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Direct Digital Holdings, Inc. (DRCT) 10-Year Financial Performance & Capital Metrics

DRCT • • Industrial / General
Communication ServicesAdvertising & MarketingDigital Advertising PlatformsProgrammatic Advertising Platforms
AboutDirect Digital Holdings, Inc. operates as an end-to-end full-service programmatic advertising platform. The company's platform primarily focuses on providing advertising technology, data-driven campaign optimization, and other solutions to underserved and less efficient markets on both the buy- and sell-side of the digital advertising ecosystem. It serves various industry verticals, such as travel, healthcare, education, financial services, consumer products, etc. with focus on small- and mid-sized businesses. The company was founded in 2018 and is headquartered in Houston, Texas.Show more
  • Revenue $62M -60.4%
  • EBITDA -$11M -5932.3%
  • Net Income -$6M -184.2%
  • EPS (Diluted) -1.66 -127.4%
  • Gross Margin 27.92% +16.7%
  • EBITDA Margin -17.42% -14809.4%
  • Operating Margin -21.24% -1427.6%
  • Net Margin -10.01% -616.9%
  • ROE -
  • ROIC -53.28% -684.5%
  • Debt/Equity -
  • Interest Coverage -2.45 -390.1%
Technical Analysis

Key Insights

Based on financial data analysis

✓Strengths

  • ✓Momentum leader: RS Rating 98 (top 2%)
  • ✓High quality earnings: Operating CF exceeds net income
  • ✓Strong 5Y sales CAGR of 58.3%
  • ✓Efficient asset utilization: 2.4x turnover

✗Weaknesses

  • ✗Weak Piotroski F-Score: 2/9
  • ✗Negative free cash flow
  • ✗Shares diluted 25.8% in last year
  • ✗Trading more than 30% below 52-week high

* These insights are generated automatically based on available financial data. Please conduct your own research before making investment decisions.

Price & Volume

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Growth Metrics

Revenue CAGR

10Y-
5Y58.27%
3Y17.77%
TTM-62.46%

Profit (Net Income) CAGR

10Y-
5Y-
3Y-
TTM-0.04%

EPS CAGR

10Y-
5Y-
3Y-
TTM-69%

ROCE

10Y Avg-141.07%
5Y Avg-6.1%
3Y Avg-13.64%
Latest-60.8%

Peer Comparison

Programmatic Advertising Platforms
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Sector-Specific
NameMarket CapCurrent PriceP/E RatioRevenue Growth 1YNet MarginROEFCF YieldDebt/Equity
MGNIMagnite, Inc.2.14B14.9093.137.82%8.25%7.17%9.46%0.79
CRTOCriteo S.A.1.05B20.4910.78-0.83%8.71%14.55%17.18%0.10
NEXNNexxen International Ltd.347.81M6.146.0210.09%10.46%8.36%36.6%0.07
DRCTDirect Digital Holdings, Inc.2.12M1.69-1.02-60.35%-26.76%
MNTNMNTN Inc.494.51M11.18-2627.95%-16.47%-16.84%6.59%

Profit & Loss

Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024
Sales/Revenue+6.27M12.48M38.14M89.36M157.11M62.29M
Revenue Growth %-0.99%2.06%1.34%0.76%-0.6%
Cost of Goods Sold+4.54M7.31M19.71M60.04M119.54M44.9M
COGS % of Revenue0.72%0.59%0.52%0.67%0.76%0.72%
Gross Profit+1.73M5.17M18.43M29.32M37.57M17.39M
Gross Margin %0.28%0.41%0.48%0.33%0.24%0.28%
Gross Profit Growth %-1.98%2.56%0.59%0.28%-0.54%
Operating Expenses+2.61M6.02M14.04M21.34M39.76M30.62M
OpEx % of Revenue0.42%0.48%0.37%0.24%0.25%0.49%
Selling, General & Admin2.61M5.18M14.04M21.34M30.93M30.62M
SG&A % of Revenue0.42%0.42%0.37%0.24%0.2%0.49%
Research & Development000000
R&D % of Revenue------
Other Operating Expenses0834.41K008.83M0
Operating Income+-872.47K-844.56K4.38M7.98M-2.19M-13.23M
Operating Margin %-0.14%-0.07%0.11%0.09%-0.01%-0.21%
Operating Income Growth %-0.03%6.19%0.82%-1.27%-5.06%
EBITDA+-787.53K-356.11K6.34M10.1M186K-10.85M
EBITDA Margin %-0.13%-0.03%0.17%0.11%0%-0.17%
EBITDA Growth %-0.55%18.8%0.59%-0.98%-59.32%
D&A (Non-Cash Add-back)0488.45K1.95M2.13M2.37M2.38M
EBIT-787.53K-31.01K1.74M7.72M-1.9M-8.37M
Net Interest Income+-57.1K-865.05K-3.18M-3.23M-4.38M-5.41M
Interest Income000000
Interest Expense57.1K865.05K3.18M3.23M4.38M5.41M
Other Income/Expense27.84K-51.5K-5.83M-3.49M-4.09M-542K
Pretax Income+-844.63K-896.07K-1.44M4.49M-6.28M-13.78M
Pretax Margin %-0.13%-0.07%-0.04%0.05%-0.04%-0.22%
Income Tax+39.14K12.12K63.53K326K568K6.13M
Effective Tax Rate %1.05%1.01%1.04%0.05%0.35%0.45%
Net Income+-883.77K-908.19K-1.51M205K-2.19M-6.24M
Net Margin %-0.14%-0.07%-0.04%0%-0.01%-0.1%
Net Income Growth %--0.03%-0.66%1.14%-11.7%-1.84%
Net Income (Continuing)-883.77K-908.19K-1.51M4.17M-6.84M-19.91M
Discontinued Operations000000
Minority Interest0003.31M-4.22M-14.74M
EPS (Diluted)+-0.32-0.32-0.380.20-0.73-1.66
EPS Growth %-0%-0.19%1.53%-4.65%-1.27%
EPS (Basic)-0.32-0.32-0.380.20-0.73-1.66
Diluted Shares Outstanding2.8M2.8M4M14.7M2.99M3.76M
Basic Shares Outstanding2.8M2.8M4M14.4M2.99M3.76M
Dividend Payout Ratio---8.26%--

Balance Sheet

Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024
Total Current Assets+1.78M6.51M13.78M31.28M43.08M8.54M
Cash & Short-Term Investments882.29K1.61M4.68M4.05M5.12M1.45M
Cash Only882.29K1.61M4.68M4.05M5.12M1.45M
Short-Term Investments000000
Accounts Receivable834.07K4.68M7.87M26.35M37.21M4.97M
Days Sales Outstanding48.55136.8875.33107.6586.4429.14
Inventory000000
Days Inventory Outstanding------
Other Current Assets000883K759K2.12M
Total Non-Current Assets+2.44M24.18M22.22M26.84M27.59M17.47M
Property, Plant & Equipment0001.47M1.39M1.17M
Fixed Asset Turnover---60.71x113.27x53.10x
Goodwill2.42M6.52M6.52M6.52M6.52M6.52M
Intangible Assets017.55M15.59M13.64M11.68M9.73M
Long-Term Investments370.79K00000
Other Non-Current Assets-355.29K115.72K107.66K47K1.87M48K
Total Assets+4.22M30.7M36M58.13M70.67M26.01M
Asset Turnover1.48x0.41x1.06x1.54x2.22x2.40x
Asset Growth %-6.27%0.17%0.61%0.22%-0.63%
Total Current Liabilities+4.12M6.63M9.72M24.57M39.8M13.35M
Accounts Payable3.1M3.26M6.71M17.7M33.93M7.66M
Days Payables Outstanding249.13163.05124.27107.58103.5962.25
Short-Term Debt01.59M620.8K655K1.48M3.7M
Deferred Revenue (Current)41.95K308.68K1000K547K381K507K
Other Current Liabilities80.29K482.44K406.51K3.31M1.07M1.3M
Current Ratio0.43x0.98x1.42x1.27x1.08x0.64x
Quick Ratio0.43x0.98x1.42x1.27x1.08x0.64x
Cash Conversion Cycle------
Total Non-Current Liabilities+1.38M21.69M26.65M27.96M34.55M32.39M
Long-Term Debt1.25M11.78M20.2M23.06M28.58M31.6M
Capital Lease Obligations000745K773K783K
Deferred Tax Liabilities000000
Other Non-Current Liabilities124.37K9.91M6.46M4.15M5.2M0
Total Liabilities5.49M28.33M36.37M52.53M74.35M45.74M
Total Debt+1.25M13.37M20.82M24.56M30.95M36.27M
Net Debt371.11K11.76M16.13M20.51M25.84M34.83M
Debt / Equity-5.65x-4.39x--
Debt / EBITDA--3.28x2.43x166.42x-
Net Debt / EBITDA--2.55x2.03x138.92x-
Interest Coverage-15.28x-0.98x1.38x2.47x-0.50x-2.45x
Total Equity+-1.27M2.37M-374.86K5.59M-3.68M-19.73M
Equity Growth %-2.86%-1.16%15.93%-1.66%-4.36%
Book Value per Share-0.450.85-0.090.38-1.23-5.25
Total Shareholders' Equity-1.27M2.37M-374.86K2.28M543K-4.99M
Common Stock2004.29M4.29M14K14K17K
Retained Earnings-900.25K-1.93M-4.67M-344K-2.54M-8.77M
Treasury Stock000000
Accumulated OCI-370.79K00000
Minority Interest0003.31M-4.22M-14.74M

Cash Flow

Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024
Cash from Operations+210.24K-574.53K3.75M2.13M2.56M-8.65M
Operating CF Margin %0.03%-0.05%0.1%0.02%0.02%-0.14%
Operating CF Growth %--3.73%7.53%-0.43%0.2%-4.38%
Net Income-883.77K-908.19K-1.51M2.92M-6.84M-19.91M
Depreciation & Amortization0488.45K1.95M2.12M2.37M2.38M
Stock-Based Compensation000153.78K706K1.55M
Deferred Taxes000105.43K568K6.13M
Other Non-Cash Items30.69K-488.82K3.38M803.69K1.01M-2.96M
Working Capital Changes1.06M334.03K-75.65K-3.98M4.75M4.15M
Change in Receivables390.99K737.55K-3.28M-17.18M-11.28M31.61M
Change in Inventory281.34K603.74K-1.28M000
Change in Payables352.21K-516.69K3.45M10.97M16.23M-26.27M
Cash from Investing+0-10.99M0-687.96K-178K-17K
Capital Expenditures000-687.96K-178K-17K
CapEx % of Revenue---0.01%0%0%
Acquisitions------
Investments------
Other Investing000-707.44K00
Cash from Financing+43K12.29M-678.72K-2.08M-1.31M4.99M
Debt Issued (Net)------
Equity Issued (Net)------
Dividends Paid-22K-117.51K-1.24M-1.69M-3.19M0
Share Repurchases------
Other Financing-312.29K-887.03K-358.98K-2.28M-3.96M-979K
Net Change in Cash------
Free Cash Flow+210.24K-574.53K3.75M1.44M2.38M-8.66M
FCF Margin %0.03%-0.05%0.1%0.02%0.02%-0.14%
FCF Growth %--3.73%7.53%-0.62%0.65%-4.64%
FCF per Share0.08-0.210.940.100.80-2.31
FCF Conversion (FCF/Net Income)-0.24x0.63x-2.49x10.38x-1.17x1.39x
Interest Paid31.73K620.47K3.11M2.57M3.74M4.3M
Taxes Paid39.14K12.12K14.88K47K361K388K

Key Ratios

Metric201920202021202220232024
Return on Equity (ROE)--165.51%-151.21%7.85%-229.38%-
Return on Invested Capital (ROIC)--9.58%22.01%28.59%-6.79%-53.28%
Gross Margin27.66%41.45%48.32%32.81%23.92%27.92%
Net Margin-14.09%-7.28%-3.95%0.23%-1.4%-10.01%
Debt / Equity-5.65x-4.39x--
Interest Coverage-15.28x-0.98x1.38x2.47x-0.50x-2.45x
FCF Conversion-0.24x0.63x-2.49x10.38x-1.17x1.39x
Revenue Growth-98.97%205.64%134.31%75.82%-60.35%

Revenue by Segment

202220232024
Sell-side advertising49.6M105.73M34.06M
Sell-side advertising Growth-113.18%-67.78%
Buy-side advertising10.44M13.8M10.83M
Buy-side advertising Growth-32.23%-21.51%

Frequently Asked Questions

Growth & Financials

Direct Digital Holdings, Inc. (DRCT) reported $35.4M in revenue for fiscal year 2024. This represents a 464% increase from $6.3M in 2019.

Direct Digital Holdings, Inc. (DRCT) saw revenue decline by 60.4% over the past year.

Direct Digital Holdings, Inc. (DRCT) reported a net loss of $9.5M for fiscal year 2024.

Dividend & Returns

Direct Digital Holdings, Inc. (DRCT) had negative free cash flow of $8.6M in fiscal year 2024, likely due to heavy capital investments.

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