DoubleVerify reported third-quarter revenue growth, led by social and connected-TV activity, while stockholders approved its proposed sale to the parent of Nielsen. The company expects the transaction to close by the first quarter of 2027, subject to customary conditions.
With the deal pending, DoubleVerify has suspended future earnings and investor calls and withdrawn its previously issued financial outlook and guidance. It says future updates on the transaction and its strategic progress will come through press releases and regulatory filings.
Third-quarter results and business updates
- Revenue rose 9% year over year to $205.6 million. Activation revenue increased 10% to $117.6 million, measurement revenue rose 8% to $69.1 million, and supply-side revenue grew 5% to $18.9 million.
- Social measurement was a strong area: revenue increased 20%. International measurement revenue rose 16%, and media transactions measured on connected TV increased 22%.
- Net income was $15.9 million. Adjusted EBITDA was $75.4 million, equal to a 37% margin.
- DoubleVerify ended the quarter with about $251 million in cash and no debt.
- The company launched Ask Neura, a conversational AI feature within its DV Pinnacle platform that lets advertisers and agencies interact with company data and insights to assess and optimize campaigns.
- DoubleVerify also announced global availability of independent media-quality measurement on TikTok Pangle, and pilots for attribution measurement and brand-suitability evaluation for ChatGPT Ads.
Proposed sale to Nielsen’s parent
- DoubleVerify stockholders approved the merger agreement at an October 29 special meeting. About 94% of votes cast supported the deal; those votes represented more than 75% of the company’s shares outstanding as of the meeting’s record date.
- Under the agreement, DoubleVerify will become a wholly owned subsidiary of Neptune BidCo, the parent company of Nielsen. DoubleVerify is to remain in existence as the surviving company within that ownership structure.
- The company continues to expect the transaction to close by the first quarter of 2027, pending customary closing conditions.
What changes for investors
The stockholder vote clears an important approval step for the proposed sale, but the transaction has not yet closed. For now, DoubleVerify has withdrawn its prior financial guidance and will not hold future earnings or investor calls while the deal is pending.