Takeaways from 3Q26 Ad Expert Call Series - 2

UBS hosted an expert call covering ~$950M of digital marketing spend across 50 countries, focused on e-commerce, pharmaceutical, travel and B2B clients. Key takeaways: 3Q26 US budget growth was in line with 23.5% YOY expected, while Europe exceeded estimates at 19% vs 17% projected, driven by e-commerce/performance growth and World Cup brand spend. 2026 digital growth forecasts for US/Europe were raised to 21%-22.5% YOY / 19%-20% YOY, embedding ~1pt of tailwind from higher political spend around the US midterm; preliminary 2027 expectations were set at 20%+. By platform: AMZN (slightly positive) 3Q26 US/Europe grew 34%/33% with 2026 raised to 34%/32.5%; APP (positive) US 3Q26 grew 35% with 2026 raised to 36-37%; PINS (slightly positive) 3Q26 US/Europe 11%/10%, 2026 US trimmed to 11%; GOOGL Search (slightly negative) 3Q26 US/Europe 10%/9%, YouTube 8%/7.5% below expectations on CTV competition;