Core Insights - DoubleVerify Holdings, Inc. reported worse-than-expected third-quarter financial results, with earnings of 6 cents per share, missing market estimates of 9 cents per share, and quarterly sales of $188.621 million, below expectations of $190.262 million [1] - The company lowered its FY2025 sales guidance from $755.376 million to $748.808 million [1] Financial Performance - The company achieved 11% year-over-year growth in the third quarter, indicating disciplined execution and progress in key growth initiatives [2] - Stronger quarterly margins were reported as the company leverages AI to drive efficiencies [2] Product Innovation - DoubleVerify launched DV AI Verification to enhance transparency, performance, and protection for advertisers, showcasing its commitment to innovation in the AI era [2] - The new DV Authentic Advantage solution is gaining traction with leading global brands, highlighting demand for performance-driven tools [2] Stock Performance - Following the earnings announcement, DoubleVerify shares gained 10.5%, trading at $10.38 [2] Analyst Ratings and Price Targets - Needham analyst Laura Martin maintained a Buy rating but lowered the price target from $18 to $12 [5] - Stifel analyst Mark Kelley also maintained a Buy rating, cutting the price target from $20 to $15 [5] - Scotiabank analyst Nat Schindler maintained a Sector Outperform rating, lowering the price target from $24 to $16 [5] - RBC Capital analyst Matthew Swanson maintained an Outperform rating, reducing the price target from $23 to $20 [5] - Truist Securities analyst Youssef Squali maintained a Buy rating, lowering the price target from $22 to $17 [5]

Core Insights - Dolly Varden Silver Corporation reported significant drilling results from the Homestake Silver deposit, highlighting the expansion of a high-grade gold zone with intersections of 26.74 g/t Au over 14.76 meters, including 122 g/t Au over 2.85 meters [1][2][3] Drilling Results - Drill hole HR25-469 intersected 26.74 g/t Au over 14.76 meters, with a broader mineralized zone grading 12.13 g/t Au over 33.80 meters [2][3] - Drill hole HR25-464 encountered 9.22 g/t Au over 6.65 meters, including 58.80 g/t Au over 0.95 meters from a newly recognized stockwork zone [2][3] - The high-grade core of the Homestake Silver deposit is defined for over 300 meters vertically and extends for over 1,000 meters along plunge [6][10] Geological Context - The mineralization at Homestake Ridge is interpreted as a structurally controlled, multi-phase epithermal vein stockwork and vein breccia system hosted in Jurassic Hazelton volcanic rocks [12][13] - Recent drilling indicates a shift towards a gold-rich system, with increased frequency of high-grade gold veins and vein breccias [13] Future Exploration Plans - The company plans to focus future drilling programs on expanding the identified high-grade gold mineralization [3][10] - Directional drilling technology is being utilized to precisely target areas for step-out and infill holes at Homestake Silver [11] Company Overview - Dolly Varden Silver Corporation is focused on advancing its 100% held Kitsault Valley Project, which includes the Dolly Varden and Homestake Ridge projects located in the Golden Triangle of British Columbia [26][27]

Core Insights - Shares of DoubleVerify (DV) experienced a significant decline of 30% following the release of Q3 results, but managed to recover half of the losses by the market close [1]. Company Performance - The initial drop in DV's stock price indicates a negative market reaction to its quarterly performance, which may suggest concerns over financial metrics or future guidance [1]. Market Context - The performance of DV is contrasted with its main competitor, Integral Ad Science, highlighting the competitive landscape within the digital advertising verification industry [1].

Core Insights - DoubleVerify's Q3 CY2025 revenue of $188.6 million represented an 11.2% year-on-year growth but fell short of analyst expectations of $190.2 million by 0.8% [1][6] - The company's adjusted EPS of $0.22 was 17.4% below the consensus estimate of $0.27 [1][6] - Q4 CY2025 revenue guidance of $209 million was 0.9% below analyst estimates of $210.8 million [1][6] Performance Analysis - Management attributed the revenue shortfall to a decline in retail advertiser spending and challenging comparisons to the previous year's strong performance [3] - Core verticals like consumer packaged goods remained stable, but overall market dynamics affected retail budgets [3] - Customer retention among major clients remained strong, and there was early traction for new AI-powered offerings [3] Future Outlook - The company's future guidance is influenced by the adoption rates of new AI-driven verification tools and streaming TV solutions [4] - Management believes that automation and AI will lead to margin expansion despite moderating revenue growth [4] - Key areas for future performance include scaling social and connected TV initiatives and ongoing investments in product development and international expansion [4][5] Financial Metrics - Adjusted operating income was $50.66 million, exceeding analyst estimates of $49.37 million, with a margin of 26.9% [6] - EBITDA guidance for Q4 CY2025 is $79 million, above analyst estimates of $77.86 million [6] - Operating margin decreased to 11.2% from 15.2% in the same quarter last year [6] - The company's market capitalization stands at $1.51 billion [6]

Core Viewpoint - DoubleVerify Holdings (DV) reported quarterly earnings of $0.22 per share, significantly exceeding the Zacks Consensus Estimate of $0.09 per share, and showing an increase from $0.10 per share a year ago [1][2] Financial Performance - The earnings surprise for the quarter was +144.44%, while the company had a previous quarter earnings of $0.05 per share against an expectation of $0.06, resulting in a surprise of -16.67% [2] - Revenues for the quarter ended September 2025 were $188.62 million, which fell short of the Zacks Consensus Estimate by 0.82%, compared to $169.56 million in the same quarter last year [3] - Over the last four quarters, the company has exceeded consensus revenue estimates twice [3] Stock Performance - DoubleVerify shares have declined approximately 42.9% since the beginning of the year, contrasting with the S&P 500's gain of 14.3% [4] - The stock currently holds a Zacks Rank 4 (Sell), indicating expectations of underperformance in the near future [7] Future Outlook - The current consensus EPS estimate for the upcoming quarter is $0.16 on revenues of $210.93 million, and for the current fiscal year, it is $0.31 on revenues of $755.17 million [8] - The outlook for the industry, particularly the Internet - Software sector, is favorable, ranking in the top 30% of over 250 Zacks industries, suggesting potential for better performance compared to lower-ranked industries [9]

Financial Data and Key Metrics Changes - Revenue for Q3 2025 grew 11% year-over-year to $189 million, within guidance range [4][25] - Adjusted EBITDA margin reached 35%, exceeding expectations and demonstrating scalability [4][30] - Total advertiser revenue grew 10%, driven by increased volumes, while media transactions measured increased 12% year-over-year [26][28] - Adjusted EBITDA was approximately $66 million, reflecting strong profitability and cash generation [30][34] Business Line Data and Key Metrics Changes - Activation revenue grew 10% year-over-year, with ABS accounting for 54% of activation revenue and growing 12% [27][28] - Non-ABS activation revenue grew 8%, driven by demand for social activation solutions [28] - Measurement revenue grew 9% year-over-year, with social measurement accounting for 48% of total measurement revenue [28] Market Data and Key Metrics Changes - Social activation is growing at 20%, with strong early adoption of DV Authentic Advantage and Meta Pre-Bid solutions [9][10] - CTV measurement volumes grew 30% year-over-year, reflecting increased advertiser demand for transparency [17] - Supply-side revenue grew 27% in Q3, driven by growth on existing platforms and new partnerships [29] Company Strategy and Development Direction - The company aims to grow social, streaming TV, and AI verification solutions from under 30% of total revenue to approximately 50% [19][35] - Focus on innovation through AI and automation to enhance product offerings and operational efficiency [6][23] - Strategic partnerships with global leaders and expansion into new markets are key to driving future growth [21][22] Management's Comments on Operating Environment and Future Outlook - Management noted softer retail budgets impacting growth but highlighted strong performance in other core verticals [4][25] - The company expects continued double-digit revenue growth and strong profitability for the full year 2025 [30][34] - Future growth will be driven by the adoption of new solutions in social, CTV, and AI [39][52] Other Important Information - The company repurchased 3.3 million shares for $50 million in Q3, with $90 million remaining for additional repurchases [31][32] - Capital expenditures increased to approximately $12 million in Q3, reflecting investments in new solutions [30][32] Q&A Session Summary Question: Growth drivers for next year - Management indicated a base case scenario of 10% growth for 2026, driven by new solutions in social, CTV, and AI [38][39] Question: Softness in retail - The softness is broad-based across the retail vertical, impacting a large share of top spenders [44] Question: Impact of competitors leaving the market - The departure of less scaled competitors creates a more advantageous position for the company to invest and grow [49][50] Question: Client base and SMBs in CTV - The company sees opportunities in attracting SMBs into the CTV space, leveraging existing platforms for growth [56] Question: Scaling of Meta Pre-Bid and DV Authentic Advantage - Both products are expected to scale significantly, with strong early adoption and positive initial results [58][59]

Group 1 - DoubleVerify Holdings, Inc. reported third-quarter financial results and provided fourth-quarter revenue guidance between $207 million and $211 million [1] - Analysts expect the company to report revenues of $219.96 million for the fourth quarter, which is higher than the company's guidance [1] Group 2 - For fiscal 2025, the company projects revenue growth of approximately 14 percent, a decrease from the previous guidance of approximately 15 percent [2] - The market anticipates revenue growth of 14.99 percent, reaching $755.33 million for the year [2]

Q3 2025 Performance Highlights - Revenue grew by 11% year-over-year, reaching $189 million[7, 41] - Adjusted EBITDA margin was 35%[7, 43] - Net cash from operating activities was $51 million[7, 42] - Social in Activation grew 20% year-over-year[16] Growth Drivers - Social Measurement increased, with Q3 2025 revenue reaching $18 million compared to $14 million in Q3 2024[45] - Activation revenue grew by 10% year-over-year[45] - Measurement revenue grew by 9% year-over-year[45] - Supply-Side revenue grew by 27% year-over-year[45] - CTV measurement volume grew 30% year-over-year[18] Strategic Initiatives - The company purchased 33 million shares for $50 million in Q3 2025, and a total of 84 million shares for $132 million year-to-date[54] - The company has $210 million more GAAP R&D investment than its nearest competitor (2023–YTD 2025)[33] Future Outlook - Q4 2025 revenue is projected to be between $207 million and $211 million, representing 10% year-over-year growth at the midpoint[59] - Q4 2025 adjusted EBITDA is projected to be between $77 million and $81 million, with a 38% margin at the midpoint[59] - Full year 2025 revenue is projected to be between $750 million and $754 million, representing 14% year-over-year growth at the midpoint[59] - Full year 2025 adjusted EBITDA is projected to be between $245 million and $249 million, with a 33% margin at the midpoint[59]

Revenue Growth - Total revenue increased by $19.1 million, or 11%, from $169.6 million in Q3 2024 to $188.6 million in Q3 2025[118] - Total revenue increased by $76.5 million, or 16%, from $466.2 million in the nine months ended September 30, 2024, to $542.7 million in the nine months ended September 30, 2025[118] - Advertiser revenue increased by $15.3 million, or 10%, in Q3 2025 compared to Q3 2024, driven by a 12% increase in Media Transactions Measured[119] - For the nine months ended September 30, 2025, total Advertiser revenue increased by $64.8 million, or 15%, compared to the same period in 2024, supported by a 17% increase in Media Transactions Measured[119] - Activation revenue increased by $9.9 million, or 10%, in Q3 2025 compared to Q3 2024, driven by greater adoption of Authentic Brand Suitability and core programmatic solutions[120] - For the nine months ended September 30, 2025, Activation revenue increased by $47.2 million, or 18%, compared to the same period in 2024[120] - Measurement revenue increased by $5.4 million, or 9%, to $65.4 million for the three months ended September 30, 2025, compared to the same period in 2024[121] - Supply-side revenue rose by $3.8 million, or 27%, to $17.8 million for the three months ended September 30, 2025, compared to the same period in 2024[122] Financial Performance - Operating income decreased by $4.6 million, or 18%, in Q3 2025 compared to Q3 2024[115] - Net income decreased by $7.999 million, or 44%, in Q3 2025 compared to Q3 2024[115] - The gross revenue retention rate was over 95% for the three months ended September 30, 2025[103] - Adjusted EBITDA for the three months ended September 30, 2025, was $65.9 million, with an Adjusted EBITDA margin of 35%[132] Expenses - Cost of revenue increased by $4.0 million, or 14%, to $33.5 million for the three months ended September 30, 2025, driven by higher partner costs and data services[123] - Product development expenses grew by $5.5 million, or 14%, to $44.8 million for the three months ended September 30, 2025, primarily due to increased personnel costs[124] - Sales, marketing, and customer support expenses increased by $6.5 million, or 16%, to $47.0 million for the three months ended September 30, 2025, mainly due to higher personnel costs[125] - General and administrative expenses rose by $4.0 million, or 17%, to $27.0 million for the three months ended September 30, 2025, largely due to increased personnel costs and legal fees[126] Cash Flow and Capital Management - As of September 30, 2025, the company had cash and cash equivalents of $200.7 million and net working capital of $156.3 million[135] - The company authorized a repurchase of up to $200.0 million of its outstanding common stock under the New Repurchase Program[143] - During the three months ended September 30, 2025, the company repurchased 3.3 million shares for an aggregate amount of $50.1 million under the New Repurchase Program[145] - The Company repurchased 8.4 million shares for a total of $132.3 million during the nine months ended September 30, 2025, with $90.0 million remaining authorized for repurchase[146] - Cash flows from operating activities for the nine months ended September 30, 2025, were $138.5 million, an increase from $122.3 million in 2024, driven by a net income of $21.3 million[150][151] - Cash used in investing activities was $93.8 million for the nine months ended September 30, 2025, including $82.6 million for the acquisition of Rockerbox[152] - Cash used in financing activities totaled $140.8 million for the nine months ended September 30, 2025, primarily due to share repurchases[153] - The Company reported a cash decrease of $92.0 million in cash, cash equivalents, and restricted cash for the nine months ended September 30, 2025[147] Other Financial Information - Non-cash charges included $42.3 million in depreciation and amortization and $78.7 million in stock-based compensation for the nine months ended September 30, 2025[150] - The Company experienced a $11.6 million decrease in trade receivables and a $5.0 million decrease in trade payables during the nine months ended September 30, 2025[150] - Cash flows from operating activities in 2024 were impacted by a $12.6 million increase in prepaid expenses and a $10.3 million decrease in trade receivables[151] - The Company has not experienced material changes in market risks as of September 30, 2025, compared to the previous year[157] - There are no current legal proceedings expected to materially affect the Company's financial condition[161]

Financial Performance - Total revenue for Q3 2025 reached $188.6 million, reflecting an 11% year-over-year growth[3] - Adjusted EBITDA for Q3 2025 was $65.9 million, representing a 35% adjusted EBITDA margin[3] - Revenue for Q3 2025 was $188,621,000, representing a 11.5% increase from $169,556,000 in Q3 2024[20] - Full-year 2025 revenue growth is expected to be approximately 14%[11] - For the nine months ended September 30, 2025, total revenue reached $542.7 million, up 16% from $466.2 million in 2024[25] Income and Earnings - Net income for Q3 2025 was $10,202,000, a decrease of 43.9% compared to $18,201,000 in Q3 2024[20] - Earnings per share (EPS) for Q3 2025 was $0.06, down from $0.11 in Q3 2024[20] - Total comprehensive income for Q3 2025 was $11,041,000, compared to $27,280,000 in Q3 2024[20] - Net income for the nine months ended September 30, 2025, was $21.3 million, compared to $32.8 million in 2024, reflecting a decrease of 35%[24] - Non-GAAP net income for the nine months ended September 30, 2025, was $95,375,000, slightly down from $98,963,000 in the same period of 2024[29] Expenses - Cost of revenue for Q3 2025 was $33,465,000, up from $29,479,000 in Q3 2024, indicating a 6.7% increase[20] - Product development expenses for Q3 2025 were $44,842,000, an increase of 14.4% from $39,306,000 in Q3 2024[20] - Sales, marketing, and customer support expenses rose to $47,022,000 in Q3 2025, compared to $40,525,000 in Q3 2024, reflecting a 16.3% increase[20] - General and administrative expenses increased to $26,997,000 in Q3 2025 from $23,039,000 in Q3 2024, a rise of 17.5%[20] - Stock-based compensation expense for the nine months ended September 30, 2025, was $78.7 million, an increase from $67.9 million in 2024[24] Shareholder Actions - Share repurchase program saw 3.3 million shares repurchased for $50.1 million in Q3 2025, totaling 8.4 million shares for $132.3 million year-to-date[9] - The company repurchased shares under the Repurchase Program totaling $132.3 million during the nine months ended September 30, 2025[24] Product and Market Developments - Activation revenue increased by 10% to $106.7 million, while measurement revenue grew by 9% to $63.8 million[3] - Media Transactions Measured (MTM) for Connected TV (CTV) increased by 30% year-over-year[3] - New product launches include DV AI Verification and DV Authentic Advantage, aimed at enhancing transparency and performance for advertisers[2][7] - The company expanded partnerships with major platforms like Meta, TikTok, and Roku to enhance brand safety and measurement capabilities[10] - The company is focused on enhancing its media effectiveness platform through AI to drive better outcomes for global brands[36] Guidance and Future Outlook - The company raised its full-year 2025 adjusted EBITDA margin guidance from 32% to 33%[11] - The company anticipates continued challenges due to competitive pressures and economic uncertainties, impacting future performance[33] Adjustments and Calculations - Adjusted EBITDA margin is calculated as Adjusted EBITDA divided by total revenue, providing insights into operational efficiency[27] - The effective tax rates for non-GAAP adjustments were calculated at 31% for Q3 2025 and 26% for Q3 2024[31] - The company plans to post historical quarterly financial information for Non-GAAP Net Income and Non-GAAP Earnings Per Share for the fiscal year 2024 on its investor relations website[28]