DoubleVerify (DV) Q3 2026 Financial Results Summary
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DoubleVerify (DV) Q3 2026: Revenue Growth Continues, Merger Approved — Positive Outlook
DoubleVerify (NYSE: DV) reported its third-quarter financial results for 2026, showcasing a solid performance with total revenue reaching $205.6 million, an increase of $17.0 million or 9% year-over-year compared to $188.6 million in Q3 2025. This growth was primarily driven by strong performance in social and connected TV (CTV) measurement services.
Key Financial Metrics:
- Total Revenue: $205.6 million, up $17.0 million or +9% YoY
- Activation Revenue: $117.6 million, up $10.6 million or +10% YoY
- Measurement Revenue: $69.1 million, up $5.1 million or +8% YoY
- Social Measurement Revenue: Increased by 20%
- International Measurement Revenue: Increased by 16%
- Media Transactions Measured (MTM) for CTV: Increased by 22%
- Supply-side Revenue: $18.9 million, up $0.9 million or +5% YoY
- Net Income: $15.9 million, compared to $10.2 million in Q3 2025, representing an increase of $5.7 million or 56%
- Adjusted EBITDA: $75.4 million, up from $65.9 million, with an adjusted EBITDA margin of 37%
Analyst View:
This quarter's results are a positive development for shareholders, reflecting robust growth across key revenue segments and a significant increase in net income. The company's ability to achieve a 37% adjusted EBITDA margin indicates strong operational efficiency. The growth in social and CTV measurement revenue is particularly encouraging, as these areas are critical for advertisers seeking effective digital media strategies.
Dividend and Share Buyback:
While there were no dividends declared this quarter, it is noteworthy that DoubleVerify has been active in share repurchases, having repurchased shares under authorized programs. The company repurchased $100.2 million worth of shares in the nine months ended September 30, 2026, compared to $132.3 million in the same period last year.
Merger Agreement:
A significant highlight from this quarter is the approval of the merger agreement with Neptune BidCo US Inc., the parent company of the Nielsen Company. Approximately 94% of votes cast at the special meeting of stockholders were in favor of the merger, which is expected to close by the first quarter of 2027, pending customary closing conditions. This merger could provide additional resources and capabilities, enhancing DoubleVerify's competitive position in the digital media measurement space.
Forward Catalyst:
Investors should closely monitor the developments surrounding the merger as it progresses towards completion. Additionally, the company has suspended future earnings guidance during the merger's pendency, which adds an element of uncertainty. However, the strong performance in Q3 2026 sets a solid foundation for future growth, and any updates on the merger's impact on operational strategy will be crucial for assessing the company's trajectory moving forward.
In conclusion, DoubleVerify's Q3 2026 results reflect a strong operational performance and strategic positioning ahead of a significant merger, making it a quarter to watch for both current and potential investors.
DoubleVerify Holdings, Inc. CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)
(in thousands)
| As of September 30, 2026 | As of December 31, 2025 | |
|---|---|---|
| Assets: | ||
| Current assets | ||
| Cash and cash equivalents | $250,852 | $259,038 |
| Trade receivables, net of allowances for doubtful accounts | $228,009 | $221,158 |
| Prepaid expenses and other current assets | $41,786 | $39,132 |
| Total current assets | $520,647 | $519,328 |
| Property, plant and equipment, net | $130,054 | $103,284 |
| Operating lease right-of-use assets, net | $61,089 | $66,908 |
| Goodwill | $511,084 | $516,002 |
| Intangible assets, net | $81,299 | $101,616 |
| Deferred tax assets | $29,714 | $30,920 |
| Other non-current assets | $16,051 | $16,024 |
| Total assets | $1,349,938 | $1,354,082 |
| Liabilities and Stockholder Equity: | ||
| Current liabilities | ||
| Trade payables | $14,860 | $14,662 |
| Accrued expenses | $62,570 | $73,552 |
| Operating lease liabilities, current | $7,349 | $9,057 |
| Income tax liabilities | $1,742 | $3,829 |
| Current portion of finance lease obligations | $13,823 | $6,982 |
| Other current liabilities | $10,693 | $13,481 |
| Total current liabilities | $111,037 | $121,563 |
| Operating lease liabilities, non-current | $72,634 | $77,917 |
| Finance lease obligations | $14,557 | $5,595 |
| Deferred tax liabilities | $11,240 | $11,467 |
| Other non-current liabilities | $7,072 | $6,208 |
| Total liabilities | $216,540 | $222,750 |
| Stockholder equity | ||
| Common stock, $0.001 par value, 1,000,000 shares authorized, 177,293 shares issued and 156,189 shares outstanding as of September 30, 2026; 1,000,000 shares authorized, 176,546 shares issued and 161,900 shares outstanding as of December 31, 2025 | $177 | $177 |
| Additional paid-in capital | $1,082,656 | $1,059,938 |
| Treasury stock, at cost, 21,104 shares and 14,646 shares as of September 30, 2026 and December 31, 2025, respectively | -$297,856 | -$247,982 |
| Retained earnings | $341,121 | $305,864 |
| Accumulated other comprehensive income, net of income taxes | $7,300 | $13,335 |
| Total stockholder equity | $1,133,398 | $1,131,332 |
| Total liabilities and stockholder equity | $1,349,938 | $1,354,082 |
DoubleVerify Holdings, Inc. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (UNAUDITED)
(in thousands)
| Three Months Ended September 30, 2026 | Three Months Ended September 30, 2025 | Nine Months Ended September 30, 2026 | Nine Months Ended September 30, 2025 | |
|---|---|---|---|---|
| Revenue | $205,607 | $188,615 | $580,195 | $542,707 |
| Cost of revenue (excl. depreciation and amortization shown separately below) | $38,545 | $33,465 | $104,044 | $97,557 |
| Product development | $44,475 | $44,842 | $136,690 | $136,753 |
| Sales and marketing | $47,916 | $47,022 | $141,873 | $141,512 |
| General and admin | $28,061 | $26,997 | $80,682 | $83,100 |
| Depreciation and amortization | $18,334 | $15,191 | $50,396 | $42,275 |
| Income from operations | $28,398 | $21,104 | $67,035 | $41,415 |
| Interest expense | $652 | $467 | $1,540 | $1,330 |
| Other (income) expense, net | -$251 | $99 | $1,386 | -$5,185 |
| Income before income taxes | $27,905 | $20,538 | $64,031 | $45,270 |
| Income tax expense | $12,015 | $10,336 | $28,823 | $23,949 |
| Net income | $15,890 | $10,202 | $35,208 | $21,321 |
| Earnings per share | ||||
| Basic | $0.10 | $0.06 | $0.23 | $0.13 |
| Diluted | $0.10 | $0.06 | $0.22 | $0.13 |
| Weighted-average shares used to compute net income per share, basic | 155,765 | 162,012 | 156,569 | 163,256 |
| Diluted | 160,315 | 166,437 | 160,245 | 167,391 |
| Comprehensive income | $15,890 | $10,202 | $35,208 | $21,321 |
| Other comprehensive income | -$1,347 | $839 | -$6,045 | $27,715 |
| Total comprehensive income | $14,543 | $11,041 | $29,163 | $49,036 |
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