DoubleVerify Misses Q3 Targets, Guides Light for Q4 as Shares Slide

Overview

• Revenue rose 11.2% year over year to $188.6 million, coming in below analyst expectations of about $190.2 million.
• Adjusted earnings per share were $0.22 versus the $0.27 consensus, a 17.4% shortfall.
• Q4 revenue guidance of $207 million to $211 million (midpoint $209 million) landed slightly under the roughly $210.8 million estimate, while EBITDA guidance midpoint of $79 million topped expectations.
• Operating margin declined to 11.2% from 15.2% a year earlier, and the stock fell 18.6% on Friday as investors reacted to the report.
• Executives pointed to automation and AI to support margins and emphasized new offerings in streaming/CTV, social, and international expansion, with upside contingent on product adoption.