trivago (TRVG) Q3 2024 earnings summary

Executive summary

• Q3 2024 revenue declined 7% year-over-year to EUR 146.1 million, with solid brand revenue growth in Developed Europe and Rest of World, while Americas faced temporary headwinds from softer demand and reduced TV reach.

• Net loss for Q3 2024 was EUR 15.4 million, primarily due to a EUR 30 million intangible asset impairment, but significantly improved from EUR 182.6 million loss in Q3 2023.

• Adjusted EBITDA for Q3 2024 was EUR 13.6 million, exceeding expectations but down 15% year-over-year.

• Strategic priorities include branded growth, improved hotel search experience, enhanced deal coverage, empowering partners, and leveraging AI for localization.

• Launched a new marketing campaign with Jürgen Klopp as brand ambassador.

Financial highlights

• Q3 2024 total revenue was EUR 146.1 million, a 7% decline year-over-year; nine-month revenue was EUR 366.1 million, down 7% year-over-year.

• Net loss of EUR 15.4 million in Q3 2024, including a EUR 30 million impairment charge; nine-month net loss was EUR 28.8 million.

• Adjusted EBITDA reached EUR 13.6 million in Q3 2024; nine-month Adjusted EBITDA was a loss of EUR 0.9 million.

• Cash, cash equivalents, and restricted cash totaled EUR 108 million at quarter-end.

• Operational expenses decreased to EUR 165.7 million, reflecting lower marketing and administrative costs.

Outlook and guidance

• Expecting year-over-year top-line growth in Q4 2024 and sustainable growth in 2025.

• Adjusted EBITDA for full year 2024 projected to be close to break-even; 2025 Adjusted EBITDA expected to be similar to 2024.

• Anticipate high single-digit to double-digit revenue growth in 2025, driven by branded revenue and improved marketing comps.