The Trade Desk Q3 revenue slips 0.5% to $736 million as shares surge 15%

The adtech company beat its own expectations despite flat topline growth, prompting a sharp stock rally as it expanded agentic AI, Netflix targeting and premium CTV capabilities

by e4m Staff
Published: Nov 10, 2026 8:58 AM | 2 min read

The Trade Desk reported third-quarter revenue of $736 million, a slight decline of 0.5% year-on-year, but exceeding company expectations, leading to a 15.5% increase in stock price to $14.93.
Net income decreased to $38 million from $116 million, and adjusted EBITDA fell to $266 million, with a narrowed margin of 36% compared to 43% in the previous year.
CEO Jeff Green highlighted "meaningful progress" despite ongoing challenges in achieving desired growth levels, while customer retention remained above 95%.
The company raised its share repurchase authorization to $1 billion and introduced new AI capabilities and features, with expectations of at least $755 million in revenue for Q4.

The Trade Desk reported third-quarter revenue of $736 million, down 0.5% year-on-year, but the result came in ahead of the company’s expectations and helped send its shares sharply higher after the earnings release.

The stock closed 15.5% higher at $14.93 on November 9, after trading as high as $15.29 during the regular session, according to company market data.

Net income fell to $38 million from $116 million, while adjusted EBITDA declined to $266 million from $317 million. Adjusted EBITDA margin narrowed to 36% from 43%.

CEO Jeff Green said Q3 represented “meaningful progress” and came in well ahead of expectations entering the quarter, while acknowledging that the company was still operating below the level of growth it expects from itself.

Customer retention remained above 95%, continuing a streak of more than a decade. The company also raised its share repurchase authorisation by $731 million, taking the total available for future buybacks to $1 billion.

The Trade Desk is leaning heavily on product innovation to improve growth. During the quarter, it introduced Kokai Zuma, adding agentic AI capabilities and a redesigned interface aimed at faster campaign execution and optimisation. Netflix also expanded its integration with The Trade Desk, allowing advertisers from November to use first-party and third-party data for audience targeting through Kokai, with in-platform measurement expected to follow.

In India, the company continues to build around connected TV and programmatic advertising. Research published with WPP Media in August estimated 207 million CTV viewers in India, including 77.7 million new viewers over the previous year and 110% growth in rural CTV audiences. The Trade Desk currently has offices in Bengaluru, Gurgaon and Mumbai.

For Q4, The Trade Desk expects revenue of at least $755 million and adjusted EBITDA of at least $280 million.

For advertisers and agencies, the quarter shows a company still struggling to restore its former growth rate but retaining strong customer loyalty and continuing to invest in agentic AI, first-party data activation and CTV. The post-earnings stock surge suggests investors were encouraged less by the headline revenue decline than by the better-than-feared result, the buyback expansion and management’s confidence that the underlying trajectory is improving.