TripAdvisor Q4 2020 Earnings Report
Key Takeaways
TripAdvisor's Q4 2020 revenue was $116 million, a 65% decrease compared to Q4 2019. The company reported a net loss of $73 million, and non-GAAP EPS was $(0.41). Despite the challenges, TripAdvisor is optimistic about 2021, focusing on building direct customer relationships and prudent cost management.
Total revenue decreased by 65% compared to the same period in 2019, amounting to $116 million.
The company experienced a net loss of $73 million.
Non-GAAP net loss was $55 million, with a non-GAAP EPS of $(0.41).
Cash and cash equivalents stood at $418 million as of December 31, 2020.
TripAdvisor
TripAdvisor
TripAdvisor Revenue by Segment
Forward Guidance
Tripadvisor anticipates improvements in the travel industry due to vaccine developments and growing travel demand.
Positive Outlook
- Vaccine developments since November are encouraging.
- Signals indicate that pent-up travel demand continues to grow.
- The travel industry is set up for a potential inflection later in the year.
- Focus on building direct, durable customer relationships.
- Prudent cost discipline, balancing persistent savings with targeted investments in exciting long-term strategic growth initiatives.
Challenges Ahead
- The travel industry's recovery progress has slowed as the virus resurged, particularly in Europe.
- Revenue performance was uneven on a monthly basis.
- Typical revenue seasonality, as well as the travel industry’s uneven recovery impacting consumer travel demand, materially increased our net loss in Q4 2020 versus Q3 2020.
- Majority of the sequential expense increase in Q4 versus Q3 was due to an increase in our full year compensation expense.
- The global pandemic materially affected consumer travel demand for the majority of the year.
Revenue & Expenses
Visualization of income flow from segment revenue to net income