Travelzoo Reports Second Quarter 2015 Results
Travelzoo Inc., a global Internet media company, today announced financial results for the second quarter ended June 30, 2015, with revenue of $34.1 million, a decrease of 8% year-over-year. Net income was $1.3 million, with earnings per share of $0.09.
"In the second quarter of 2015, Travelzoo welcomed 950,000 new members,” said Chris Loughlin, chief executive officer. “The strong U.S. dollar had an unfavorable currency effect on reported revenue. We remain ambitious to grow Travelzoo's global brand and business.”
North America business segment revenue decreased 6% year-over-year to $23.7 million. Operating income for the second quarter was $2.5 million, or 11% of revenue, down from $3.8 million, or 15% of revenue, in the prior-year period.
Europe business segment revenue decreased 12% year-over-year to $10.3 million. In local currency terms, revenue increased 1% year-over-year. Operating income for the second quarter was $35,000, or 0.3% of revenue, down from $2.9 million, or 24% of revenue in the prior-year period.
Travelzoo had a total unduplicated number of members in North America and Europe of 24.8 million as of June 30, 2015, up 1% from March 31, 2015. In North America, total unduplicated number of members was 17.2 million as of June 30, 2015, same as of March 31, 2015. In Europe, total unduplicated number of members was 7.6 million as of June 30, 2015, up 1% from March 31, 2015.
During the second quarter of 2015, Travelzoo generated $374,000 of cash from operating activities. Accounts receivable increased by $851,000 over the prior-year period to $17.4 million. Accounts payable decreased by $2.6 million over the prior-year period to $21.5 million. Capital expenditures were $554,000, up from $405,000 in the prior-year period. As of June 30, 2015, cash and cash equivalents were $55.3 million.