Zeta Global Reports Strong Q3 Results with Revenue Up 42%

In a recent report, Zeta Global unveiled impressive financial results for the third quarter of 2024, boasting a revenue growth of 42% year-over-year. The company has also raised its revenue outlook for the year, indicating strong operational momentum and a focus on AI-driven marketing solutions.

Date: 12-11-2024

AI Rating: 8

Zeta Global's recent earnings call highlights several key areas that may significantly influence its stock price. The company reported a remarkable revenue growth of 42% year-over-year, reaching $268 million for Q3 2024. This growth is a positive signal for investors and indicates strong demand for its services. The company's adjusted EBITDA also increased to $54 million, up 59% from the previous year, reinforcing profitability.

Furthermore, Zeta mentioned raising its full-year revenue outlook by $61 million, now targeting a total of $986 million for 2024, reflecting a 35% growth rate. This forecast shows the company’s confidence in continuing its upward trajectory.

Importantly, the performance metrics suggest Zeta is achieving operational efficiencies; the adjusted EBITDA margin improved to 20%, up 210 basis points year-over-year. Such trends can drive investor sentiment positively.

In terms of cash flow, Zeta generated $34 million from operating activities in Q3, showcasing a 51% increase compared to the previous year, with free cash flow significantly rising 93% to $26 million. Healthy free cash flow can enhance the company’s investment capacity, potentially leading to stock buybacks or strategic acquisitions.

Overall, the comprehensive growth in revenue, profitability, and cash flow reflects a strong underlying business, and these indicators are crucial for investor confidence and stock price appreciation.

Stocks: ZETA