Travelzoo Reports Second Quarter 2024 Results
Travelzoo (NASDAQ: TZOO) reported its Q2 2024 results with revenue of $21.1 million, consistent year-over-year. The company achieved a consolidated operating profit of $4.0 million and a non-GAAP operating profit of $4.8 million. Earnings per share (EPS) increased to $0.23, up from $0.17 in the prior-year period. Cash flow from operations was $3.1 million.
Travelzoo's North America segment revenue remained stable at $14.1 million, while Europe saw a 1% increase to $6.0 million. Jack's Flight Club, in which Travelzoo has a 60% stake, grew revenue by 9% to $1.1 million. The company's global membership remained steady at 30.8 million.
Looking ahead, Travelzoo expects revenue growth in Q3 2024, albeit at a slower pace than in 2023, with higher profitability year-over-year. The company anticipates substantial revenue growth in 2025 due to additional membership fee revenue.
Travelzoo (NASDAQ: TZOO) ha riportato i risultati del secondo trimestre 2024 con un fatturato di 21,1 milioni di dollari, in linea con l'anno precedente. L'azienda ha realizzato un utile operativo consolidato di 4,0 milioni di dollari e un utile operativo non GAAP di 4,8 milioni di dollari. Gli utili per azione (EPS) sono aumentati a 0,23 dollari, rispetto ai 0,17 dollari del periodo dell'anno precedente. Il flusso di cassa dalle operazioni è stato di 3,1 milioni di dollari.
Il fatturato del segmento nordamericano di Travelzoo è rimasto stabile a 14,1 milioni di dollari, mentre in Europa si è registrato un incremento dell'1% a 6,0 milioni di dollari. Il Jack's Flight Club, in cui Travelzoo detiene una quota del 60%, ha visto crescere il fatturato del 9% raggiungendo 1,1 milioni di dollari. Il numero di abbonati globali dell'azienda è rimasto stabile a 30,8 milioni.
Guardando al futuro, Travelzoo prevede una crescita del fatturato nel terzo trimestre 2024, sebbene a un ritmo più lento rispetto al 2023, con una redditività maggiore anno su anno. L'azienda anticipa una significativa crescita del fatturato nel 2025 grazie a maggiori entrate da quote di abbonamento.
Travelzoo (NASDAQ: TZOO) informó sus resultados del segundo trimestre de 2024 con ingresos de 21,1 millones de dólares, manteniendo la misma cantidad que el año anterior. La compañía logró un beneficio operativo consolidado de 4,0 millones de dólares y un beneficio operativo no GAAP de 4,8 millones de dólares. Las ganancias por acción (EPS) aumentaron a 0,23 dólares, frente a los 0,17 dólares en el mismo período del año anterior. El flujo de caja de las operaciones fue de 3,1 millones de dólares.
Los ingresos del segmento de Norteamérica de Travelzoo se mantuvieron estables en 14,1 millones de dólares, mientras que Europa vio un incremento del 1% a 6,0 millones de dólares. Jack's Flight Club, en el cual Travelzoo tiene una participación del 60%, incrementó sus ingresos en un 9% alcanzando 1,1 millones de dólares. La membresía global de la compañía se mantuvo estable en 30,8 millones.
De cara al futuro, Travelzoo espera un crecimiento de ingresos en el tercer trimestre de 2024, aunque a un ritmo más lento que en 2023, con una mayor rentabilidad año tras año. La empresa anticipa un crecimiento sustancial de ingresos en 2025 debido a ingresos adicionales por tarifas de membresía.
Travelzoo (NASDAQ: TZOO)는 2024년 2분기 결과를 발표하며 수익이 2,110만 달러로 지난해와 비슷하다고 보고했습니다. 회사는 통합 운영 이익이 400만 달러였고 비-GAAP 운영 이익은 480만 달러입니다. 주당 순이익(EPS)은 0.23달러로 증가했으며, 이는 전년 동기 대비 0.17달러에서 상승한 수치입니다. 운영 현금 흐름은 310만 달러였습니다.
Travelzoo의 북미 부문 수익은 1,410만 달러로 안정세를 유지한 반면, 유럽은 1% 증가하여 600만 달러를 기록했습니다. Travelzoo가 60% 지분을 보유한 Jack's Flight Club은 수익을 9% 증가시켜 110만 달러로 성장했습니다. 회사의 글로벌 회원 수는 3,080만 명으로 안정세를 유지했습니다.
앞으로 Travelzoo는 2024년 3분기 수익 성장을 예상하고 있으며, 이는 2023년보다 느린 속도로 증가하겠지만, 전년 대비 더 높은 수익성을 보일 것이라고 밝혔습니다. 2025년에는 추가 회원비 수익으로 인해 상당한 수익 성장을 예상하고 있습니다.
Travelzoo (NASDAQ: TZOO) a publié ses résultats pour le deuxième trimestre 2024, avec un chiffre d'affaires de 21,1 millions de dollars, stable par rapport à l'année précédente. L'entreprise a réalisé un bénéfice opérationnel consolidé de 4,0 millions de dollars et un bénéfice opérationnel non GAAP de 4,8 millions de dollars. Le bénéfice par action (EPS) a augmenté à 0,23 dollar, contre 0,17 dollar au cours de la période de l'année précédente. Le flux de trésorerie provenant des opérations s'élevait à 3,1 millions de dollars.
Le chiffre d'affaires du segment nord-américain de Travelzoo est resté stable à 14,1 millions de dollars, tandis qu'en Europe, il a subi une augmentation de 1 % pour atteindre 6,0 millions de dollars. Le Jack's Flight Club, dont Travelzoo détient 60 % des parts, a vu son chiffre d'affaires augmenter de 9 % pour atteindre 1,1 million de dollars. Le nombre d'abonnés mondiaux de l'entreprise est resté stable à 30,8 millions.
En regardant vers l'avenir, Travelzoo s'attend à une croissance de son chiffre d'affaires au troisième trimestre 2024, bien que plus lente qu'en 2023, avec une rentabilité accrue d'une année sur l'autre. L'entreprise prévoit une croissance substantielle des revenus en 2025 en raison des revenus supplémentaires provenant des frais d'adhésion.
Travelzoo (NASDAQ: TZOO) hat seine Ergebnisse für das zweite Quartal 2024 veröffentlicht, mit Umsätzen von 21,1 Millionen Dollar, im Vergleich zum Vorjahr stabil. Das Unternehmen erzielte einen konsolidierten Betriebsgewinn von 4,0 Millionen Dollar und einen nicht GAAP-operativen Gewinn von 4,8 Millionen Dollar. Der Gewinn pro Aktie (EPS) stieg auf 0,23 Dollar, von 0,17 Dollar im Vorjahreszeitraum. Der Cashflow aus der Betriebstätigkeit betrug 3,1 Millionen Dollar.
Der Umsatz des nordamerikanischen Segments von Travelzoo blieb stabil bei 14,1 Millionen Dollar, während Europa um 1% auf 6,0 Millionen Dollar wuchs. Jack's Flight Club, an dem Travelzoo eine 60% Beteiligung hält, steigerte den Umsatz um 9% auf 1,1 Millionen Dollar. Die globale Mitgliedschaft des Unternehmens blieb bei 30,8 Millionen stabil.
In die Zukunft blickend erwartet Travelzoo ein Umsatzwachstum im dritten Quartal 2024, wenn auch langsamer als 2023, mit einer höheren Rentabilität im Jahresvergleich. Das Unternehmen rechnet 2025 mit einem erheblichen Umsatzwachstum aufgrund zusätzlicher Einnahmen aus Mitgliedsbeiträgen.
- EPS increased to $0.23 from $0.17 year-over-year
- Non-GAAP operating profit of $4.8 million
- Europe segment revenue increased 1% year-over-year
- Jack's Flight Club revenue grew 9% year-over-year
- Cash flow from operations of $3.1 million
- Expects higher profitability in Q3 2024 compared to previous year
- Anticipates substantial revenue growth in 2025 from membership fees
- Overall revenue remained flat year-over-year at $21.1 million
- North America segment revenue remained unchanged
- Slight decrease in North America membership from 16.2 million to 16.1 million
Insights
Travelzoo's Q2 2024 results show a stable performance with some positive indicators. Revenue remained consistent at
The company's non-GAAP operating profit of
Looking ahead, Travelzoo expects revenue growth in Q3 2024, albeit at a slower pace than in 2023. The introduction of membership fees starting January 2024 is a strategic move that could significantly boost revenue in 2025. However, investors should note that the majority of existing members are exempt from fees in 2024, delaying the full impact of this initiative.
The company's share repurchase program, with 800,000 shares bought back in Q2, demonstrates confidence in its financial position and could potentially boost EPS in future quarters.
Travelzoo's Q2 results reveal interesting trends in the travel industry. The company's stable performance, despite economic uncertainties, suggests resilience in the travel sector. The growth in Jack's Flight Club's premium subscribers (
The company's global reach is impressive, with 30.8 million members worldwide, 8 million mobile app users and 4 million social media followers. This extensive user base provides Travelzoo with valuable data and a strong platform for targeted marketing of travel offers.
The introduction of membership fees is a bold move that aligns with industry trends towards subscription-based models. While it may impact member growth in the short term, it could lead to a more engaged and high-value user base in the long run. The exemption of existing members from fees in 2024 is a smart strategy to maintain the current user base while gradually transitioning to the new model.
Travelzoo's licensing agreements in Japan, Australia, New Zealand and Singapore demonstrate a strategic approach to international expansion without significant capital investment. This model could prove beneficial for entering new markets efficiently.
- Revenue of
$21.1 million - Consolidated operating profit of
$4.0 million - Non-GAAP consolidated operating profit of
$4.8 million - Cash flow from operations of
$3.1 million - Earnings per share (EPS) of
$0.23
Travelzoo, the club for travel enthusiasts, today announced financial results for the second quarter ended June 30, 2024. Consolidated revenue was
Net income attributable to Travelzoo was
Non-GAAP operating profit was
"We will continue to leverage Travelzoo's global reach, trusted brand, and strong relationships with top travel suppliers to negotiate more exclusive offers for members," said Holger Bartel, Travelzoo's Global CEO. "With more than 30 million members, 8 million mobile app users, and 4 million social media followers, Travelzoo is loved by travel enthusiasts who are affluent, active, and open to new experiences."
Cash Position
As of June 30, 2024, consolidated cash, cash equivalents and restricted cash were
Travelzoo North America
Travelzoo Europe
Jack's Flight Club
Jack's Flight Club is a membership subscription service in which Travelzoo has a
New Initiatives
New Initiatives business segment revenue, which includes Licensing and Travelzoo META, was
In June 2020, Travelzoo entered into a royalty-bearing licensing agreement with a local licensee in
Members and Subscribers
As of June 30, 2024, we had 30.8 million members worldwide, consistent with June 30, 2023. In
Discontinued Operations
In March 2020, Travelzoo decided to exit its
Income Taxes
A provision of
Share Repurchase Program
During Q2 2024, the Company repurchased 800,000 of its outstanding common stock.
Looking Ahead
For Q3 2024, we expect growth in revenue year-over-year, albeit at a smaller pace than in 2023. However, there could be unexpected fluctuations. We also expect for Q3 2024 higher profitability year-over-year. For 2025, we expect substantial growth in revenue as a result of additional revenue from membership fees.
In December 2023, we announced the introduction of a membership fee for Travelzoo beginning January 1, 2024. We recognize membership fee revenue ratably over the subscription period. Legacy Travelzoo members as of December 31, 2023, which represent more than
Non-GAAP Financial Measures
Management calculates non-GAAP operating income when evaluating the financial performance of the business. Travelzoo's calculation of non-GAAP operating income, also called "non-GAAP operating profit" in this press release and today's earnings conference call, excludes the following items: amortization of intangibles, stock option expenses and severance-related expenses. This press release includes a table which reconciles GAAP operating income to the calculation of non-GAAP operating income. Non-GAAP operating income is not required by, or presented in accordance with, generally accepted accounting principles in
Conference Call
Travelzoo will host a conference call to discuss second quarter 2024 results today at 11:00 a.m. ET. Please visit http://ir.travelzoo.com/events-presentations to
- download the management presentation (PDF format) to be discussed in the conference call
- access the webcast
About Travelzoo
We, Travelzoo®, are the club for travel enthusiasts. Our 30 million members receive exclusive offers and one-of-a-kind experiences personally reviewed by our deal experts around the globe. We have our finger on the pulse of outstanding travel, entertainment, and lifestyle experiences. We work in partnership with more than 5,000 top travel suppliers—our long-standing relationships give Travelzoo members access to irresistible deals.
Certain statements contained in this press release that are not historical facts may be forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities and Exchange Act of 1934. These forward-looking statements may include, but are not limited to, statements about our plans, objectives, expectations, prospects and intentions, markets in which we participate and other statements contained in this press release that are not historical facts. When used in this press release, the words "expect", "predict", "project", "anticipate", "believe", "estimate", "intend", "plan", "seek" and similar expressions are generally intended to identify forward-looking statements. Because these forward-looking statements involve risks and uncertainties, there are important factors that could cause actual results to differ materially from those expressed or implied by these forward-looking statements, including changes in our plans, objectives, expectations, prospects and intentions and other factors discussed in our filings with the SEC. We cannot guarantee any future levels of activity, performance or achievements. Travelzoo undertakes no obligation to update forward-looking statements to reflect events or circumstances occurring after the date of this press release.
Travelzoo | |||||||
Three months ended | Six months ended | ||||||
June 30, | June 30, | ||||||
2024 | 2023 | 2024 | 2023 | ||||
Revenues | $ 21,141 | $ 21,128 | $ 43,126 | $ 42,729 | |||
Cost of revenues | 2,520 | 2,880 | 5,160 | 5,571 | |||
Gross profit | 18,621 | 18,248 | 37,966 | 37,158 | |||
Operating expenses: | |||||||
Sales and marketing | 9,386 | 10,142 | 17,984 | 19,438 | |||
Product development | 603 | 518 | 1,169 | 1,008 | |||
General and administrative | 4,621 | 4,315 | 9,211 | 8,728 | |||
Total operating expenses | 14,610 | 14,975 | 28,364 | 29,174 | |||
Operating income | 4,011 | 3,273 | 9,602 | 7,984 | |||
Other income, net | 176 | 479 | 315 | 829 | |||
Income from continuing operations before income taxes | 4,187 | 3,752 | 9,917 | 8,813 | |||
Income tax expense | 1,267 | 1,091 | 2,772 | 2,469 | |||
Income from continuing operations | 2,920 | 2,661 | 7,145 | 6,344 | |||
Income from discontinued operations, net of tax | — | 2 | — | — | |||
Net income | 2,920 | 2,663 | 7,145 | 6,344 | |||
Net income (loss) attributable to non-controlling interest | (7) | 37 | (18) | 45 | |||
Net income attributable to Travelzoo | $ 2,927 | $ 2,626 | $ 7,163 | $ 6,299 | |||
Net income attributable to Travelzoo—continuing operations | $ 2,927 | $ 2,624 | $ 7,163 | $ 6,299 | |||
Net income attributable to Travelzoo—discontinued operations | $ — | $ 2 | $ — | $ — | |||
Income per share—basic | |||||||
Continuing operations | $ 0.23 | $ 0.17 | $ 0.54 | $ 0.41 | |||
Discontinued operations | $ — | $ — | $ — | $ — | |||
Net income per share—basic | $ 0.23 | $ 0.17 | $ 0.54 | $ 0.41 | |||
Income per share—diluted | |||||||
Continuing operations | $ 0.23 | $ 0.17 | $ 0.54 | $ 0.40 | |||
Discontinued operations | $ — | $ — | $ — | $ — | |||
Net income per share—diluted | $ 0.23 | $ 0.17 | $ 0.54 | $ 0.40 | |||
Shares used in per share calculation from continuing operations—basic | 12,895 | 15,275 | 13,191 | 15,485 | |||
Shares used in per share calculation from discontinued operations—basic | 12,895 | 15,275 | 13,191 | 15,485 | |||
Shares used in per share calculation from continuing operations—diluted | 12,976 | 15,337 | 13,300 | 15,557 | |||
Shares used in per share calculation from discontinued operations—diluted | 12,976 | 15,337 | 13,300 | 15,557 | |||
Travelzoo | |||
June 30, | December 31, | ||
Assets | |||
Current assets: | |||
Cash and cash equivalents | $ 12,567 | $ 15,713 | |
Accounts receivable, net | 13,220 | 12,965 | |
Prepaid income taxes | 998 | 629 | |
Prepaid expenses and other | 1,726 | 1,461 | |
Total current assets | 28,511 | 30,768 | |
Deposits and other | 223 | 1,115 | |
Deferred tax assets | 3,102 | 3,196 | |
Restricted cash | 675 | 675 | |
Operating lease right-of-use assets | 5,873 | 6,015 | |
Property and equipment, net | 499 | 578 | |
Intangible assets, net | 1,686 | 2,091 | |
Goodwill | 10,944 | 10,944 | |
Total assets | $ 51,513 | $ 55,382 | |
Liabilities and Equity | |||
Current liabilities: | |||
Accounts payable | $ 5,212 | $ 4,546 | |
Merchant payables | 16,708 | 20,622 | |
Accrued expenses and other | 4,217 | 3,658 | |
Deferred revenue | 3,207 | 2,044 | |
Income tax payable | 1,070 | 766 | |
Operating lease liabilities | 2,389 | 2,530 | |
Liabilities from discontinued operations | 24 | 24 | |
Total current liabilities | 32,827 | 34,190 | |
Long-term tax liabilities | 6,323 | 4,681 | |
Long-term operating lease liabilities | 6,342 | 6,717 | |
Other long-term liabilities | 376 | 911 | |
Total liabilities | 45,868 | 46,499 | |
Common stock | 124 | 136 | |
Tax indemnification | (9,537) | (9,537) | |
Note receivable from shareholder | (1,753) | (1,753) | |
Additional paid-in capital | — | 439 | |
Retained earnings | 17,083 | 19,508 | |
Accumulated other comprehensive loss | (4,951) | (4,607) | |
Total Travelzoo stockholders' equity | 966 | 4,186 | |
Non-controlling interest | 4,679 | 4,697 | |
Total stockholder's equity | 5,645 | 8,883 | |
Total liabilities and equity | $ 51,513 | $ 55,382 | |
Travelzoo | |||||||
Three months ended | Six months ended | ||||||
June 30, | June 30, | ||||||
2024 | 2023 | 2024 | 2023 | ||||
Cash flows from operating activities: | |||||||
Net income | $ 2,920 | $ 2,663 | $ 7,145 | $ 6,344 | |||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||
Depreciation and amortization | 175 | 467 | 558 | 945 | |||
Stock-based compensation | 688 | 432 | 783 | 828 | |||
Deferred income tax | (12) | 30 | (27) | (38) | |||
Loss on long-lived assets | — | 10 | — | 10 | |||
Net foreign currency effects | (14) | (36) | (11) | (33) | |||
Provision of loss (net recoveries) on accounts receivable and refund reserves | 26 | (117) | (7) | (829) | |||
Changes in operating assets and liabilities: | |||||||
Accounts receivable | (150) | 3,516 | (385) | 3,888 | |||
Prepaid income taxes | (390) | 610 | (327) | 1,017 | |||
Prepaid expenses, deposits and other | (49) | 2,325 | 533 | 2,485 | |||
Accounts payable | (295) | (1,072) | 713 | (2,393) | |||
Merchant payables | (1,101) | (4,013) | (3,779) | (8,604) | |||
Accrued expenses and other | 478 | (534) | 1,450 | 377 | |||
Income tax payable | 224 | 234 | 278 | 234 | |||
Other liabilities | 556 | 600 | 753 | 1,419 | |||
Net cash provided by operating activities | 3,056 | 5,115 | 7,677 | 5,650 | |||
Cash flows from investing activities: | |||||||
Proceeds from repayment of note receivable | — | 74 | — | 113 | |||
Purchases of property and equipment | (48) | (46) | (83) | (157) | |||
Net cash provided by (used in) investing activities | (48) | 28 | (83) | (44) | |||
Cash flows from financing activities: | |||||||
Repurchase of common stock | (6,557) | (4,684) | (10,429) | (4,870) | |||
Exercise of stock options and taxes paid for net share settlement of equity awards | — | (299) | — | (299) | |||
Net cash used in financing activities | (6,557) | (4,983) | (10,429) | (5,169) | |||
Effect of exchange rate on cash, cash equivalents and restricted cash | (73) | 211 | (311) | 382 | |||
Net increase (decrease) in cash, cash equivalents and restricted cash | (3,622) | 371 | (3,146) | 819 | |||
Cash, cash equivalents and restricted cash at beginning of period | 16,865 | 19,826 | 16,389 | 19,378 | |||
Cash, cash equivalents and restricted cash at end of period | $ 13,243 | $ 20,197 | $ 13,243 | $ 20,197 | |||
Travelzoo Segment Information from Continuing Operations (Unaudited) (In thousands) | |||||||||
Three months ended June 30, 2024 | Travelzoo North America | Travelzoo | Jack's | New | Consolidated | ||||
Revenues from unaffiliated customers | $ 14,015 | $ 6,004 | $ 1,099 | $ 23 | $ 21,141 | ||||
Intersegment revenues | 119 | (53) | (66) | — | — | ||||
Total net revenues | 14,134 | 5,951 | 1,033 | 23 | 21,141 | ||||
Operating profit (loss) | $ 3,717 | $ 512 | $ (34) | $ (184) | $ 4,011 | ||||
Three months ended June 30, 2023 | Travelzoo North America | Travelzoo | Jack's | New | Consolidated | ||||
Revenues from unaffiliated customers | $ 13,642 | $ 6,462 | $ 1,011 | $ 13 | $ 21,128 | ||||
Intersegment revenues | 491 | (575) | 84 | — | — | ||||
Total net revenues | 14,133 | 5,887 | 1,095 | 13 | 21,128 | ||||
Operating profit (loss) | $ 3,753 | $ (239) | $ 97 | $ (338) | $ 3,273 | ||||
Six months ended June 30, | Travelzoo North America | Travelzoo | Jack's | New | Consolidated | ||||
Revenues from unaffiliated customers | $ 28,288 | $ 12,584 | $ 2,199 | $ 55 | $ 43,126 | ||||
Intersegment revenues | 74 | 29 | (103) | — | — | ||||
Total net revenues | 28,362 | 12,613 | 2,096 | 55 | 43,126 | ||||
Operating profit (loss) | $ 8,155 | $ 1,894 | $ (133) | $ (314) | $ 9,602 | ||||
Six months ended June 30, | Travelzoo North America | Travelzoo Europe | Jack's Flight Club | New Initiatives | Consolidated | ||||
Revenues from unaffiliated customers | $ 28,209 | $ 12,540 | $ 1,959 | $ 21 | $ 42,729 | ||||
Intersegment revenues | 682 | (766) | 84 | — | — | ||||
Total net revenues | 28,891 | 11,774 | 2,043 | 21 | 42,729 | ||||
Operating profit (loss) | $ 8,269 | $ 218 | $ 52 | $ (555) | $ 7,984 |
Travelzoo Reconciliation of GAAP to Non-GAAP Information (Unaudited) (In thousands, except per share amounts) | |||||||
Three months ended | Six months ended | ||||||
June 30, | June 30, | ||||||
2024 | 2023 | 2024 | 2023 | ||||
GAAP operating expense | $ 14,610 | $ 14,975 | $ 28,364 | $ 29,174 | |||
Non-GAAP adjustments: | |||||||
Amortization of intangibles (A) | 88 | 389 | 405 | 787 | |||
Stock option expenses (B) | 688 | 431 | 783 | 827 | |||
Severance-related expenses (C) | 30 | 56 | 30 | 95 | |||
Non-GAAP operating expense | 13,804 | 14,099 | 27,146 | 27,465 | |||
GAAP operating profit | 4,011 | 3,273 | 9,602 | 7,984 | |||
Non-GAAP adjustments (A through C) | 806 | 876 | 1,218 | 1,709 | |||
Non-GAAP operating profit | 4,817 | 4,149 | 10,820 | 9,693 | |||
Media Contact:
Investor Relations:
ir@travelzoo.com
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SOURCE Travelzoo
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