- PubMatic reported third-quarter revenue of $68 million, beating analysts’ expectations, in response to a press release. The total was down from $71.8 million in the year-ago period, which included $5 million in political promoting.
- CTV promoting was a shiny spot for the ad-tech company. Revenue, excluding political promoting, from CTV grew greater than 50% in comparison with last 12 months. Revenue from omnichannel video, excluding political promoting, grew 21% year-over-year.
- PubMatic claims its partnership with artificial intelligence company Nvidia has resulted in processing that’s as much as five-times faster than traditional systems, making it a significant factor in PubMatic’s growth. The partnership puts the corporate “years ahead of [our] peers,” said co-founder and CEO Rajeev Goel in an announcement.
PubMatic’s earnings reflect a bigger trend of ad-tech firms benefiting from how AI is driving more unified marketing campaign capabilities. In the quarter, the group of firms that features The Trade Desk, LiveRamp, Magnite, PubMatic, Viant, DoubleVerify, IAS, MNTN and Nexxen, delivered average revenue growth of 13.5%, per a note from Madison and Wall shared with Marketing Dive.
Growth on the ad-tech side of the equation is outpacing publishers’ growth, which could possibly be concerning, Madison and Wall noted. However, more dollars are being pushed through programmatic channels and ad-tech firms are keeping ahead of the sport by selling data marketplaces, measurement products and campaign products that promise a more unified approach.
“Many platforms are rolling out AI-supported, unified campaign solutions that emphasize price, performance, and convenience, at the same time as they demand tradeoffs in transparency and control,” in response to the note. “And data and identity capabilities proceed to matter more, especially as more premium inventory and major marketers shift more activity into programmatic channels.”
Other highlights from the third quarter that PubMatic called out include:
- Launching a unified, AI-powered publisher platform that mixes automated revenue optimization, first-party data monetization and direct access to high-value media budgets. The platform cuts campaign setup time by 87% and accelerates issue resolution by 70%, in response to PubMatic
- Increasing ad-buying activity from its Live Sports Marketplace by greater than 150% from the previous quarter
- Launching a pause ads feature for CTV, through which advertisers can serve dynamic and contextually relevant ads when viewers pause content
- Increasing supply path optimization on its platform by 50% year-over-year
Overall, its infrastructure optimization initiatives drove nearly 87 trillion impressions over the quarter, up 24% from the identical period last 12 months, in response to PubMatic.
The company estimated its Q4 revenues can be between $73 million and $77 million, “inclusive of an impact from considered one of our top DSP buyers.” That buyer went unnamed, though AdExchanger theorized it is probably going The Trade Desk, which recently implemented a brand new buying platform called Kokai.
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