TripAdvisor Inc
Q3 2024 Earnings
Market Reaction
S&P 500 over the same 30 days: +1.21%.
Did TRIP Beat Earnings? Q3 2024 Results
TripAdvisor posted a solid beat to open its third quarter results, with non-GAAP earnings per share of $0.50 clearing the $0.44 consensus by 13.64% and revenue of $532.00 million edging past estimates by 0.78%, even as the top line remained essentially flat, down just 0.2% year-over-year. The clearest story inside the numbers was a widening divide between the company's legacy and growth businesses: Brand TripAdvisor continued to shrink, with revenue falling 12% to $255.00 million as branded hotel revenue dropped 17%, while Viator carried the quarter with 10% revenue growth to $270.00 million and a 76% surge in adjusted EBITDA to $30.00 million, lifting its margin to 11% from 7% a year ago. TheFork added further momentum, growing revenue 17% to $49.00 million and swinging to positive adjusted EBITDA. Management signaled continued commitment to an engagement-led pivot at its core brand while leaning into Viator and TheFork as the primary growth engines, a strategy some analysts believe could unlock meaningful upside in the stock.
- Viator revenue grew 10% year-over-year driven by approximately 9% GBV growth
- TheFork revenue grew 17% with bookings up approximately 6%
- All three segments delivered positive adjusted EBITDA profitability
- Cost discipline with total costs and expenses declining 1% year-over-year
- TheFork swung to positive adjusted EBITDA of $5 million from a loss of $1 million
“We are pleased with the Group's third quarter results, which are representative of the diverse categories in which we operate, and the segment strategies we are executing. All three of our segments delivered profitability, a testament to the operational rigor, product innovation, and hard work of our teams to transform our portfolio. We will continue to build on our distinct advantages as the foundation for durable revenue and profit growth over the long-term.”
TripAdvisor CEO, on the earnings call
Forward Guidance & Outlook
Management indicated continued focus on executing segment strategies, including the shift to an engagement-led model at Brand Tripadvisor and pursuing higher-growth opportunities in Viator and TheFork. CFO noted adjusted EBITDA outpaced expectations due to solid execution and the timing of certain growth initiatives. The company anticipates an estimated net cash inflow of $50 million to $60 million over the next twelve months from competent authority refunds and federal tax benefits related to the IRS audit settlement.
TRIP YoY Financials
TRIP Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.