DoubleVerify Holdings Inc at KeyBanc Capital Markets Emerging Technology Summit Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Justin Patterson - KeyBanc Capital Markets - Analyst : Awesome. Thanks for that. So going back to the last quarterly conference call, you characterized 2025 as a transition year. It's certainly not been a boring world and social and ads act to say the least. So talk about just the transition that the company is going through right now.

Question: Justin Patterson - KeyBanc Capital Markets - Analyst : Great. So I want to come back to those points, product and just growth opportunities going forward. But before that, Nicola, I was hoping you could talk about just some of the customer transitions you're seeing right now. There's a cohort of 6 that had some spending challenges last year. There was a large customer that recently just suspended service. How should we think about the headwinds of that? And then putting those businesses aside, what's the core actually growing, ex those headwinds?

Question: Justin Patterson - KeyBanc Capital Markets - Analyst : Got it. So stepping back for a second, it's fun to have this conversation the day after the State of the Union Address. I think to say the least, the idea of what constitutes brand safe post-election is a very fluid topic. How has your conversation with advertisers really changed over the past couple of months? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. MARCH 05, 2025 / 5:00PM, DV.N - DoubleVerify Holdings Inc at KeyBanc Capital Markets Emerging Technology Summit

Question: Justin Patterson - KeyBanc Capital Markets - Analyst : So you've mentioned social a couple of times now. Could you provide an update on just where you are with Meta and really how that's driving some of these conversations with both the CPGs and these performance-centric advertisers?

Question: Justin Patterson - KeyBanc Capital Markets - Analyst : So to put a finer point on that, I mean, 700 customers, that's a very big upsell opportunity. How should we think about just the sales effort to really get these people over the top and using the solution? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. MARCH 05, 2025 / 5:00PM, DV.N - DoubleVerify Holdings Inc at KeyBanc Capital Markets Emerging Technology Summit

Question: Justin Patterson - KeyBanc Capital Markets - Analyst : Got it. So stepping back to another product you mentioned earlier, the Rockerbox acquisition. Could you talk a little bit more about just what attracted you to this asset and how that fits in the broader portfolio?

Question: Justin Patterson - KeyBanc Capital Markets - Analyst : For sure. And that definitely matters for CPGs as they're trying to drive volumes right now. But I like the way you characterized that journey with Rockerbox, since I believe Scibids had that same evolution. Initially a partnership and then you did the tuck-in acquisition. At the time, the thesis with Scibids was this was really going to be the next evolution of the ABS product. So I'd love to hear just an update on how that progression is going and how you're thinking about that opportunity ahead.

Question: Justin Patterson - KeyBanc Capital Markets - Analyst : Since you mentioned winning enterprise deals within there, there was quite the jump ball last year with Oracle shutting down its business mode and then just a lot of competition for that customer base. Any updates on just what you saw from that period and how we should think about that moat opportunity ahead?

Question: Justin Patterson - KeyBanc Capital Markets - Analyst : You are quite official with the analogies today. Polygamy, dogs?

Question: Justin Patterson - KeyBanc Capital Markets - Analyst : We're keeping it brand safe this morning.

Question: Justin Patterson - KeyBanc Capital Markets - Analyst : Got it. So two more from me before I open it up from the audience. CTV, that's your background mark. You've got a lot of success there. We've talked a lot about social, but CTV not so much. So we are starting to see price deflation, starting to see more companies open up toward programmatic inventory. How does that change the opportunity set for you going forward?

Question: Justin Patterson - KeyBanc Capital Markets - Analyst : Got it. So bringing this back to financial terms with Nicola. We've talked about the headwinds in there. You've got a lot of irons in the fire on the growth side. Prior to this transition period, you were a very consistent 20% topline grower with 30% margins. How should we think about just what the business looks like as you move out of this transition period and these growth investments start yielding results again? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. MARCH 05, 2025 / 5:00PM, DV.N - DoubleVerify Holdings Inc at KeyBanc Capital Markets Emerging Technology Summit

Question: Justin Patterson - KeyBanc Capital Markets - Analyst : Got it. And could you put a finer point on just where AI is driving those efficiencies, whether it's on the topline or within the cost structure?

Question: Justin Patterson - KeyBanc Capital Markets - Analyst : Got it. All right. I think we have time for one or two from the audience. All right. Quiet room. So M&A. I mean, you've mentioned having this partnership and then marry philosophy. Just stuck me with polygamy, man. But how do you think about the pipeline of M&A opportunities going forward?

Question: Justin Patterson - KeyBanc Capital Markets - Analyst : Got it. And thinking about just competitive dynamics in the industry. Are you observing any changes in competitive intensity these days? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. MARCH 05, 2025 / 5:00PM, DV.N - DoubleVerify Holdings Inc at KeyBanc Capital Markets Emerging Technology Summit

Question: Justin Patterson - KeyBanc Capital Markets - Analyst : I'm not sure that's better, Mark. But maybe to round out, it's a highly theoretical question but I think it's interesting for the time we're in. We'll have Jeff Green on stage later. I'm sure he'll talk about supply chain efficiency. The Google DOJ decision should be imminent sometime. So let's dream the dream. If we have a more efficient programmatic supply chain, and Google has to divest supply assets, that theoretically takes some inefficiency out of that is probably good for volume. What does the world look like for DoubleVerify there?

Question: Justin Patterson - KeyBanc Capital Markets - Analyst : Justin Patterson KeyBanc Capital Markets Inc. Measure all the things, marry all the things, it works.

Question: Justin Patterson - KeyBanc Capital Markets - Analyst : Awesome. Thanks so much, Mark and Nicola. Pleasure as always.