Shares of Trade Desk Inc.
were up 6% in premarket trading Wednesday after the advertising-technology company topped profit expectations for the latest quarter, while issuing an upbeat outlook. The company reported fourth-quarter net income of $71 million, or 14 cents a share, compared with $8 million, or 2 cents a share, in the year-earlier period. On an adjusted basis, Trade Desk earned 38 cents a share, down from 42 cents a share a year before but ahead of the FactSet consensus, which was for 35 cents a share. Revenue rose to $491 million from $396 million, while analysts were modeling $490 million. For the first quarter, the company anticipates at least $363 million in revenue, along with about $78 million in adjusted earnings before interest, taxes, depreciation and amortization (Ebitda). The FactSet consensus was for $358 million in revenue and $75 million in adjusted Ebitda. Additionally, the company announced that its board of directors has authorized it to buy back up to $700 million of its stock. “The new share-repurchase program is designed to help offset the impact of future share dilution from employee stock issuances,” Trade Desk said in a release.