TripAdvisor (TRIP - Free Report) reported an adjusted first-quarter 2022 loss of 9 cents per share, in line with the Zacks Consensus Estimate. The bottom line is narrower than the year-ago quarter’s loss of 39 cents per share. TRIP reported a loss per share of 1 cent in the prior quarter.
Revenues of $262 million skyrocketed 113% year over year. The same further surpassed the consensus mark by 4.2% and increased 8.7% sequentially.
The top-line increase was driven by a recovery in consumer travel demand owing to the progress in vaccination drives and the relaxation of government restrictions.
For the first quarter, monthly unique users on TripAdvisor-branded sites increased 27% from the year-ago quarter’s level.
Quarterly Details
TripAdvisor reports revenues in three segments: Hotels, Media & Platform, Experiences & Dining, and Other.
Hotels, Media & Platform: The segment generated revenues of $160 million (accounting for 61% of revenues), up 82% year over year. Revenues from TripAdvisor-branded hotels, including hotel auction and B2B subscription offerings, increased 84% from the prior-year quarter’s level to $136 million. In addition, TripAdvisor-branded display and platform increased 71% year over year to $24 million.
Experiences & Dining: The segment generated revenues of $92 million (35% of total revenues) from this segment. The figure skyrocketed 229% from the year-ago quarter’s level, driven by increased experiences and dining revenues and the Viator point of sale business.
Other: Revenues from this segment came in at $10 million (4% of revenues), increasing 43% year over year. This segment includes revenues from rentals, flights and cars, and cruise.
Operating Results
TripAdvisor’s selling and marketing costs increased 93% year over year to $141 million, driven by higher spending on search engine marketing and other online traffic acquisitions across all segments and businesses to meet rising consumer travel demand amid the travel-sector recovery period.
General and administrative costs were up 5% from the year-ago quarter’s level to $40 million.
Technology and content costs of $54 million decreased 2% on a year-over-year basis.
TRIP reported an operating loss of $20 million for the first quarter of 2022 compared with $84 million loss in the fourth quarter of 2021.
In the reported quarter, non-GAAP adjusted EBITDA was $27 million against ($26) million in the same quarter last year.
Balance Sheet & Cash Flow
As of Mar 31, 2022, cash and cash equivalents were $781 million, up from $723 million reported on Dec 31, 2021.
Long-term debt as of Mar 31, 2022 was $834 million. TRIP’s long-term debt was $833 million as of Dec 31, 2021.
Cash provided by operating activities was $86 million for the reported quarter compared with $65 million in the prior quarter.
Additionally, free cash flow was $72 million for the first quarter.
Zacks Rank & Other Stocks to Consider
TripAdvisor currently carries a Zacks Rank #2 (Buy). Some other top-ranked stocks in the retail-wholesale sector are AutoNation (AN - Free Report) , Costco Wholesale (COST - Free Report) and Dollar Tree (DLTR - Free Report) , each carrying a Zacks Rank of 2 at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
AutoNation has gained 15.7% over a year. The long-term earnings growth rate for AN is currently projected at 23.6%.
Shares of Costco Wholesale have rallied 39.9% over a year. The long-term earnings growth rate for COST is currently projected at 9.1%.
Dollar has gained 41.7% over a year. The long-term earnings growth rate for DLTR is currently projected at 15.5%.
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TripAdvisor (TRIP - Free Report) reported an adjusted first-quarter 2022 loss of 9 cents per share, in line with the Zacks Consensus Estimate. The bottom line is narrower than the year-ago quarter’s loss of 39 cents per share. TRIP reported a loss per share of 1 cent in the prior quarter.
Revenues of $262 million skyrocketed 113% year over year. The same further surpassed the consensus mark by 4.2% and increased 8.7% sequentially.
The top-line increase was driven by a recovery in consumer travel demand owing to the progress in vaccination drives and the relaxation of government restrictions.
For the first quarter, monthly unique users on TripAdvisor-branded sites increased 27% from the year-ago quarter’s level.
Quarterly Details
TripAdvisor reports revenues in three segments: Hotels, Media & Platform, Experiences & Dining, and Other.
Hotels, Media & Platform: The segment generated revenues of $160 million (accounting for 61% of revenues), up 82% year over year. Revenues from TripAdvisor-branded hotels, including hotel auction and B2B subscription offerings, increased 84% from the prior-year quarter’s level to $136 million. In addition, TripAdvisor-branded display and platform increased 71% year over year to $24 million.
Experiences & Dining: The segment generated revenues of $92 million (35% of total revenues) from this segment. The figure skyrocketed 229% from the year-ago quarter’s level, driven by increased experiences and dining revenues and the Viator point of sale business.
Other: Revenues from this segment came in at $10 million (4% of revenues), increasing 43% year over year. This segment includes revenues from rentals, flights and cars, and cruise.
Operating Results
TripAdvisor’s selling and marketing costs increased 93% year over year to $141 million, driven by higher spending on search engine marketing and other online traffic acquisitions across all segments and businesses to meet rising consumer travel demand amid the travel-sector recovery period.
General and administrative costs were up 5% from the year-ago quarter’s level to $40 million.
Technology and content costs of $54 million decreased 2% on a year-over-year basis.
TRIP reported an operating loss of $20 million for the first quarter of 2022 compared with $84 million loss in the fourth quarter of 2021.
In the reported quarter, non-GAAP adjusted EBITDA was $27 million against ($26) million in the same quarter last year.
Balance Sheet & Cash Flow
As of Mar 31, 2022, cash and cash equivalents were $781 million, up from $723 million reported on Dec 31, 2021.
Long-term debt as of Mar 31, 2022 was $834 million. TRIP’s long-term debt was $833 million as of Dec 31, 2021.
Cash provided by operating activities was $86 million for the reported quarter compared with $65 million in the prior quarter.
Additionally, free cash flow was $72 million for the first quarter.
Zacks Rank & Other Stocks to Consider
TripAdvisor currently carries a Zacks Rank #2 (Buy). Some other top-ranked stocks in the retail-wholesale sector are AutoNation (AN - Free Report) , Costco Wholesale (COST - Free Report) and Dollar Tree (DLTR - Free Report) , each carrying a Zacks Rank of 2 at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
AutoNation has gained 15.7% over a year. The long-term earnings growth rate for AN is currently projected at 23.6%.
Shares of Costco Wholesale have rallied 39.9% over a year. The long-term earnings growth rate for COST is currently projected at 9.1%.
Dollar has gained 41.7% over a year. The long-term earnings growth rate for DLTR is currently projected at 15.5%.
Just Released: Zacks Top 10 Stocks for 2024
Hurry – you can still get in early on our 10 top tickers for 2024. Hand-picked by Zacks Director of Research, Sheraz Mian, this portfolio has been stunningly and consistently successful. From inception in 2012 through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Sheraz has combed through 4,400 companies covered by the Zacks Rank and handpicked the best 10 to buy and hold in 2024. You can still be among the first to see these just-released stocks with enormous potential.
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