Doubleverify Holdings, Inc. · NYSE:DV
Doubleverify — Investor Day (February 2022)
103 slides from Doubleverify's investor day presentation, Feb 25, 2022
Slide 1: Investor Day 2022
INVESTOR DAY 2022 February 25 1
Slide 2: Disclaimer
Disclaimer This presentation contains “forward-looking statements” that are based on management’s beliefs and assumptions and on information currently available to management. These forward- looking statements include, but are not limited to, statements about our plans, objectives, expectations and
Slide 3: Agenda
Agenda Vision Execution Performance Perspective End Game MARK ZAGORSKI, CEO JACK SMITH, CPO NICOLA ALLAIS, CFO HELEN LIN, PUBLICIS MARK ZAGORSKI, CEO DAN SLIVJANOVSKI, CMO JULIE EDDLEMAN, CCO JON HALVORSON, MONDELĒZ 3
Slide 4: Vision
DV | DoubleVerify VISION Mark Zagorski, CEO
Slide 5: Vision: make the digital advertising ecosystem stronger, safer and more secure
VISION to make the digital advertising ecosystem STRONGER, SAFER AND MORE SECURE 5
Slide 6: Mission
MISSION to develop independent media quality and performance solutions that drive BETTER OUTCOMES FOR ADVERTISERS 6
Slide 7: Industry disruption is challenging measurement and the ability to drive outcomes
Industry disruption is challenging measurement and the ability to drive outcomes 7
Slide 8: Single Media Measurement Always Challenged
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Single Media Measurement Always Challenged Advertiser Outcomes TIME-SHIFTED VIEWING MULTI-MEDIA EXPOSURE NON-LINEAR ENGAGEMENT PANEL INACCURACIES Single Media Measurement 8
Slide 9: Additional Disruptions Have Reduced Their Efficacy
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Additional Disruptions Have Reduced Their Efficacy Advertiser Time-shifted Viewing Panel Inaccuracies Outcomes Cookie Deprecation GDPR/CCPA Accreditation Point Solutions Data TIME-SHIFTED VIEWING Fraud Omni-channel Tracking Validation MULTI-MEDIA Br
Slide 10: Disruptions Challenge Media Measurement
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS PROSPECTS Disruptions Challenge Media Measurement VISION Fragmentation Identity Trust MORE TO MEASURE PRIVACY & POLICIES FRAUD & TRANSPARENCY 10
Slide 11: DV Solutions Maximize Advertiser Outcomes
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS DV Solutions Maximize Advertiser Outcomes Safety Quality Performance Audience Advertiser Time-shifted Viewing Outcomes Non-linear Engagement Panel Inaccuracies Cookie Deprecation GDPR/CCPA Data Accreditation Fraud Omni-channel Tracking Validation Br
Slide 12: DV Solutions Maximize Advertiser Outcomes
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS DV Solutions Maximize Advertiser Outcomes For every Impression, across multiple media, on Leveraging our core data, we can extend into… every device and in every geo – DV provides… Inventory Safety Quality Performance Audience Outcomes • Reach Verif
Slide 13: DV's Partnership with Comscore
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS DV’s Partnership with Comscore PROSPECTS QUALITY & SAFETY DATA AUDIENCE DATA AUDIENCE DATA • Fraud • Audience size • Brand Safety • Demographic composition • Viewability and Geography • Engagement INDUSTRY FIRST CROSS PLATFORM AUDIENCE & VERIFICATIO
Slide 14: DV is in a unique position to solve measurement challenges
DV is in a unique position to solve measurement challenges 14
Slide 15: Fragmentation Identity Trust
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS PROSPECTS VISION Fragmentation Identity Trust More to Measure Privacy and Policies Fraud and Transparency Cross Platform Identifier Identifier Independent Objectivity Accreditation Scale Independent Innovation Trust INNOVATION 15
Slide 16: Cross Platform Scale
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS PROSPECTS Cross Platform Scale 4.5T MEDIA TRANSACTIONS VERIFY EVERYWHERE 215B APPROXIMATE DAILY DATA MEASURED IN 2021 TRANSACTIONS PROCESSED IN 2021 215BN Daily Transactions Processed1 Data transactions processed 100BN Messages 300K 1.6M 1BN 3.2BN 5
Slide 17: Privacy-Friendly Innovation
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS PROSPECTS Privacy-Friendly Innovation COOKIE FREE, IDENTIFIER INDEPENDENT Context at our Core CERTIFIED PRIVACY ASIA-PACIFIC ECONOMIC COOPERATION (APEC) INTERNATIONAL PRIVACY VERIFICATION (IPV) PRIVACY RECOGNITION FOR PROCESSORS (PRP) CROSS BORDER P
Slide 18: A Trusted and Unbiased Partner
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS PROSPECTS A Trusted and Unbiased Partner Comprehensive suite of accredited products with more LEADING than 250 MRC accredited metrics across multiple environments. Only large-scale ad verification company with INDEPENDENT complete independence with
Slide 19: Only Measurement Platform Positioned to Address Key Measurement Issues
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Only Measurement Platform Positioned toPROSPECTS Address Key Measurement Issues 1 2 3 Privacy-Friendly ID Accreditations & Cross Platform Scale Independence Innovation Other verification companies Multi-media measurement companies Single-media measu
Slide 20: DV's ability to drive better outcomes supercharged with pre-campaign activation
DV’s unique ability to drive better outcomes is supercharged with pre-campaign activation solutions 20
Slide 21: From Measurement to Activation: Product Roadmap Evolution
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS PROSPECTS From Measurement to Activation: How DV’s Product Roadmap Has Evolved Post-campaign Measurement Pre-campaign Activation Post-bid Monitoring and Blocking Planning, Pre-bid Targeting and Avoidance Brand Safety, Geo DV Brand Safety 1.0 Fraud,
Slide 22: DV Drives Outcome Optimization
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS DV Drives Outcome Optimization OPEN INTERNET PRE-CAMPAIGN POST-CAMPAIGN ACTIVATION MEASUREMENT STANDARD VERIFICATION AUTHENTIC BRAND SUITABILITY DV CUSTOM CONTEXTUALTM LEARNING & OPTIMIZATION 22
Slide 23: DV Continues to Advance into Performance: OpenSlate Acquisition
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS PROSPECTS DV Continues to Advance into Performance: OpenSlate Acquisition Post-campaign Measurement Pre-campaign Activation Post-bid Monitoring and Blocking Planning, Pre-bid Targeting and Avoidance Brand Safety, Geo Brand Safety Fraud, Viewability,
Slide 24: DV Drives Outcome Optimization
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS DV Drives Outcome Optimization WALLED GARDENS PRE-CAMPAIGN POST-CAMPAIGN ACTIVATION MEASUREMENT MEDIA PLANNING & ACTIVATION LEARNING & OPTIMIZATION 24
Slide 25: DV is essential in driving outcomes
DV is essential in driving outcomes 25
Slide 26: As a result, DV is growing faster…
As a result, DV is growing faster… 26
Slide 27: DV Growing Faster than Digital Ad Spend
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS DV Growing Faster than Digital Ad Spend DV Total Revenue Growth (E) +36% 36% $183M +34% $244M $333M 30% 2021 vs. 2020 GLOBAL DIGITAL ADVERTISING GROWTH 2019 2020 2021 Year over Year Growth % 2020 2021E Global Digital Advertising (ex-Search)1 13% 30%
Slide 28: DV Growing Faster than Programmatic
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS DV Growing Faster than Programmatic DV Programmatic Revenue Growth (E) +45% 45% +39% $116M $168M 23% $83M GLOBAL PROG AD SPEND 2021 vs. 2020 GROWTH 2019 2020 2021 Year over Year Growth % 2020 2021E Global Programmatic Ad Spend1 15% 23% 39% 45% 1.Mag
Slide 29: DV Growing Faster than Social
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS PROSPECTS DV Growing Faster than Social DV Social Revenue Growth (E) 47% +47% $45M +34% $31M 35% 2021 vs. 2020 GLOBAL SOCIAL AD SPEND GROWTH $23M 2019 2020 2021 Year over Year Growth % 2020 2021E Global Social Ad Spend1 20% 35% 34% 47% 1.Magna Globa
Slide 30: DV Growing Faster than CTV
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS PROSPECTS DV Growing Faster than CTV DV CTV Impression Volume (MTM)E 57% +57% 69B +76% 44B 29% 2021 vs. 2020 GLOBAL CTV AD REVENUE GROWTH 25B 2019 2020 2021 Year over Year Growth % 2020 2021E CTV Ad Spend (Global) 18% 29% MTM 76% 57% 1.GroupM, Decem
Slide 31: DV Growing Faster than Peers
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS PROSPECTS DV Growing Faster than Peers Year over Year Revenue Growth Relative to Select Software and Ad Tech Peers1 Trailing Twelve Months Ended 09.30.2021 53% 37% 32% 32% 31% 31% 29% 21% 18% 10% The Trade Desk DoubleVerify Dynatrace Integral AdScie
Slide 32: With a runway for future growth
With a runway for future growth 32
Slide 33: DV's Long-Term Growth Drivers
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS PROSPECTS DV’s Long-Term Growth Drivers VISION Strategic + M&A International Current & New Expansion Channel Client Growth / New Product Expansion Acquisition Introduction & Evolution 33
Slide 34: Large Product Cross-Sell and Up-Sell Opportunity
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Large Product Cross-Sell and Up-Sell NEW PRODUCT INTRO & EVOLUTION Opportunity Revenue Multipliers Based on Product Pricing 10.3x Customer Lifetime Revenue can grow 5.7x exponentially 2.6x 1.8x 1x Post Campaign Social Core Programmatic Authentic Aut
Slide 35: Large Channel and International Growth Opportunity
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS PROSPECTS Large Channel and International Growth Opportunity SOCIAL CHANNEL EXPANSION CTV INTERNATIONAL EXPANSION INTL of 2021 Digital of 2021 Digital 60% Advertising Spend (Ex-Search)1 8% of 2021 Digital Advertising Spend2 52% Advertising Spend (Ex
Slide 36: Large Customer Growth Opportunity
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS PROSPECTS + Large Customer Growth Opportunity CURRENT & NEW CLIENT GROWTH VISION 58% 700 42% NOT TOP GLOBAL COVERED COVERED ADVERTISERS1 WITH ROOM TO GROW New Logo Win Cross-Sell and Upsell Opportunity Opportunity 12% 88% $$$ 39% 61% REVENUE GROWTH
Slide 37: Potential External Growth Opportunities
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS STRATEGIC Potential External Growth Opportunities M&A $73M $222M $0M 2021 NET CASH FROM CASH BALANCE LONG-TERM OPERATING ACTIVITIES AT YEAR END 2021 DEBT LESS CAPEX ACQUISITION STRATEGY INTERNATIONAL PRODUCT/ TECHNOLOGY PRODUCT /TECHNOLOGY EXPANSION
Slide 38: DV Positioned to Create Long-Term Stakeholder Value
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS PROSPECTS DV Positioned to Create Long-Term Stakeholder Value EBITDA GROWTH PRODUCT CHANNELS STAKEHOLDER CLIENTS VALUE CREATION INTERNATIONAL REVENUE FREE CASH FLOW M&A GROWTH GROWTH REINVESTMENT IN GROWTH 38
Slide 39: DV solves measurement challenges and maximizes advertising outcomes
DV solves measurement challenges and maximizes advertising outcomes resulting in exceptional growth that drives stakeholder value 39
Slide 40: Execution
EXECUTION Jack Smith, Chief Product Officer 40
Slide 41: Execution Drives Results
SCALE We verify everywhere Execution Drives INNOVATION Results We leverage existing assets to create must-have products TRUST We remain independent and accredited 41 1
Slide 42: The Three Pillars that Drive Execution
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS The Three Pillars that Drive Execution SCALE INNOVATION TRUST Verify everywhere Leverage existing assets Independent and accredited 42
Slide 43: We Verify Everywhere
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS We Verify Everywhere PLATFORMS FORMATS DEVICES CONTENT TYPE VISION Display Social PRICE Video Direct Desktop / Laptop Programmatic CTV Video Embed 33% MARGIN Mobile Web Page Application Every impression, on every platform, in any media, across any m
Slide 44: Verify Everywhere Matters to Advertisers
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Verify Everywhere Matters to Advertisers VISION PRICE 33% MARGIN We provide brands the tools and data to consistently address media quality across the entirety of their media plan 44
Slide 45: Verify Everywhere Reinforces Growth
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Verify Everywhere Reinforces Growth VISION Greater DSP & Social and CTV platform Every impression, every platform, any integration coverage, greater process media, all markets globally Greater Verify interoperability PRICE Integrations Everywhere By
Slide 46: Verify Everywhere Allows Data Interoperability
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Verify Everywhere Allows Data Interoperability Service VISION Pillars Perf. Fraud Buying Inter- Service mediary Monitor Channel Types Brand PRICE View. Safety PMP Blocking Direct Program Plan Avoid • Post- Complex ecosystem Bid Native DV originates
Slide 47: Verify Everywhere Results in Industry-Leading Scale
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Verify Everywhere Results in Industry-Leading Scale 215B 4.5T APPROXIMATE DAILY DATA MEDIA TRANSACTIONS TRANSACTIONS PROCESSED IN MEASURED (MTM) IN 2021 2021 47
Slide 48: DV's Top Ranking Scale
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS DV’s Top Ranking Scale Rank Domain Category 1 tiktok.com Entertainment 2 google.com Technology 3 facebook.com Society & Lifestyle 4 microsoft.com Business & Economy 15 th 5 6 apple.com amazon.com Technology Shopping & Auctions 7 Netflix.com Entertai
Slide 49: We've Created Core Assets…
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS We’ve Created Core Assets… Scale Quality EXISTING TECHNOLOGY, A SINGLE METRIC THAT IS THE CUSTOMER RELATIONSHIPS BASIS FOR MEASURING AND INTEGRATIONS PERFORMANCE 49
Slide 50: …To Create New Solutions
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS …To Create New Solutions Scale Quality Existing technology, Universal MRC-accredited customer relationships and single metric to determine integrations ad quality 50
Slide 51: DV Authentic Attention
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS DV Authentic Attention EXPOSURE + = ENGAGEMENT DV Authentic Ad™ Exposure & Engagement DV Authentic AttentionTM The foundation of media quality The data behind attention, building on the The New Standard for Media Quality DV Authentic AdTM and Perfor
Slide 52: Successful Early Rollout for Authentic Attention
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Successful Early Rollout for Authentic Attention 40 49 Currently testing Impressions or using the measured each product month for benchmarking CLIENTS BILLION Benchmarks are 1400+ CAMPAIGNS 10 VERTICALS available across all DV and 10 industry vertic
Slide 53: DV Authentic Attention's Built-In Go-to-Market
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS DV Authentic Attention’s Built-In Go-to-Market CORE AUTHENTIC BRAND SUITABILITY PROGRAMMATIC 89% ACTIVATION OF TOP 100 CUSTOMERS AUTHENTIC ATTENTION 100% ACCESS TO ALL CUSTOMERS TESTING GENERAL AVAILABILITY UBIQUITY 53
Slide 54: 2021: A Year in Review
VISION EXECUTION EXECUTION PERFORMANCE PERFORMANCE PERSPECTIVE PERSPECTIVE PROSPECTS PROSPECTS 2021: A Year in Review Q1 2021 Q2 2021 Q3 2021 Q4 2021 DV Authentic Authentic Brand ABS launches CTV Targeting CTV App Brand Custom DV Authentic ABS launches Data API Attention™ GA Suitability (ABS) on Qua
Slide 55: Our Products Meaningfully Lead The Industry
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Our Products Meaningfully Lead The Industry First verification provider First brand safety offering First verification company to — we pioneered the industry to perfectly align pre and post-bid align product functionality with settings with Authenti
Slide 56: Early and Comprehensive Suite of Accreditations
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS TRUST Early and Comprehensive Suite of Accreditations Primary Competitors Point Solution Providers VISION MRC Measurement Accreditations Impression Counting – Display & Video Impression Counting – Facebook PRICE Impression Counting – CTV Ad Viewabil
Slide 57: DV Product Strategy
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS DV Product Strategy SCALE INNOVATION TRUST Verify everywhere Leverage existing assets Independent and accredited 57
Slide 58: DV Product Focus 2022
VISION EXECUTION EXECUTION PERFORMANCE PERFORMANCE PERSPECTIVE PERSPECTIVE PROSPECTS PROSPECTS DV Product Focus 2022 Social Pre-Campaign Social Platform Sector Activation Expansion Expansion Scale AUDIO & GAMING CTV Releases Innovation Gaining even greater leadership in accreditations and Trust cont
Slide 59: Product Demos
PRODUCT DEMOS Dan Slivjanovski, Chief Marketing Officer 59
Slide 60: Platform and Product Architecture
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Platform and Product Architecture BUSINESS LINES PROGRAMMATIC DIRECT SUPPLY - SIDE SERVICE ACTIVATION MEASUREMENT PUB & PLATFORM USER INTERFACE STANDARD VERIFICATION DV AUTHENTIC AD TM NETWORK WIDE VERIFICATION SERVICES PRODUCTS AUTHENTIC BRAND SUIT
Slide 61: Authentic Attention
AUTHENTIC ATTENTION:
Slide 62: OpenSlate
OpenSlate
Slide 63: Intro to Programmatic Analytics
Intro to Programmatic Analytics 63
Slide 64: DV's Products Produce Superior Results
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS DV’s Products Produce Superior Results In 2021, DV won 80 % 80% of all RFPs that we participated in RFP WIN RATE 64
Slide 65: Performance
PERFORMANCE Nicola Allais, CFO 65
Slide 66: Financial Overview
Q4 & FY 2021 Results ESTIMATED AND UNAUDITED FINANCIALS Business Drivers and KPIs Financial Overview Nicola Allais, CFO FY & Q1 2022 Guidance Revenue Model Definitions 66 1
Slide 67: Strong Fourth Quarter Results
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Strong Fourth Quarter Results VISION Total Revenue Growth (ESTIMATED) Adj. EBITDA Growth and Margin1 (ESTIMATED) +34% +46% year-over-year year-over-year growth growth $106M $40M $79M $28M 38% MARGIN 35% MARGIN Q4 2020 Q4 2021E Q4 2020 Q4 2021E 1. Se
Slide 68: Strong FY 2021 Results
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Strong FY 2021 Results VISION Total Revenue Growth (ESTIMATED) Adj. EBITDA Growth and Margin1 (ESTIMATED) +36% +50% year-over-year year-over-year growth growth $333M $110M $244M $73M 33% MARGIN 30% MARGIN 2020 2021E 2020 2021E 1. See Appendix for re
Slide 69: Volume Driven Revenue Growth
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Volume Driven Revenue Growth VISION Media Transactions Measured (MTM) Measured Transaction Fees (MTF) +37% +2% CAGR CAGR 4.5T $0.070 $0.067 $0.064 3.2T 2.4T 2019 2020 2021E 2019 2020 2021E 69
Slide 70: Strong Revenue Track Record
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Strong Revenue Track Record VISION Total Revenue Growth Trajectory (ESTIMATED) $ MILLIONS +36% $333 year-over-year growth +34% year-over-year $244 growth Q4’21 +75% $183 > year-over-year FY’18 growth 33% MARGIN $106 $104 $79 $77 $83 $61 $68 $58 $51
Slide 71: Visible and Sticky Revenue Base
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Visible and Sticky Revenue Base VISION Net Revenue Retention (NRR) Gross Revenue Retention (GRR) 126% 98% 156% 2021E 2021E 131% 126% 123% 98% 98% 97% 98% 2018 2019 2020 2021E 2018 2019 2020 2021 1 In-year revenue from prior year existing customers /
Slide 72: Strong EBITDA Track Record
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Strong EBITDA Track Record VISION Adjusted EBITDA Trajectory and % Margin1 $ MILLIONS (ESTIMATED) 25% 38% 30% 33% $110 Q4’21 $73 > $69 FY’18 $40 $27 $28 $26 $22 $22 $21 $17 $18 $15 $16 $15 $12 FY'18 Q1'19 Q2'19 Q3'19 Q4'19 FY'19 Q1'20 Q2'20 Q3'20 Q4
Slide 73: Continuing to Invest in Growth
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Continuing to Invest in Growth VISION Full-time Employees Cost % of Revenue Cost of Sales and Non GAAP Operating Expenses as % of Revenue (ESTIMATED) >800 810 Cost of Sales Non GAAP OpEx EMPLOYEES 57% TODAY 55% 51% 599 49% 447 293 18% 15% 16% 14% YE
Slide 74: Strong Cash Flow Generation
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Strong Cash Flow Generation VISION Net Cash from Operating Activities Net Cash from Operating Activities Less Capex (ESTIMATED) (ESTIMATED) 4x 6x YOY INCREASE YOY INCREASE $83M $73M $21M $11M 2020 2021E 2020 2021E 74
Slide 75: Balance Sheet and Capital Allocation
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Balance Sheet and Capital Allocation $73M $222M $0M 2021 NET CASH FROM CASH BALANCE LONG-TERM OPERATING ACTIVITIES AT YEAR END 2021 DEBT LESS CAPEX ACQUISITION STRATEGY INTERNATIONAL PRODUCT/ TECHNOLOGY PRODUCT /TECHNOLOGY EXPANSION EXTENSIONS ADJAC
Slide 76: FY 2022 Guidance
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS FY 2022 Guidance VISION LOW MID HIGH REVENUE +30% $429M $433M $437M YOY GROWTH AT MIDPOINT LOW MID HIGH ADJUSTED EBITDA 30% $126M $130M $134M ADJ. EBITDA MARGIN AT MIDPOINT 76
Slide 77: Q1 2022 Guidance
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Q1 2022 Guidance VISION LOW MID HIGH REVENUE +33% $89M $90M $91M YOY GROWTH AT MIDPOINT LOW MID HIGH ADJUSTED EBITDA 24% $21M $22M $23M ADJ. EBITDA MARGIN AT MIDPOINT 77
Slide 78: Continue to Expect Volume Led Growth
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Continue to Expect Volume Led Growth VISION Media Transactions Measured (MTM) Measured Transaction Fees (MTF) Key Drivers Key Drivers SOCIAL/CTV PREMIUM PRODUCTS GLOBAL GLOBAL EXPANSION EXPANSION 78
Slide 79: Revenue Model
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Revenue Model % OF DV REVENUE (ESTIMATED) 91% 9% PLATFORMS & CUSTOMERS ADVERTISERS PUBLISHERS ACTIVATION MEASUREMENT SUPPLY-SIDE PRODUCTS PRE-CAMPAIGN POST-CAMPAIGN • Programmatic • Direct • Platforms INTEGRATIONS • Social and CTV • Social and CTV •
Slide 80: Strong Financial Profile
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Strong Financial Profile 2021 Estimate EXCELLENT ATTRACTIVE RAPID GROWTH HIGH STRONG CUSTOMER COHORT AT SCALE PROFITABILITY BALANCE SHEET RETENTION ECONOMICS $333M Revenue $110M Adj. EBITDA $222M Cash on Hand 36% 100% 126 % 33% 0 YOY REVENUE RETENTI
Slide 81: Q&A
IDV DoubleVerify Q&A 81
Slide 82: Customer KPIs
CUSTOMER KPIs Julie Eddleman, Chief Commercial Officer 82
Slide 83: Long Standing Customer Relationships
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Long Standing Customer Relationships VISION Top Customer Tenure (YEARS) 8.2 7.4 6.9 Top 75 Top 50 Top 25 83
Slide 84: Strong Growth in Average Revenue Per Customer
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Strong Growth in Average Revenue Per Customer VISION Annual Revenue Per Customer ($ MILLIONS) $2.2 >3x $1.8 INCREASE FROM 2018 - 2021 $1.1 $0.7 2018 2019 2020 2021E 1. Average revenue for Top 100 customers in each fiscal year. 84
Slide 85: CPG – Geographical Expansion
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS CPG – Geographical Expansion INTERNATIONAL EXPANSION 3x 2018 – 2021 $7.9 $7.0 $5.2 $2.5 ($ MILLIONS) 2018 2019 2020 2021 85
Slide 86: Telecom – Product Cross-Sell and Up-Sell
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Telecom – Product Cross-Sell and Up-Sell NEW PRODUCT INTRO & EVOLUTION 4x $17.6 2018 – 2021 $11.9 $6.5 $4.5 ($ MILLIONS) 2018 2019 2020 2021 86
Slide 87: Financial Services – Line of Business Expansion
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS + Financial Services – Line of Business Expansion CURRENT & NEW CLIENT GROWTH 9x $6.6 2018 – 2021 $2.7 $1.5 $0.7 ($ MILLIONS) 2018 2019 2020 2021 87
Slide 88: Growing Number of Large Revenue Contributors
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Growing Number of Large Revenue Contributors VISION Number of Customers with > $1M Revenue Contribution 64 42% INCREASE FROM 45 2020 - 2021 41 25 2018 2019 2020 2021E 1. Data as of year-end 2021. 88
Slide 89: Well Diversified Client Base
VISION EXECUTION PERFORMANCE PERSPECTIVE PROSPECTS Well Diversified Client Base VISION 2021 Revenue Mix1 Public Restaurants 2% Travel 3% Sector 2% Entertainment 3% Automotive 6% CPG 20% Diversification reduces No single vertical is spend variability on Pharma 8% more than 20% any unique customer or
Slide 90: Perspectives
PERSPECTIVES Helen Lin, Chief Digital Officer, Publicis Jon Halvorson, SVP Consumer Experience and Digital Commerce, Mondelēz 90
Slide 91: End Game
END GAME Mark Zagorski, CEO 91
Slide 92: Vision Execution Performance
VISION EXECUTION PERFORMANCE PERSPECTIVE END GAME PROSPECTS Vision Execution Performance Perspective VISION Service Pillars Net Revenue Retention (NRR) Top Customer Tenure Perf. Fraud Buying Inter- Service 8.2 Fragmentation Identity Trust Monitor Channel mediary PRICE Types (YEARS) 126% Brand View.
Slide 93: DV breaks through measurement disruptions positioning us as a clear winner
DV breaks through measurement disruptions positioning us as a clear winner in the drive to deliver better advertising outcomes 93
Slide 94: DV's innovation driven leadership position has made us essential
DV’s innovation driven, expanding leadership position has made us essential to the world’s biggest brands 94
Slide 95: The World's Largest Brands Rely on DV
VISION EXECUTION PERFORMANCE PERSPECTIVE END GAME PROSPECTS The World’s Largest Brands Rely on DV 176 NEW CLIENT WINS IN 2021 61% 39% GREENFIELD COMPETITIVE WINS 95
Slide 96: DV's exceptional client value proposition has delivered market-leading growth
DV’s exceptional client value proposition has delivered market-leading growth 96
Slide 97: And created a flywheel that will continue to drive success
And created a flywheel that will continue to drive success into the future 97
Slide 98: DV Positioned to Create Long-Term Stakeholder Value
VISION EXECUTION PERFORMANCE PERSPECTIVE END GAME PROSPECTS DV Positioned to Create Long-Term Stakeholder Value EBITDA GROWTH PRODUCT CHANNELS STAKEHOLDER CLIENTS VALUE CREATION INTERNATIONAL REVENUE FREE CASH FLOW M&A GROWTH GROWTH REINVESTMENT IN GROWTH 98
Slide 99: Maximizing value for all of our stakeholders
Maximizing value for all of our stakeholders 99
Slide 100: Thank you.
Thank you. [D\V DoubleVerify 100
Slide 101: Appendix
Appendix 101
Slide 102: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation ($mm) 2018 2019 2020 2021E Net Income $3.2 $23.3 $20.5 $29.3 Depreciation and amortization 18.6 21.8 24.6 30.3 Stock-Based compensation 1.4 1.7 20.5 21.9 Interest expense 3.1 5.2 4.9 1.2 Income tax (benefit) expense (1.2) 12.1 (3.1) (3.5) M&A and restructuring costs (
Slide 103: Non-GAAP Financial Measures Reconciliation
Non-GAAP Financial Measures Reconciliation a) M&A costs for the year ended December 31, 2021 consist of transaction and integration costs related to the acquisition of Meetrics and OpenSlate as well as associated restructuring costs and related activities. M&A costs for the year ended December 31, 2