TripAdvisor, Inc 8-K, filed Feb 14, 2024

TripAdvisor, Inc. (TRIP)

8-K 2024-02-14 For: 2024-02-14

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Added on April 12, 2026

About this 8-K

TripAdvisor, Inc filed this 8-K on February 14, 2024.

Items reported

Item 2.02: Financial results
Item 9.01: Financial statements and exhibits

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Delaware	001-35362	80-0743202
(State or Other Jurisdiction of Incorporation)	(Commission File Number)	(IRS Employer Identification No.)

400 1st Avenue Needham, MA 02494
(Address of Principal Executive Offices) (Zip Code)


☐	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))


Exhibit
Number		Description

99.1		Press Release of Tripadvisor, Inc. dated February 14, 2024 regarding earnings.

104		Cover Page Interactive Data File (embedded within the Inline XBRL document).


	TRIPADVISOR, INC.

Date: February 14, 2024	By:	/S/ MICHAEL NOONAN
		Michael Noonan
		Chief Financial Officer


	Three Months Ended December 31,									Year Ended December 31,
(In millions, except percentages and per share amounts)	2023			2022			% Change			2023			2022			% Change
Total Revenue	$	390		$	354			10	%	$	1,788		$	1,492			20	%
Brand Tripadvisor (1)	$	218		$	217			0	%	$	1,031		$	966			7	%
Viator	$	161		$	127			27	%	$	737		$	493			49	%
TheFork	$	39		$	33			18	%	$	154		$	126			22	%
Intersegment eliminations (1)	$	(28	)	$	(23	)		22	%	$	(134	)	$	(93	)		44	%

GAAP Net Income (Loss)	$	32		$	(3	)	n.m.			$	10		$	20			(50	)%

Total Adjusted EBITDA (2)	$	84		$	43			95	%	$	334		$	295			13	%
Brand Tripadvisor	$	69		$	61			13	%	$	348		$	345			1	%
Viator	$	15		$	(3	)	n.m.			$	—		$	(11	)	n.m.
TheFork	$	—		$	(15	)	n.m.			$	(14	)	$	(39	)		(64	)%

Non-GAAP Net Income (Loss) (2)	$	55		$	10			450	%	$	186		$	109			71	%

Diluted Earnings (Loss) per Share:
GAAP	$	0.22		$	(0.02	)	n.m.			$	0.08		$	0.14			(43	)%
Non-GAAP (2)	$	0.38		$	0.07			443	%	$	1.29		$	0.75			72	%

Cash flow provided by (used in) operating activities	$	(19	)	$	(40	)		(53	)%	$	235		$	400			(41	)%
Free cash flow (2)	$	(35	)	$	(55	)		(36	)%	$	172		$	344			(50	)%


	Three months ended						Year Ended
	December 31, 2023			December 31, 2022			December 31, 2023			December 31, 2022
Revenue	$	390		$	354		$	1,788		$	1,492

Costs and expenses:
Cost of revenue (1) (exclusive of depreciation and amortization as shown separately below)		36			30			149			116
Selling and marketing (1)		179			194			940			784
Technology and content (1)		68			60			273			222
General and administrative (1)		47			58			191			172
Depreciation and amortization		25			25			87			97
Restructuring and other related reorganization costs		4			—			22			—
Total costs and expenses		359			367			1,662			1,391
Operating income (loss)		31			(13	)		126			101
Other income (expense):
Interest expense		(11	)		(10	)		(44	)		(44	)
Interest income		13			8			47			15
Other income (expense), net		(1	)		(1	)		(4	)		(5	)
Total other income (expense), net		1			(3	)		(1	)		(34	)
Income (loss) before income taxes		32			(16	)		125			67
(Provision) benefit for income taxes		—			13			(115	)		(47	)
Net income (loss)	$	32		$	(3	)	$	10		$	20

Earnings (loss) per share attributable to common stockholders:
Basic	$	0.23		$	(0.02	)	$	0.07		$	0.14
Diluted	$	0.22		$	(0.02	)	$	0.08		$	0.14

Numerator used to compute net income (loss) per share attributable to common stockholders:
Basic	$	32		$	(3	)	$	10		$	20
Diluted	$	32		$	(3	)	$	11		$	21

Weighted average common shares outstanding:
Basic		138			141			139			140
Diluted		143			141			145			146

(1) Includes stock-based compensation expense as follows:

Cost of revenue	$	—		$	—		$	1		$	1
Selling and marketing	$	4		$	3		$	16		$	12
Technology and content	$	10		$	9		$	40		$	36
General and administrative	$	10		$	11		$	39		$	39


	December 31,			December 31,
	2023			2022
ASSETS
Current assets:
Cash and cash equivalents	$	1,067		$	1,021
Accounts receivable, net (allowance for expected credit losses of $21 and $28, respectively)		192			205
Prepaid expenses and other current assets		38			44
Total current assets		1,297			1,270
Property and equipment, net of accumulated depreciation of $551 and $512, respectively		191			194
Operating lease right-of-use assets		15			27
Intangible assets, net of accumulated amortization of $208 and $198, respectively		43			51
Goodwill		829			822
Non-marketable investments		32			34
Deferred income taxes, net		86			78
Other long-term assets, net of allowance for credit losses of $10 and $10, respectively		44			93
TOTAL ASSETS	$	2,537		$	2,569
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable	$	28		$	39
Deferred merchant payables		237			203
Deferred revenue		49			44
Accrued expenses and other current liabilities		258			247
Total current liabilities		572			533
Long-term debt		839			836
Finance lease obligation, net of current portion		51			58
Operating lease liabilities, net of current portion		6			15
Deferred income taxes, net		1			1
Other long-term liabilities		197			265
Total Liabilities		1,666			1,708

Stockholders’ equity:
Preferred stock, $0.001 par value		—			—
Authorized shares: 100,000,000
Shares issued and outstanding: 0 and 0, respectively
Common stock, $0.001 par value		—			—
Authorized shares: 1,600,000,000
Shares issued: 149,775,361 and 146,891,538, respectively
Shares outstanding: 124,881,494 and 128,046,924, respectively
Class B common stock, $0.001 par value		—			—
Authorized shares: 400,000,000
Shares issued and outstanding: 12,799,999 and 12,799,999, respectively
Additional paid-in capital		1,493			1,404
Retained earnings		271			261
Accumulated other comprehensive income (loss)		(71	)		(82	)
Treasury stock-common stock, at cost, 24,893,867 and 18,844,614 shares, respectively		(822	)		(722	)
Total Stockholders’ Equity		871			861
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$	2,537		$	2,569


	2022															2023
	Q1			Q2			Q3			Q4			FY*			Q1			Q2			Q3			Q4			FY*
Reconciliation from GAAP Net Income (Loss) to Adjusted EBITDA (Non-GAAP):
GAAP Net Income (Loss)	$	(34	)	$	31		$	25		$	(3	)	$	20		$	(73	)	$	24		$	27		$	32		$	10
Add: Provision (benefit) for income taxes		1			22			37			(13	)		47			58			20			37			-			115
Add: Other expense (income), net		13			10			8			3			34			1			-			-			(1	)		1
Add: Restructuring and other related organization costs		-			-			-			-			-			-			-			18			4			22
Add: Legal reserves and settlements		-			-			-			-			1			-			-			-			-			-
Add: Other non-recurring expenses (income) (1)		-			-			-			8			8			3			-			-			-			3
Add: Stock-based compensation expense		22			21			22			23			88			23			25			24			24			96
Add: Depreciation and amortization (2)		25			25			23			25			97			21			21			21			25			87
Adjusted EBITDA (Non-GAAP)	$	27		$	109		$	115		$	43		$	295		$	33		$	90		$	127		$	84		$	334

Reconciliation from GAAP Net Income (Loss) to Non-GAAP Net Income (Loss):
GAAP Net Income (Loss)	$	(34	)	$	31		$	25		$	(3	)	$	20		$	(73	)	$	24		$	27		$	32		$	10
Add: Stock-based compensation expense		22			21			22			23			88			23			25			24			24			96
Add: Legal reserves and settlements		-			-			-			-			1			-			-			-			-			-
Add: Restructuring and other related organization costs		-			-			-			-			-			-			-			18			4			22
Add: Other non-recurring expenses (income) (1)		-			-			-			8			8			3			-			-			-			3
Add: Amortization of intangible assets		3			3			3			4			13			2			2			2			2			9
Add: (Gain)/Loss on investments		(1	)		(1	)		(1	)		(1	)		(3	)		(1	)		(1	)		(1	)		(1	)		(3	)
Subtract: Income tax effect of Non-GAAP adjustments (3)		3			-			8			7			18			2			1			(4	)		5			6
Subtract: Non-recurring or infrequent discrete tax items (4)		-			-			(14	)		14			-			(55	)		-			-			1			(55	)
Non-GAAP Net Income (Loss)	$	(13	)	$	54		$	55		$	10		$	109		$	7		$	49		$	74		$	55		$	186
Interest expense on 2026 Senior Notes, net of tax (5)		-			-			-			-			1			-			-			-			-			1
Numerator used to compute Non-GAAP net income (loss) per diluted share	$	(13	)	$	54		$	55		$	10		$	110		$	7		$	49		$	74		$	55		$	187

Reconciliation from GAAP Earnings per Share (EPS) to Non-GAAP EPS:
GAAP Diluted Shares Outstanding (6)		139			145			146			146			146			147			145			143			143			145
GAAP Diluted Earnings (Loss) per Share	$	(0.24	)	$	0.21		$	0.17		$	(0.02	)	$	0.14		$	(0.52	)	$	0.17		$	0.19		$	0.22		$	0.08
Non-GAAP Diluted Earnings (Loss) per Share as Adjusted (7)	$	(0.09	)	$	0.37		$	0.38		$	0.07		$	0.75		$	0.05		$	0.34		$	0.52		$	0.38		$	1.29
Non-GAAP Diluted Earnings (Loss) per Share as Previously Reported	$	(0.09	)	$	0.37		$	0.28		$	0.16		$	0.75		n/a			n/a			n/a			n/a			n/a
Non-GAAP Diluted Earnings (Loss) per Share - increase/(decrease) as result of revised definition	$	(0.00	)	$	0.00		$	0.10		$	(0.09	)	$	0.00		n/a			n/a			n/a			n/a			n/a

Foreign Exchange Reconciliation:
GAAP Total Revenue Growth		113	%		77	%		51	%		47	%		65	%		42	%		18	%		16	%		10	%		20	%
Estimated effects of changes in foreign currency exchange rates		(5	)%		(10	)%		(12	)%		(11	)%		(10	)%		(4	)%		(1	)%		3	%		2	%		1	%
Non-GAAP Total Revenue growth on a constant currency basis		118	%		87	%		63	%		58	%		75	%		46	%		19	%		13	%		8	%		19	%

GAAP Total Brand Tripadvisor Segment Revenue		79	%		49	%		34	%		34	%		45	%		28	%		2	%		2	%		0	%		7	%
Estimated effects of changes in foreign currency exchange rates		(2	)%		(7	)%		(9	)%		(7	)%		(7	)%		(2	)%		0	%		3	%		1	%		1	%
Non-GAAP Total Brand Tripadvisor segment revenue growth on a constant currency basis		81	%		56	%		43	%		41	%		52	%		30	%		2	%		(1	)%		(1	)%		6	%

GAAP Total Viator Segment Revenue		367	%		240	%		138	%		115	%		168	%		105	%		59	%		41	%		27	%		49	%
Estimated effects of changes in foreign currency exchange rates		(6	)%		(13	)%		(16	)%		(16	)%		(15	)%		(10	)%		(2	)%		2	%		2	%		(1	)%
Non-GAAP Total Viator segment revenue growth on a constant currency basis		373	%		253	%		154	%		131	%		183	%		115	%		61	%		39	%		25	%		50	%

GAAP Total TheFork Segment Revenue		271	%		78	%		17	%		10	%		48	%		35	%		19	%		20	%		18	%		22	%
Estimated effects of changes in foreign currency exchange rates		(48	)%		(26	)%		(14	)%		(16	)%		(19	)%		(6	)%		3	%		6	%		8	%		3	%
Non-GAAP Total TheFork segment revenue growth on a constant currency basis		319	%		104	%		31	%		26	%		67	%		41	%		16	%		14	%		10	%		19	%

Reconciliation of GAAP Cash Flow from Operating Activities to Non-GAAP Free Cash Flow:
Cash flow provided by (used in) operations	$	86		$	295		$	60			(40	)	$	400		$	135		$	105		$	14			(19	)		235
Subtract: Capital expenditures		14			13			14			15			56			16			15			16			16			63
Free Cash Flow (Non-GAAP)	$	72		$	282		$	46		$	(55	)	$	344		$	119		$	90		$	(2	)	$	(35	)	$	172


	2022															2023
	Q1			Q2			Q3			Q4			FY*			Q1			Q2			Q3			Q4			FY*
Segments - Revenue:
Total Revenue	$	262		$	417		$	459		$	354		$	1,492		$	371		$	494		$	533		$	390		$	1,788
Growth % (y/y)		113	%		77	%		51	%		47	%		65	%		42	%		18	%		16	%		10	%		20	%
Brand Tripadvisor		191			274			284			217			966			244			279			290			218			1,031
Growth % (y/y)		79	%		49	%		34	%		34	%		45	%		28	%		2	%		2	%		0	%		7	%
Tripadvisor-branded hotels		135			188			188			140			650			168			174			181			135			659
Growth % (y/y)		82	%		44	%		31	%		36	%		44	%		24	%		(7	)%		(4	)%		(4	)%		1	%
Media and advertising		26			37			33			33			130			30			42			38			35			145
Growth % (y/y)		86	%		42	%		14	%		14	%		33	%		15	%		14	%		15	%		6	%		12	%
Tripadvisor experiences and dining (8)		20			35			45			34			134			33			50			55			38			176
Growth % (y/y)		67	%		119	%		96	%		70	%		91	%		65	%		43	%		22	%		12	%		31	%
Other		10			14			18			10			52			13			13			16			10			51
Growth % (y/y)		43	%		27	%		6	%		0	%		13	%		30	%		(7	)%		(11	)%		0	%		(2	)%
Viator		56			136			174			127			493			115			216			245			161			737
Growth % (y/y)		367	%		240	%		138	%		115	%		168	%		105	%		59	%		41	%		27	%		49	%
TheFork		26			32			35			33			126			35			38			42			39			154
Growth % (y/y)		271	%		78	%		17	%		10	%		48	%		35	%		19	%		20	%		18	%		22	%
Intersegment revenue (8)		(11	)		(25	)		(34	)		(23	)		(93	)		(23	)		(39	)		(44	)		(28	)		(134	)

Percent of Total Revenue:
Tripadvisor-branded hotels		52	%		45	%		41	%		40	%		44	%		45	%		35	%		34	%		35	%		37	%
Media and advertising		10	%		9	%		7	%		9	%		9	%		8	%		9	%		7	%		9	%		8	%
Tripadvisor experiences and dining (8)		8	%		8	%		10	%		10	%		9	%		9	%		10	%		10	%		10	%		10	%
Other		4	%		3	%		4	%		3	%		3	%		4	%		3	%		3	%		3	%		3	%
Viator		21	%		33	%		38	%		36	%		33	%		31	%		44	%		46	%		41	%		41	%
TheFork		10	%		8	%		8	%		9	%		8	%		9	%		8	%		8	%		10	%		9	%
Intersegment revenue (8)		(4	)%		(6	)%		(7	)%		(6	)%		(6	)%		(6	)%		(8	)%		(8	)%		(7	)%		(7	)%

GAAP Net Income (Loss): (9)
GAAP Net Income (Loss)	$	(34	)	$	31		$	25		$	(3	)	$	20		$	(73	)	$	24		$	27		$	32		$	10
Growth % (y/y)		(58	)%	n.m.				2,400	%		(90	%)	n.m.				115	%		(23	)%		8	%	n.m.				(50	)%
GAAP Net Income (Loss) margin		(13	%)		7	%		5	%		(1	%)		1	%		(20	%)		5	%		5	%		8	%		1	%

Segments - Adjusted EBITDA:
Total Adjusted EBITDA	$	27		$	109		$	115		$	43		$	295		$	33		$	90		$	127		$	84		$	334
Growth % (y/y)	n.m.				336	%		60	%		48	%		195	%		22	%		(17	)%		10	%		95	%		13	%
Brand Tripadvisor		55			116			112			61			345			72			96			111			69			348
Growth % (y/y)		686	%		137	%		53	%		24	%		95	%		31	%		(17	)%		(1	)%		13	%		1	%
Viator		(20	)		0			12			(3	)		(11	)		(30	)		(2	)		17			15			0
Growth % (y/y)		43	%	n.m.				1,100	%		(50	%)		(65	)%		50	%	n.m.				42	%	n.m.			n.m.
TheFork		(8	)		(7	)		(9	)		(15	)		(39	)		(9	)		(4	)		(1	)		0			(14	)
Growth % (y/y)		(58	)%		(36	)%		350	%		7	%		(15	)%		13	%		(43	)%		(89	)%	n.m.				(64	)%

Adjusted EBITDA Margin by Segment:
Total		10	%		26	%		25	%		12	%		20	%		9	%		18	%		24	%		22	%		19	%
Brand Tripadvisor		29	%		42	%		39	%		28	%		36	%		30	%		34	%		38	%		32	%		34	%
Viator		(36	)%		0	%		7	%		(2	)%		(2	)%		(26	)%		(1	)%		7	%		9	%		0	%
TheFork		(31	)%		(22	)%		(26	)%		(45	)%		(31	)%		(26	)%		(11	)%		(2	)%		0	%		(9	)%


Item 2.02.	Results of Operations and Financial Condition.