|
Other non-current liabilities |
|
| 8,494 |
|
|
| 2,651 |
|
Total liabilities |
|
| 216,562 |
|
|
| 192,751 |
|
Commitments and contingencies (Note 15) |
|
|
|
|
|
| ||
Stockholders’ equity |
|
|
|
|
|
| ||
Common stock, $0.001 par value, 1,000,000 shares authorized, 174,773 shares issued and 162,478 outstanding as of March 31, 2025; 1,000,000 shares authorized, 174,003 shares issued and 167,069 outstanding as of December 31, 2024 |
|
| 175 |
|
|
| 174 |
|
Additional paid-in capital |
|
| 998,666 |
|
|
| 974,383 |
|
Treasury stock, at cost, 12,295 shares and 6,934 shares as of March 31, 2025 and December 31, 2024, respectively |
|
| (216,784 | ) |
|
| (131,620 | ) |
Retained earnings |
|
| 257,575 |
|
|
| 255,214 |
|
Accumulated other comprehensive loss, net of income taxes |
|
| (7,199 | ) |
|
| (14,692 | ) |
Total stockholders’ equity |
|
| 1,032,433 |
|
|
| 1,083,459 |
|
Total liabilities and stockholders' equity |
| $ | 1,248,995 |
|
| $ | 1,276,210 |
|
DoubleVerify Holdings, Inc. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (UNAUDITED) | ||||||||
|
|
|
|
|
|
| ||
|
| Three Months Ended March 31, | ||||||
(in thousands, except per share data) |
| 2025 |
|
| 2024 |
| ||
Revenue |
| $ | 165,061 |
|
| $ | 140,782 |
|
Cost of revenue (exclusive of depreciation and amortization shown separately below) |
|
| 30,966 |
|
|
| 26,618 |
|
Product development |
|
| 44,717 |
|
|
| 36,394 |
|
Sales, marketing and customer support |
|
| 43,701 |
|
|
| 37,872 |
|
General and administrative |
|
| 26,527 |
|
|
| 22,075 |
|
Depreciation and amortization |
|
| 12,387 |
|
|
| 10,928 |
|
Income from operations |
|
| 6,763 |
|
|
| 6,895 |
|
Interest expense |
|
| 420 |
Related news
Last NewsRSA at Cybertech Europe 2024Alaa Abdul Nabi, Vice President, Sales International at RSA presents the innovations the vendor brings to Cybertech as part of a passwordless vision for… Italian Security Awards 2024: G11 Media honours the best of Italian cybersecurityG11 Media's SecurityOpenLab magazine rewards excellence in cybersecurity: the best vendors based on user votes How Austria is making its AI ecosystem growAlways keeping an European perspective, Austria has developed a thriving AI ecosystem that now can attract talents and companies from other countries Sparkle and Telsy test Quantum Key Distribution in practiceSuccessfully completing a Proof of Concept implementation in Athens, the two Italian companies prove that QKD can be easily implemented also in pre-existing… Most readAlibaba Group Announces March Quarter 2025 and Fiscal Year 2025 Results$BABA #alibaba--Alibaba Group Holding Limited (NYSE: BABA and HKEX: 9988 (HKD Counter) and 89988 (RMB Counter), “Alibaba”, “Alibaba Group” or the “company”)… Workhuman Ignites Industry Momentum as the Undisputed Leader in Employee…#employeerecognition--In a bold validation of its innovative approach to culture-building through employee recognition, Workhuman®, the world’s leading… Fiserv to Present at Upcoming Investor ConferencesFiserv, Inc. (NYSE: FI), a leading global provider of payments and financial services technology solutions, announced its participation in the following… Australia Social Commerce Intelligence Databook 2025: An $8.58 Billion…The "Australia Social Commerce Market Intelligence and Future Growth Dynamics Databook - 50+ KPIs on Social Commerce Trends by End-Use Sectors, Operational… G11 Media Networks
InnovationOpenLab is a channel of BitCity, a newspaper registered at the court of Como , 
| ||||