Viant Technology Inc. Q3 FY2024 earnings call

• Strong third quarter results with revenue and contribution ex-TAC exceeding guidance. - Acquisition of IRIS.TV, a content identification platform for Connected TV. - ViantAI rollout garnering attention, transforming programmatic ad buying with intuitive interface and AI capabilities. - CTV and streaming audio spend growth, with CTV representing over 40% of total platform spend. - Direct Access program adoption, with over half of CTV spend coming through it. - AI Bidding showing strong performance, providing cost savings for customers. - Growth in the number of customers generating significant contribution ex-TAC and new customer base expansion.

In the third quarter, Viant Technology achieved record results. Revenue was $79.9 million, an increase of 34% year-over-year. Contribution ex-TAC was $47.4 million, up 21% year-over-year. CTV spend grew nearly 50% year-over-year, and streaming audio saw strong double-digit growth. AI Bidding achieved record-breaking revenue and contribution ex-TAC, with revenue and contribution ex-TAC growing 35% quarter-over-quarter. On a trailing 12-month basis, the number of customers generating significant contribution ex-TAC grew, and new customers also showed strong growth.

• For Q4 2024, revenue expected to be in the range of $82 million to $85 million. - Contribution ex-TAC expected to be $51 million to $53 million. - Non-GAAP operating expenses expected to be between $35 million and $36 million. - Adjusted EBITDA expected to be $16 million to $17 million. - Full-year 2024 revenue growth expected at 27%, contribution ex-TAC growth at 22%, and adjusted EBITDA growth at 51%.

Q: Can you explain the relationship between fixed-price and percent of spend for new customers?

A: When onboarding customers, it usually starts in fixed-price and then moves to percent of spend to shorten the sales cycle.

Q: What are the growth drivers and how do they rank?

A: Growth is from existing customers scaling spend, CTV spending increase due to better products, new customers onboarding, and attention around ViantAI.