DoubleVerify (DV) 28 Feb 242023 Q4 Earnings call transcript

Greetings, and welcome to the DoubleVerify Fourth Quarter and Full Year 2023 Financial Results Conference Call. [Operator Instructions]. And as a reminder, this conference is being recorded. It is now my pleasure to introduce to you Tejal Engman, with Investor Relations. Thank you, Tejal, you may begin.

to Call. Quarter welcome XXXX Full and Conference Earnings afternoon, DoubleVerify's and Fourth Year Good today Mark us With are CFO. Nicola Allais, Zagorski, CEO; and that our our current and contain and information risks, Today's call to expectations could and are us, differ available statements and uncertainties reflect release inherent results subject and press changes currently to actual this forward-looking may materially.

including Form information, factors in SEC filings, risk XX-K. refer our our or the our to please report For more annual recent

Also, include the as references earnings be which in comparable and press results. during it deck our will slide certain for In is supplemental in call release, measures Investor Mark. to addition, today the GAAP our GAAP today, financial to should turn on that, referring I'll available addition on With non-GAAP discussion we'll our at over most our website. are to Reconciliations to a to today's available considered the measures be and posted not ir.doubleverify.com. Relations website substitute

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Our momentum is impression our XXXX steadily business Attention with XXX% in segments are growth gaining Measurement over delivering growing Attention and Prebid early volumes. now

today. XXXX Nicola Before me shares takeaways financial details on strong let three with conclude outlook, and I our and my results key for remarks up XXXX wrap

the market First, is across DV continues Open retail gaining social, and to CTV, Web. media share and advertising digital significantly outgrow industry every media environment, the digital

billion analysis analyzes vast day, efficient video and most social win product to that web our both X to the and powered scale of innovation, over amounts by proprietary Every content. create of connectivity allows market-defining global approximately unmatched which hours and DV XX audio continue minutes XXX will million data. our through because are we of our of the DV million million close AI posts, Second, of customer X.X value page

growth X and intractable. that becoming the new pipeline and our realizing that me fundamental that, have create remain an years current over hand more over powered stronger long-term last growing share let on of to With focused remain even the base Nicola. drive we call drivers our our trajectory. expansionary The will strong and customer deals and further and Finally, our with market solid engaged

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in and and on pricing a grew of total by fourth Our year-over-year quarter driven in are MTM X% volume our or Activation combined quarter, revenue XX% which advertisers businesses, Measurement were a MTF, the growth fourth basis. in XX% revenue. Advertiser by XX% growth driven or

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XX%. year was revenue Activation Measurement of driven growth of XX% revenue full revenue and For by of growth XXXX, growth XX%

social XXXX, revenue, approximately XX% platforms ex continues long prior on growth was to revenue XXXX year. search X% in budget revenue. social our measurement driven spend runway to in Supply ad our digital comprised side continue from revenue increased to and up in Measurement XX% XX% for the With represent growth. expected by have grew revenue publisher Social a of of of XX%

For year trillion in primarily a X X% thousand billable advertiser in growth increase the to measured MTM, by full increased XXXX, year-over-year growth. We MTS. while fee driven transactions, revenue $X.XXX XX% year-over-year a increase volume was and per impressions average

remain primary channel volumes ad to and innovation more growth our expansion, remain the expect to stable. expect MTF we we as digital verify We of impressions product through to and geographic continue and driver

lead is Prescreen and Our approach Scibids. to of on pricing ABS, solutions, now and our unique including Social offering differentiated with product

continue new Our existing the products to increase clients the MTF increase ability has upsell years, a suite to in X% of to and last overall including acquire clients in yielded XXXX. full over an QX X

as eliminated Cost excludes data operating of efficiency quarter QX delivered revenue by by increase which comparability, up by duplicative growth scale. reflecting expenses. some revenue of revenue grew partners other the the activation to revenue XX% arrangement increased Moving costs programmatic in costs. primarily driven fourth as quarter, we less sales compared in stock-based of growth. model compensation the sharing driven in XX%, from revenue cost XX% fourth We Total XX% to an in XX% non-GAAP our we expenses, and operating for center items with

quarter. adjusted and $XX Finally, of net $XX in the fourth million EBITDA of margin we million income delivered XX% or

in XX% an of revenue by revenue. We delivered of For programmatic with increased partners XX%, full driven arrangement sales. costs year less by XXXX, cost revenue in primarily activation driven growth sharing increase cost revenue by

we and XX% less to expect costs XX%. Going grew expenses year revenue support investments customer as to EBITDA prior G&A adjusted revenue count operating business revenue to XXX and of end cost in with grew and cloud infrastructure. year. adjusted full product we continue representing scaling data $XXX growth of We EBITDA total where Non-GAAP Total and We sales savings million, high XX% our the development in XX% full product between high optimization X,XXX resources. XX% we balance center in compared growth attributable head marketing profitability. to half margin our non-GAAP invest as XXXX. was XX% $XX.X of XX% forward, up delivered and combine year million with our a employees, from at range compared engineering grew represented cost income Sales, R&D, of XXXX continued our as XXXX. with to of in XX% ended net to and continue to to of continues Nearly

$XXX XX%. million in of activities cash achieved approximately average on net generated the XXXX. a adjusted fifth gross revenue last million expenditures flow. We $X.X ratio X in In cash from net operating to $XXX XXX% we XXX million And maintaining of grew year-over-year operating cash were of over represented retention the above to approximately also finally, ended XXXX, XXXX, long-term rate Moving year to and flow of by debt. for XX% XX%, from we EBITDA cash years in the hand an We our Capital the retention $XX X a XXX%, which an NRR while year row. for million. revenue our remained top customers revenue with

revenue We We also million $X $XXX,XXX year-over-year year-over-year number million. than grew the $XX to number million of advertisers advertisers to XX% generating of by $XXX ]. generating than XX% more revenue of [ grew of by more the

long-term relationships have remain embedded plans. their our customers in with We marketing deeply and

Our XX DV customers top X years. us worked and years, top XX XX for while for have been our top with X over our clients over have

support long-term plus rate expansionary deals growth we win have an XX% that to trajectory. strong have mentioned, a and across will new opportunities pipeline all continue Mark maintained and As of our

Now let's and XXXX talk guidance. about

quarter of expect midpoint $XX XX% the of EBITDA to the million, at EBITDA the For $XXX increase to range a adjusted we margin midpoint. year-over-year range million, in XX% representing million the at $XX XXXX, revenue and a adjusted first of $XXX of the million in

signed customers, will recently customer spend second by patterns. new and Our and growth slow based the ramp half slow new which reflects in on up large in advertisers rate catch usage first the quarter a a start brand seasonal by

a adjusted midpoint. margin year-over-year $XXX to guiding $XXX in to million range the EBITDA the XXXX full the $XXX XX% of million million, revenue midpoint at XX% representing adjusted of to EBITDA and a of are in We range year $XXX million increase at the

share second our in second customer of ramp new we revenue We full in the half poorly than weighted fast-growing year contracted to the more in be expect XXXX of half prior years expect as already a year. to revenue

new continue of revenue We a XXXX and [ full year in customers implies Solutions, our environment. million increased increase growth, and full Authentic geographies across year to testament Adoption year, more adoption XXXX, The demand to to growth existing between increased Activation, guidance DV's international media Scibids million be our in expect drivers million last expect the $XX Solutions social the new an for to revenue. Measurement $XXX contribute of by $XX to revenue in revenue to Similar AI to XXXX customer ] key we of Brand Scibids-AI midpoint accelerating Suitability usage and and DV measurement approximately acquisition.

guidance CTV revenue customer incremental revenue Activation Authentic adoption and measured increased Our and in including from Meta, new contribution opportunities from Measurement. XXXX, of Attention reflects

We the expect million $XX first expenses to compensation XXXX million. for stock-based quarter $XX in range of of the

open up the to continue are ahead. questions. balance, invest a expansion in shares With for capitalized expected innovation million please compensation in X line we to range new For we for anticipate of will go and to further in first range and $XX million. XXXX. to with that, the Weighted strong positioned well for outstanding of in growth future XXXX We Operator, fully product $XX million including business expenditures, cash $XXX diluted stock-based $XX is range long-term between capital $XX the to growth. million $XXX expected expense as the we the to support million software average drive And year, million. full are debt, quarter

And Instructions] of with first from Capital Matt Swanson the line comes [Operator the RBC question Markets.

big just topic kind were Yes. on pricing mind CTV of overall areas kind business of hear Measurement, these up But year-over-year growth and your standpoint? you those coming the maybe maybe of [indiscernible] right that from balance rate, a up, of for coming Do up headwinds being areas, Is particularly from of Great. a XX% up. to It of some more now? about competitive some to great social touching kind was a investment coming for perspective. international

that Yes. patience. news Thanks Matt. everyone, of got And but for questions, call you share. lot the had to we was thank know long your for question, your you before a to a I

the take head me of question Let on. second your part

We We we tools Nicola driven saw ones. and are last on unique year recognition pricing social stronger we new close full announced MTFs We're we increase there. that's period. when most mentioned, actually last ABS our like technology, some seeing not out year great them QX which based year. deals, pressure by on And not price. closed closing expansion efficient the them continued based video of AI

not seeing pricing we're So pressure.

not aggressive an to year. clear, were or winning business with share price going And new are We MTFs be after that addressing deals last at structure. are, we're market taking new and increased

some maybe went second it retail you retail thinking your Yes. the like we we we in had kind counting that social and Scibids. look between core-core on thinking not through helpful. of you or you're opportunities kind "not our to I'll I the guess you're chickens balancing impact And media, and, color on of tailwinds certainly Nicola, the international, many the when are How that kind us But No, about before of lost as through revisit guidance, can out just guidance? to kind they things thinking us moving secular these that's give media, about really the about year, of this as question, ramp of of hatch" a piece so is think how of the first. But

Yes.

view from growth that's growth in on strong quarter continued very core-on-core growth for we of even we it because again look the core today, and on always of their of we've last X/X for as and quarter, was right? said more year the So the ABS, more ABS core-on-core. us our a is it customers And said in existing ABS a is impression. using part not of which where was

existing growth ABS. from customer on social. a core-on-core It continued growth So on assumes assumes continued

as Just as example. And beyond rate that for very an TikTok a new that probably for growth English really above us that's in reminder, within we a languages included English. only and open up 'XX, large the language as growth we saw opportunity

that think sort the talking to those two is measured we how guiding But we're in going going that core-on-core of we've to What's the not about of sticking The international. on last for addition is the we're ones So -- in growth very to in 'XX, to numbers being 'XX the see number, continue the message. exactly and we that opportunity, our which That We Meta that continue that's saw is the one major of measured, view the what we XXXX expect core what for see to core. drivers impact over in are quarters. been measured fundamental you're to large. and us to. the few upside a have it's is to

that, to Authentic if upside is Attention acceleration we adoption, would and is and CTV to where be an have on in that that an guidance there for a upside also addition In opportunity similarly. quorum view

And Justin the next comes KeyBanc question Patterson of with line the from Capital Markets.

can. I if Two,

this more First, just the understand you slower unpacking bit a questioning. I year, immune a believe about the little pressures thought U.S. we there. to start the more just Could the us bit line guidance. of little brand typically, slowly you A year. being the of in called of out from a prior little more advertisers more help starting to some bit little macro

little Both after. from up just and I'll a there then So the pause bit there? and Measurement side, seeing you're Activation would and to hear follow love more

Yes.

we're said, the large going with to contracted And what out, very is rolled the see are until we it's ramp. wins. product these we actually of being in enterprise slow our So, seeing to difficult the, understand And how client to ramp wins. is how get a what it's new

deployed is X item advertisers. expect their is X. expect once outlook. based slow a feels isolated brand across client. for combination a in specific a know will enterprise QX with relationship to really at ramp spending of a slow all. doesn't the be into future pattern. large we solutions starts to those we So entire advertisers. like is It's quarters. It slow we existing Item will their what's what The to It a our that start actually certain macro The we that as our This reflected It ramp get spend. global item X is on start ramp is are that feel

of We benefit the it. will see

added rather So discussing than It the remains say, on as It's Meta just was that based than really core-on-core. coming is spend anticipated. overweighting happening before. originally ramp later I on opportunity,

it. helpful. next healthy to That's And the very wanted tech back and to the then just for gross the Got question, margins. platform I go

You're there. approaching pretty brand for you're I you're how that video safety unique saying, short-form towards know

some invest do efficiencies form up think next few As over Providing we about going around just think forward? DV the just on short growth tech the years, room more the scaling about of how opportunities the to platform? you next for

XX talking great last over Justin. kind versus invested Yes, we've is in starts thanks. the And We've off. It's Even R&D. to in been to of XX really peers much on marketplace. a pay this take, months how where the it

on very growth as of nice all do come we we're so we're massive if that you've in standards analyze from going a scale is across Right social social we platforms analyze are guiding something and that's at tool don't a video. now, break way if you to to video. look could where predictive of that social gross do levels to almost big grow -- use this social focused can set and to and short-form like towards Building we had though a total our XX%, video highly it video. in over do social, And on right. growth, is XX% That that the something modeling video you ton AI that If about you volume. that's have really of accurate, we're talking Even seen, to meets that we chunk the means to the margins. going

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The line ] [ from of next comes Raimo Barclays. question with the Lenschow

Raimo. metrics quantify what the on for Any evaluating of the Frank you're point key in progression guide what Meta is to from way us that are This embedding And that for you opportunity? on opportunity? some to the the

context total over growth things. mentioned a of so a we of regarding in that the few So far XX% far this so of a rate year growth That's year-to-date.

at which the across and launched Facebook was where inventory. this overall looking January, now close our opportunity, Reels some think kind Feed of year launched First roughly, right? $XXX Meta Facebook year, our revenue. you the and say, you're We've to News year, sat off, about we revenue if with million, to million. scale late Growing or X% last take Instagram last added additional you of let's where in last so if us So you X% $XX of XX%-ish of it if year, want

different we're -- all you're potential another million growing revenue of XX%-ish lines the across across there. year, $XX at if there's this all those so that of at properties looking of So or a Meta

the maintain Feed we Reels Remember, last We've additional across got mid Now that's growth Instagram if we've comps. News here. year-over-year got some on continue we to rate. the but in launched year,

roughly something across that things opportunity we've say covered I'd new is out see met we're range in So the to where panning all going that there. that

the Securities. question with Truist Squali Youssef the from And line of next comes

One, starting with [indiscernible].

in And formal outlook. parse you to think you believe about a shift you not talking MTFs stable. that maybe follow-up. I'm for you then have I was sure referring stable? of going I that that for before XX% and us growth should volume on? you versus the of quick it? you point were MTF out think mentioned the revenue are the is a But for mix out that remain a XXXX, price guide can kind considering outlook the Because help that is if XXXX start remain I Why mentioned

Yes.

grew we that internationally our saw remarks year of we surprise of expectation premium what growth is other upsell priced the anyone, the necessarily in We to that in to we The The reduce will shouldn't QX that that MTF most continued The of lower continue And Youssef, market. really driving based products. is mentioned a to the business. that down anticipate do So products. expanding is premium growth fact towards have we by increase. perspective mix offset That slightly the made see to come is statement From that able did our in MTM right? the It's on XXXX. we continue shift products. we likely, price quite we we the volume. we're grew, products from priced the full to 'XX. not to strong be is grew growth an the perspective, was we based aggressively. a MTF But because to go the not MTF needing expect overall, we it The we're on of have those to us on

we of now. XXXX. Awesome. as just maybe is your And look the clear That's year QX very XX%, of Typically, linearity throughout the on XX% revenues.

your high on guide, based it more like think looks teens. I

nice So, you across the and brand I it, of given on. we X a uptick kind large up is do Or see do the coming where understand in make help of kind at the advertisers, quarters? of more retract you the around linear some of shortfall QX? Does QX? does QX color you, it kind how, in maybe through think just when enterprises new the But us

Yes.

revenue is first in X half half heavier we're terms points to second first year the to is of I going think half of X it half. said remarks, it towards the the to year. in share second we going versus be probably the see what to the the our of between weighted it's

of ramp can that as you a guide. after you take the QX kind of if see starting sort So

And next with Bhatia question William comes of the Blair. our from line Arjun

it's of that, if large historical talked QX, of we from in QX, compare bit, Maybe and Or you than that larger customers been seen wins if could, please. revenue greater little is about are ramp? customer Perfect. XXXX. but on Yes. that that expand are maybe a Just periods? signed some can recognizing this a you I longer XXXX haven't started larger that Is maybe taking to contracted activity start the that Have and if in those on you yet.

couple question, Yes, We great it's when see this large a nail we businesses. of a periodically Arjun.

drag. slower we little started a remember, expected, bit QX and year, of a you created a big closed If of They couple of we deals. last than a it really bit

of all as and into the Nicola we they're enterprise the Haleon, I to And et or moving think a once -- are learning this couple a level drag deals deals at some pretty a bigger I pipeline comparable or the year. into cetera, and by we And that closed when globally do customers of million of or it's see game. this We're whether over they're flow as I creates of think coming pipeline market. bunch big that's, that of large the is say coming ebb a That a dollars this and we the we're we I a global launching in. of couple growth core-on-core nature last talking think look year, on difference which being start here customer we challenges at bit the just we're And big up. based of Pepsi I of is expect year, said, provided year. scale this, kind -- know like they take noted, year. But for the at for time us. predictability would we for Nicola these this the are edges, time, a guide not we the closed makes deals market noted the big on Last There and to were is there year, as that closed launching how deals the pipeline guiding and in ramp. to we on bit when looking

hoped. slower to these in. know we come would just than They're a are have going bit coming So in that we

Is do route price think aggressive at into this is using on point? respond go in on have of there compete if the continues able tactics, you I down to we market competitor be that Obviously, do that very a you do I how Mark. little can you pricing have But That's if enough pricing know just have price that some continue future? compete superior ROI to to differential maybe product? when then might and you aspect Okay. a revisit you can to the that. bit. to want you've product helpful, And don't Or you said a

Yes.

and then, we it's no Scibids at how markets just even delivered the to with you that's grew that take mean our winning fast. deals and doesn't on Greenfield going our Everything That look social by grew And on twice from at and grew, out in of at you market. we on XX%. each situation. social close set It solutions I deals that which one our ABS, we're we we same are that solutions. in if not. business, efficacy in very mean us way we competing the full a at a the that think to at If look we and there you'd But to new same the based sure, going wins, others things out are speed attacking now last as last months just premium. being some that deals competitive. of on in clear from QX deals, not how just not up did great in we're as on a were a to versus the and and basic this product results, to functionality in So same the is, XX year. growing look the driving winning We're what allowing trying over price. And by competitors yes, which saying go really if we'd have look of investments have same do we we're optimization but if price, differentiated still exemplified we're if get means we Doesn't into has, ask. products the charge XX else those, head-to-head a the share the for strategy there end to right? So our saying, twice why fast year the to are MTFs We're we And product don't increasing winning it social, made pricing had is differentiation. price, not other, as the and how R&D looking social, in in aren't

next line Michael Genuity. Graham comes question of with And Canaccord the the from

are: questions ABS. two one, My quick number on

think it just called XXXX. And XX% mentioned growth of you in expected is sort lot of how an customers that customers? left I increasing as product. also of you your and much out frame your their out mean strength a You are penetration that mentioned can deployment you with source of

maybe would how the full is frame election out one year there? you guidance be on think factored have much left And just might understand? your just helpful year then to quick how a So into

everything great And hearing in sirens that's question, there. the Michael. background. the I'm I hope is okay

there on Xth I on Ave, don't know out it's what's going but sorry. loud,

I thought you're up in Boston.

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we top go add penetrate XXX they're markets. a they we a lines adding of so business. new user, adding They're still grow. So and customer, new They're still, even when new

still ABS of with the And getting growth with I testament existing we a So growth what product. expansions still, to it's there's there lot is had Walmart. A is of opportunity customer think the at. great Pfizer, of efficacy lot with Amazon, a I'm

your of on it's for We question anything into our interesting. Second elections, guide half didn't elections. bake

from wildcard, a demand it advertisers and right? is incendiary to that bit buying But I traditional crowds we create solutions. that can intent our of something impressions. lots also I more think out the know for have it's content a of sometimes

can at business. on and And neutral said, for predict. we again, our that growth or betting the our not on growth think in questionable. looked are Nicola that we're We're in things bedding guidance still things our driving hopper net-net, have we've as I as So we that

The JMP next question Boone with comes Andrew from of Securities. the line

opportunity, more the And about help come back you that if Meta. and of in know Mark, size for you a the safety brand But potential think of you we've medium-term overall you talked past. this asked about Meta $XX the million and I on Meta?

great question, It's Andrew. a

on its the social we launched sure. half for penetrated. we've do there's own. we've know, only opportunity are early growth Meta incredibly things other across size today, it's aspect I combination with know across, for before, We the over use said safety us us bit to brand we popular across platform, out a about think YouTube, In of top measurement XX% our for this and whereas XXX another significant customers

it to we're think it certainly So customers we've of at today. Feed in growth the coverage in that net-net, News social. strong of solution. But last fully addition in with Meta attract ending being growing Feed now the trajectory I and of that that a how growth factored new said look as the the coverage driver a that. into the we into catalyst. We've strong of is News the Instagram again, up really social make and Meta seen a that year and this of big going don't measured part I the year, at Reels past, And XX% a addition think addition, is we've of

the kind we've quarters update bring Scibids Mark, about its to then, of as And just and opportunity the Can on talked customers. in couple of you now past there us new of through and in being that sales in go-to-market? product you terms terms your customers? there are your force ramp is of has own longer seeing new maturing for What a been

are full of this a outside quarter, quarter. for huge. pretty so customer we -- our year are we've teams excitement. and talked we've solution the it interesting it. generated new this a actually We XX% of That's a And far of testing talked some for it's wins about ton about had Yes. is it the had the is years around Scibids about And like that only

close, right? it grow, differentiators, So to we're think to a to that of us that the If at rate approach look into right? business again, new It continue but the attach can product big, you about goes to that our it's of pretty almost goes allows bucket XX%, us bucket drive in of we a tempered out how a being how and new pricing premium muck things into -- that of at takes premium customers.

plug types something interested. how look when we unique way that how know at we can I of plug are really of networks, changing to Scibids into it's into on it to know it got just So of DV other tool social I call push. has. as And Prescreen talked like it's really in at We the set a about not that verification, We're it. is. to we the We can lot but starting a customers things et video, continue it bandwidth like cetera. think we've stand-alone, a kind we It's neat social look

Stanley. comes question next line Matthew The the from with Cost of Morgan

existing lean for new behavior that willingness You you've seen the the out one we in XXXX there advertisers zoom would of to brand to think into performance any the Is offerings, I if brands. adopting brand terms [indiscernible] products the start or in versus call into usage that's of product XQ performance of whether expanding use? and difference talked the of and But versus about about out you that advertisers. slower wonder just year

great question. a It's

us, and not saying. going entire to for not that paint what think advertiser I category in because we're that's I'm the one brand way

handful anything had just customer of the year. slower brand who that in there's about, had year. we growth had, would a the we versus performance retail clients talk and a that think really we selected the CTV think I than some of slower to months I don't start had that couple other first of

a there there's brand versus performance. ton look think on don't there to into I So

from And line Capital the Brian with BMO Markets. the next of question comes Pitz

As early. around opportunity activation customer broader an market? the Announcement, just maybe precampaign further Avoidance prebid Scibids of you I update, just you you it, it's see on there before an the mentioned update some Mark, feedback? early still MFA your maybe perhaps know said planning and

Yes. around tools. the last bad space X been if probably Thanks, the for to hottest has mean generative the Brian, there months, AI you've the out XX MFA I ad really hung besides for question. topic

they feedback has our of about they it to to that more content the plugs any other and been it they exclusion excluded monolithic and recently is where from publishers, We about in tool filter of launched that being the MFA great. want this bill which what and have. But a not what they a second at And scalpel sites on a sites content. And this are tier, for need and specific was this marginalized first who right those I buys. had reach that balance that at lot MFA well, that coverage who ABS is the this certainly as to in that in meat [indiscernible] advertisers particularly allows definition some based of attack. launch this are press with. are looking Advertisers fits out to the I they think approach was saying, advertisers part as the interpret perfectly. addition how clever, that want we lists to media And of specific cool in just comfortable rules, which to, publishers Prebid one area this performance And great can of using to basically lists. does looked allows or The into do Gen look, is specific product we set, the to include detriment think set. week, also MFA our than advertisers them

into we've a what on the doing and as more set and got differentiated MFA dynamically made tiers advertisers now plugging ABS, upfront powerful by they're and even there, powerful we've allowing tool again, optimize So well. to it

what to our to up than able that's up us. tool proprietary been So we've fired and plugs fired MFA. we're pretty We're do different a competitors it how into totally about about

next quick Got to a placement to ad your is fake political avoiding or question. relates big information it. just for a news maybe videos? And particularly problem it How this earlier then clients, UGC follow-on an to of as

incidences hate then. that And officially see talking XXXX. task more more but elections, in saw and hadn't force giving we about away higher news. racism not in going be to and news I hate that news political scary scalpel only in flows, see local, our midterms, race is but that launched news. again, a the we from want I inflammatory to the the I discussion the in I'm the started we heated hear shut UGC the from no this competitive this to speech things them choice going that but speech past, This hate just the we and things like politics legitimate want we state, of misinformation, the disinformation. so have, for from and those customers is was, one just mean going inflammatory away we surprise, block but be know which is and isn't We national, in of to that I well, back these legitimate areas in becomes advertisers. And see And and disinformation, we -- XXXX, [indiscernible] do news and excluded. been XXXX again content, ebbs off. MFA more isn't doesn't speech, we UGC. thing content competitive before all violate during really something We're time. news political more more their see

that's business don't for it going that sticky our in leaning provides we is its We category some it see our own another place advertisers with into. drive Again, a solution it's customers. to are that think where makes as So just us value-add us.

question next the from the Wells Fitzgerald line Brian with of comes And Fargo.

around the [ about on think about you and about the It Google. little you and preparations Could when the How you between application how both ] of Maybe device talk Sandbox IIV forth on-device third-party your for work differential opportunities out and Labs for you probably looking the guys? new there auctions? verification think the as risks you on stands be there allowing auctions. terms to seems done one think there some cookies in after still and and over back Tech though is

Brian. sure, for sure, Yes,

a And There's seamless transition moving but open deprecation of services working this We're working a prepping kind of obviously that parts, time. lot Google's Google working and privacy they over been as levels on and with are cookies and a that engaged multiple sandbox, we've deliver solutions, and for perfect, So a pretty the services implemented although is with able we're going Sandbox, the been Google become leaning this is long one privacy ecosystem. we're certainly make to Sandbox partners to pretty be the groups for Sandbox, we've to and for in a had with and that going sure many that the years. making to our become not good has have confident multiple happens. thing where we'll the relationship on be place The we're to where right people of fully sure time. of

question of with next comes from Bank line the the America. of Dessouky And Omar

first we're fairly driving excuse, specify So you quarter. ABS the did guidance new guidance lower confident the low teens and you for -- that sounded contract on the wins, driving

those assume it wins previous the early are measurement still contracted slower up-sell fair So is in and they're volumes history than that to that newly ramping process? their

Yes.

process Omar. We, exactly that's enterprise for side. I clients think the on would large Measurement start the onboarding right,

price And so see that and impact you're for ramp, product phase. upsell the leave that's where opportunity premium going of the their initial will for the to second and the Activation the

that And then can sense will market in geography most give less international the growth difference Great. the any you drive in than into some 'XX, calendar whether And high-growth revenues? of -- Activation is look it makes market structure a U.S.? international if as of you us there's which the Okay.

the mean they greater, of a because the than I Greenfield opportunities more There's go after opportunities the us still are just is this outside right? area us, high-growth international U.S. is to in just U.S. opportunities markets for are, the for

if of you at the growth look for in quarter, so fourth world And rest the 'XX. of our is XX% the

it of in areas a areas, So a APAC. seeing rest was trajectory a right environment. There different disjointed macro is But the last across bit now, for growth all when prior the world. of EMEA spread the X growth X to and both year was we're of those

Activation. was trying I So just hone to on in specifically

well? apply your that segment to comments So as

terms actually, opportunity I too the the Yes, in between of think have internationally. change patterns and don't much Measurement Activation we really that

& comes Company. question Needham with of from line The Martin next Laura the

Great. I have two.

as My said XX% on has best a question customers question. it, they your getting up Scibids model following I customers where gotten you So is, time? business of paid fixed diversification revenue or historically does revenue answer percent it's to adopting these acquisition always they your on of of about paid a as lend testing a over impressions. percent revenue? still paid sort What that's as Scibids like that are that my I So new are per got X,XXX guess DoubleVerify least at fee testing your of Scibids. are as new that

transactional this as of its is of always they you, also pluses, hearing thought as percentage space, but up, framed media potential revenue-type way still model. fixed Laura. We've has as a you it know, Great CPMs are Okay. the ourselves as Yes, from you when have diversification. can well. and SaaS, And which a like kind I negative it in pursuing go

So think, as I a of see some of advantage get to interesting down is We may the of an take that having opportunity for CPMs percentage those us. them revenue, road. increased we

to these doing is we of the question funnel. on, its trying And VIZIO [ the for I the to in, news. in Fantastic is Walmart's things see streaming them call acquisition brands, of addition to second brands. AVOD what like on my down going the And think I one tie of things see One Amazon's biggest ]. I big connected and way Okay. XXX And you television that's see then on tier all performance full like

core all you that to funnel is of historically as these drive question you in the Is you do big -- is good my that your for just what's to CTM based. their, for their bad of customers, top than rather that So performance, are DoubleVerify? or been brands more advertising even

say to we're we don't where platforms by I mobile, from question. are, It's at come -- web. look think that, other a the great social, neutral. we if so want all I And we've I open it's think, on,

a it. on viewable is places of it's I our closed-loop core to capabilities as value basis of brand see performance-type same in those and look and is CTV, prop you performance which the closed-loop type noted, safe. connecting will start that core in some secure, brand similar have fraud-free, prop value at we'll in a or advertisers CTV those that that, on is batch very ensuring evaluated eventually brand And and advertisers. aspect that spend, type to of whether the that All think metric way

for prop. And CTV it level. app the the is change looking hooks built those we've us at for and I platforms We, performance really top there's already those value the Scibids, example, the start are So for into of doesn't kind through at integrated think cool to if thing like since all XX we there, already and opportunity a connections. driving tool an us, we're

the same it So the more think across road, seen I types. But net-net, of that down we've be other think something it's I media interesting could for us.

Murphy question And from Mark of final comes line JPMorgan. with our the

Mark for on Arti This Murphy.

what's Just advertisers to this that there between along Anything little geography, touch kind base brand are kind again discussing? of common certain of starting year. a slower thread were causing industry? those bit of them, Is any on of kind the it's that kind whether lines

I don't It's think a it's to this going No. it's macro thing. bit just, to macro. not pin a we're anomalous. I mean, look,

We having of or did last way. really than have. is go based happens have anything It's some in can a retailers customer of it, a spend of be up any just handful to a think a having to vertical not a issues some we I they couple challenges way spending in on either regarding any tough they CPG are It a slower pin ramping macro year. company

very that make with before you queue. to are able with of weren't kind just maybe that I sense That's to the just I'll to customers you use can it's guys follow-up, back set solutions that but early new know then of And step helpful. now. a Scibids and into on, speaking? you speak Didn't

XXX%.

in know not solutions before, have aren't to great So this talking measurement around. right folks But may core we like mentioned much and even optimization who there's that they some now. our opportunity cases, using we're pretty another

the our with So well. it gets in them door as foot

a we deals of we spun year, to conversations. almost are lot as we far the this new XX% So it's And so it testing even are it. with talking of closed does, folks noted, them

good a uptick good rate. a it's attach So and

no like to over comments. further back floor closing questions for are any would the time. Mark at There I this turn to

shareholders we'd the us And a year and our DV customers, all always, today. that make help stakeholders and as like for Great. Thank joining you Have partners, thank to everybody. for team the by and for record all our growth prospect night, our who unmatched year global about will great be to supporting another excited of years of differentiated our growth We're scale driven great come. technology. XXXX a

today's This concludes teleconference.

this at time. lines participation. you your for Thank disconnect may your You