Cash generation remains highly seasonal, with free cash flow margins swinging from 9.7% in 2024Q2 to a peak of 40.5% in 2026Q1, while aggressive share repurchases of $422.9 million in 2025Q4 help mitigate dilution.
| Cash from Operations | 1.09B | 992.72M | 739.46M | 598.32M | 548.73M | 378.51M | 405.07M | 60.2M | 86.6M | 31.22M | 75.03M | -36.56M | -14.85M |
| Operating CF Margin % | - | 34.28% | 30.25% | 30.74% | 34.78% | 31.64% | 48.45% | 9.11% | 18.14% | 10.13% | 36.97% | -32.12% | -33.32% |
| Operating CF Growth % | 175.98% | 34.25% | 23.59% | 9.04% | 44.97% | -6.56% | 572.82% | -30.48% | 177.36% | -58.39% | 305.23% | -146.28% | - |
| Net Income | 432.62M | 443.3M | 393.08M | 178.94M | 53.38M | 137.76M | 242.32M | 108.32M | 88.14M | 50.8M | 20.48M | 15.93M | 5K |
| Depreciation & Amortization | 123.23M | 115.78M | 87.49M | 80.42M | 54.42M | 42.22M | 28.63M | 21.66M | 11.82M | 7.21M | 3.8M | 1.83M | 680K |
| Stock-Based Compensation | 471.42M | 490.63M | 494.7M | 491.62M | 498.64M | 337.41M | 111.78M | 80.76M | 42.21M | 21.32M | 5.06M | 374K | 107K |
| Deferred Taxes | 167.69M | 167.69M | -76.9M | -61.6M | -11.51M | -16.78M | -31.22M | -10.49M | -5.1M | -1.58M | -607K | 338K | -1.51M |
| Other Non-Cash Items | 73.83M | 50.45M | 50.38M | 31.54M | 47.94M | 47.57M | 38.61M | 22.66M | 5.02M | 2.99M | 12.51M | 6.68M | 847K |
| Working Capital Changes | -175.71M | -275.13M | -209.28M | -122.6M | -94.15M | -169.68M | 14.96M | -162.7M | -55.49M | -49.51M | 33.79M | -61.71M | -14.97M |
| Change in Receivables | -285.77M | -432.72M | -474.23M | -554.01M | -291.75M | -444.34M | -418.05M | -331.37M | -239.9M | -224.64M | -187.74M | -114.17M | -53.31M |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | 246.35M | 291.07M | 298.92M | 475.46M | 187.12M | 309.41M | 481.31M | 191.76M | 177.68M | 171.79M | 209.48M | 50.02M | 35.71M |
| Cash from Investing | -159.58M | -292.63M | -157.51M | -107.59M | -304.37M | -93.64M | -143.27M | -163.84M | -25.19M | -16.06M | -9.22M | -6.38M | -2.21M |
| Capital Expenditures | -250.64M | -197.01M | -98.24M | -46.79M | -84.16M | -54.8M | -74.06M | -35.69M | -19.8M | -10.11M | -6.88M | -5.13M | -832K |
| CapEx % of Revenue | 8.44% | 6.8% | 4.02% | 2.4% | 5.33% | 4.58% | 8.86% | 5.4% | 4.15% | 3.28% | 3.39% | 4.5% | 1.87% |
| Acquisitions | 0 | -4.35M | 0 | 0 | 0 | -13.26M | 0 | 0 | 0 | -3M | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -13.12M | -12.75M | -8.82M | -8.23M | -7.72M | -5.17M | -6.05M | -4.91M | -5.4M | -2.95M | -2.34M | -1.8M | -825K |
| Cash from Financing | -1.17B | -1.41B | -107.61M | -626.11M | 31.99M | 31.93M | 44.68M | 27.28M | -10.13M | 7.39M | 63.54M | 29.67M | 28M |
| Debt Issued (Net) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -27M | 0 | -19.15M | 30M | 8.5M |
| Equity Issued (Net) | -1.14B | -1.31B | -234.78M | -646.6M | 0 | 0 | 0 | 0 | 0 | 0 | 83.84M | -39K | 19.79M |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -1.16B | -1.38B | -234.78M | -646.6M | 0 | 0 | 0 | 0 | 0 | 0 | -54.28M | -39K | -561K |
| Other Financing | -38.26M | -97.65M | 127.17M | 20.49M | 31.99M | 31.93M | 44.68M | 27.28M | 16.87M | 7.39M | -1.14M | -293K | -286K |
| Net Change in Cash | -240.17M | -711.29M | 474.33M | -135.38M | 276.35M | 316.8M | 306.48M | -76.36M | 51.28M | 22.55M | 129.35M | -13.27M | 10.95M |
| Free Cash Flow | 836.72M | 795.71M | 632.39M | 543.3M | 456.85M | 318.54M | 324.95M | 19.6M | 61.41M | 18.16M | 65.81M | -43.49M | -16.5M |
| FCF Margin % | 28.18% | 27.47% | 25.87% | 27.92% | 28.95% | 26.62% | 38.87% | 2.97% | 12.87% | 5.89% | 32.43% | -38.2% | -37.04% |
| FCF Growth % | 22.01% | 25.82% | 16.4% | 18.92% | 43.42% | -1.97% | 1557.85% | -68.08% | 238.17% | -72.41% | 251.33% | -163.53% | - |
| FCF per Share | 1.75 | 1.65 | 1.26 | 1.09 | 0.91 | 0.64 | 0.66 | 0.04 | 0.13 | 0.04 | 0.16 | -0.09 | -0.13 |
| FCF Conversion (FCF/Net Income) | 1.93x | 2.24x | 1.88x | 3.34x | 10.28x | 2.75x | 1.67x | 0.56x | 0.98x | 0.61x | 3.66x | -2.30x | -2969.00x |
| Interest Paid | 0 | 0 | 986K | 967K | 995K | 518K | 1.55M | 412K | 817K | 1.32M | 1.7M | 895K | 487K |
| Taxes Paid | 0 | 0 | 158.58M | 151.9M | 4.21M | 3.61M | 4.98M | 19.73M | 17.29M | 19.16M | 16.74M | 12.93M | 150K |
Agency credit and take-rate
According to the provided cash flow data, the ratio of operating cash flow to net income has fluctuated wildly, reaching a high of 9.80 in 2026Q1, which suggests that reported net income significantly understates the company's actual ability to generate cash from its core programmatic operations.
The persistent gap between net income and operating cash flow appears driven by non-cash charges and working capital swings inherent in the agency-clearinghouse model. Investors should interpret this divergence as a sign that traditional earnings metrics may be insufficient for valuing the firm's true cash-generating potential.
As reported in financial statements, free cash flow margins have exhibited significant volatility, ranging from a low of 9.7% in 2024Q2 to a peak of 40.5% in 2026Q1, indicating that the company's cash generation is heavily tethered to the seasonal nature of advertising spend.
While the absolute FCF figures remain positive and robust, the lack of a smooth upward trajectory suggests that the business model remains sensitive to the timing of agency payments and holiday-driven volume. This variability warrants caution when projecting long-term cash flow growth based on single-quarter performance.
Based on the quarterly cash flow data, working capital changes have swung from a positive $182.4 million in 2026Q1 to a negative $180.8 million in 2025Q3, highlighting the inherent volatility of the company's role as an intermediary between advertisers and supply-side partners.
The company's ability to collect from agencies before paying publishers creates a structural cash advantage, yet these swings suggest that any disruption in agency payment cycles could lead to rapid liquidity compression. Analysts should monitor these fluctuations as a primary indicator of credit risk within the agency ecosystem.
As evidenced by recent filings, the company has consistently utilized its cash reserves for share repurchases, with quarterly buybacks reaching as high as $422.9 million in 2025Q4, effectively acting as a mechanism to mitigate the dilutive impact of ongoing stock-based compensation programs.
This capital allocation strategy suggests management is focused on maintaining earnings per share growth despite the heavy reliance on equity-based incentives. While this supports shareholder value, it also indicates that a significant portion of operating cash flow is being recycled to manage the capital structure rather than funding new growth initiatives.
Quick answers to the most common questions about buying TTD stock.
The Trade Desk, Inc. (TTD) generated $992.7M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
The Trade Desk, Inc. (TTD) generated $795.7M in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
The Trade Desk, Inc. (TTD) spent $197.0M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, The Trade Desk, Inc. (TTD) spent $1.38B on share repurchases. This shows the company's commitment to returning capital to its equity investors.