TripAdvisor announced its financial results for the second quarter ended June 30, 2018.
“We are pleased with second quarter results and our strong first half of 2018,” said Chief Executive Officer Steve Kaufer. “Operational changes have been taking hold, our product and marketing initiatives continue to align with the needs of consumers and partners alike, while our investments in newer initiatives position our platform for future profitable growth.”
“Our business trends have strengthened since the beginning of the year,” added Chief Financial Officer Ernst Teunissen. “Optimizing our marketing mix has successfully stabilized Hotel segment profit and our first half results and recent performance make us incrementally confident in our expectation of adjusted EBITDA growth this year.”
Operational and Financial Highlights
* User reviews and opinions grew 24% year-over-year and reached 661 million at June 30, 2018, covering approximately 7.7 million places to stay, places to eat and things to do – including 1.2 million hotels, inns, B&Bs and specialty lodging, 855,000 rental properties, 4.7 million restaurants and 975,000 travel activities and experiences worldwide.
* Average monthly unique visitors on TripAdvisor-branded websites and apps reached 456 million, up 10% year-over-year and average monthly unique hotel shoppers decreased by 3% to approximately 149 million, primarily due to our ongoing initiative to operate our paid online marketing channels to improved profitability levels.
* Bookable Experiences products grew by 98% year-over-year to 121,000.
* Total Revenue was USD 433 million, an increase of USD 9 million, or 2% year-over-year. Total Adjusted EBITDA was USD 109 million, an increase of USD 8 million, or 8% year-over-year.
* Hotel Revenue was USD 313 million, a decrease of USD 13 million, or 4% year-over-year. Hotel Adjusted EBITDA was USD 89 million, an increase of USD 5 million, or 6% year-over-year, and Hotel Adjusted EBITDA margin improved to 28%.
* Non-Hotel Revenue was USD 120 million, an increase of USD 22 million, or 22% year-over-year despite a difficult year-over-year growth comparison, driven by growth in Experiences and Restaurants. Non-Hotel Adjusted EBITDA was USD 20 million, an increase of USD 3 million, or 18% year-over-year.
During the six months ended June 30, 2018, TripAdvisor repurchased approximately 2.6 million shares of TripAdvisor outstanding common stock for USD 100 million at an average price of USD 38.73 per share. This includes USD 90 million that was allocated during the second quarter 2018 to repurchase approximately 2.3 million shares of outstanding common stock at an average price of USD 38.60 per share. USD 150 million remains available under the share repurchase program authorized in January 2018 by TripAdvisor’s Board of Directors.
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