TripAdvisor Inc. TRIP reported adjusted fourth-quarter 2020 loss of 41 cents per share, wider than the Zacks Consensus Estimate of a loss of 26 cents. It reported earnings of 38 cents per share in the year-ago quarter. Revenues for the fourth quarter were $116 million, surpassing the Zacks Consensus Estimate by 12.5%. However, the top line was down 65% year over year. For October, November, and December, monthly unique users on Tripadvisor sites were approximately 68%, 58%, and 59%, respectively. Revenue Segments
TripAdvisor reports revenues in three segments: Hotels, Media & Platform, Experiences & Dining, and Other.
Revenues of $74 million (accounting for 64% of total revenues) from the Hotels, Media & Platform segment were down 62% from the year-ago quarter. Revenues of $36 million from the Experiences & Dining segment, which accounted for 31% of total revenues, were also down 67% year over year. The Other segment contributed the remaining 5% to total revenues. This segment includes revenues from rentals, SmarterTravel, Flights/Cruise and TripAdvisor China. Revenues from this segment were $6 million, down 81% from the year-ago quarter. Operating Results
TripAdvisor’s operating expenses (selling & marketing, technology & content, and general & administrative) of $165 million were down 35.8% from $257 million a year ago. Operating loss was $92 million for the fourth quarter versus operating profit of 23 million in the year-ago period.
On a GAAP basis, the company recorded net loss of $55 million or loss of 41 cents per share versus net income of $53 million or earnings of 38 cents in the prior-year quarter. Balance Sheet & Cash Flow
TripAdvisor exited the quarter with cash and cash equivalents of roughly $418 million, down from $446 million recorded in the third quarter.
Accounts receivables were $83 million, down from $91 million in the third quarter. As of Dec 31, 2020, the company had a long-term debt of $491 million.
Cash flow from operations was ($15) million versus ($31) million in the third quarter. Capex was $9 million versus $15 million in the third quarter. Free cash flow was ($24) million versus ($42) million in the third quarter.
Zacks Rank & Stocks to Consider
Currently, TripAdvisor has a Zacks Rank #3 (Hold). Some better-ranked stocks in the broader technology sector include
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