TripAdvisor(US:TRIP)2022-05-05 16:49Financial Data and Key Metrics Changes - Revenue for Q1 2022 was reported at 70% of 2019 levels, improving to over 80% by the end of March and further in April [8][9] - The Hotels, Media & Platform (HM&P) segment recovered to 63% in Q1, with March at 76% and over 80% in April [21] - Experiences & Dining (E&D) revenue exceeded 130% of 2019 levels in April, with Experiences alone surpassing 140% [23][24] Business Line Data and Key Metrics Changes - The HM&P segment's hotel subscription business and display advertising lagged in recovery compared to other areas, attributed to rebuilding the salesforce and slower up-funnel advertising [21] - Auction revenue recovered quickly after January, reaching 76% of 2019 levels in March and improving significantly in April [21] - E&D showed phenomenal growth, particularly in Experiences, which is growing rapidly and exceeding expectations [24] Market Data and Key Metrics Changes - The recovery in the U.S. market has been robust, with U.S. travelers to Europe exceeding 2019 levels in April [23][57] - Europe as a destination for Experiences has regained strength, matching or exceeding the U.S. as a destination in April [57] Company Strategy and Development Direction - The company is focused on leveraging its unique position in the travel ecosystem and enhancing its offerings through strategic investments [5][61] - The appointment of a new CEO is expected to bring fresh perspectives and strategies to drive growth and address competitive challenges [6][61] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the transition of leisure travel back to full recovery and the potential benefits for the company [9] - The company is optimistic about its growth trajectory, particularly in the Experiences & Dining segment, which is outperforming expectations [24] Other Important Information - The company is investing significantly in marketing and product development for both Viator and TheFork, despite current losses, with a long-term view of achieving profitability [35][36] - The Trip Plus initiative remains a focus, with ongoing testing and iteration to find the right product-market fit [38] Q&A Session Summary Question: Thoughts on the new CEO's expertise and its benefits - Management highlighted the new CEO's broad experience across various roles and industries, emphasizing the importance of his ability to see the whole picture and drive growth [12][14][16] Question: Impact of the Digital Markets Act in Europe - Management acknowledged potential benefits from the regulatory changes but emphasized a cautious approach to strategy formulation around it [17] Question: Performance of HM&P and E&D segments - Management noted that the HM&P segment is recovering slower than OTAs, particularly in hotel subscriptions and display advertising, while E&D is seeing strong growth driven by both conversions and increased traffic [20][23] Question: Viator's potential IPO and revenue recognition - Management clarified that revenue from Tripadvisor's point-of-sale would be recognized under Viator if separated, and they are exploring options for a sub-IPO for Viator [27][29] Question: Marketing spend relative to 2019 levels - Management indicated that marketing expenditures for HM&P have remained consistent with 2019, while E&D has seen increased spending to drive growth [31][32] Question: Recovery of the B2B business - Management expects the B2B business to recover steadily, with a focus on rebuilding the salesforce and improving subscription offerings [48][49]