TripAdvisor (TRIP) investor relations material

Executive summary

• Q2 2026 revenue from continuing operations was $441.9 million, down 7% year-over-year, with adjusted EBITDA of $76.4 million (17.3% margin), and net income of $22.8 million, reflecting a strategic focus on experiences and portfolio simplification.

• The pending $700 million sale of TheFork to American Express Travel is expected to close by year-end 2026, with TheFork now classified as discontinued operations.

• Strategic priorities include strengthening leadership in Experiences, leveraging AI, simplifying legacy hotel offerings, and ongoing portfolio review to drive sustainable, profitable growth.

• Continuing operations now comprise Experiences and Hotels and Other segments, with all financials recast accordingly.

Financial highlights

• Experiences segment revenue grew 3% year-over-year to $278.6 million, with bookings up 5% and gross booking value reaching $1.4 billion, up 3%.

• Hotels and Other segment revenue declined 21% year-over-year to $163.3 million; media and advertising revenue fell 12%.

• Adjusted EBITDA margin for Experiences was 11.1% (down from 14.0%), and for Hotels and Other was 27.9% (down from 28.9%).

• Free cash flow from continuing operations was $129.8 million, down 29% year-over-year; cash and equivalents at quarter-end were $843.2 million.

Outlook and guidance

• Management expects continued macroeconomic and geopolitical headwinds to impact travel demand and financial results in the second half of 2026.

• The sale of TheFork is anticipated to provide flexibility for debt reduction, share repurchases, or further investment in Experiences.

• Experiences-led strategy and AI-enabled innovation are expected to drive long-term growth and margin expansion.