v3.25.0.1
Segment and Geographic Information
 12 Months Ended
Dec. 31, 2024
Segment Reporting [Abstract]  
Segment and Geographic Information

NOTE 18: SEGMENT AND GEOGRAPHIC INFORMATION

We have three reportable segments: (1) Brand Tripadvisor; (2) Viator; and (3) TheFork. Our Brand Tripadvisor segment includes the following revenue sources: (1) Tripadvisor-branded hotels – consisting of hotel meta revenue, primarily click-based advertising revenue, and also hotel B2B revenue, which includes primarily subscription-based advertising and hotel sponsored placements revenue; (2) Media and advertising revenue – consisting primarily of display-based advertising revenue (also referred to as “media advertising”); (3) Tripadvisor experiences and dining revenue – consisting of intercompany (intersegment) revenue related to affiliate marketing commissions earned primarily from experience bookings, and to a lesser extent, restaurant reservation bookings on

Tripadvisor-branded websites and mobile apps, fulfilled by Viator and TheFork, respectively, which are eliminated on a consolidated basis, in addition to external revenue generated from Tripadvisor restaurant offerings; and (4) Other revenue – consisting of cruises, vacation rentals, flights, and rental cars revenue. The nature of the services provided and related revenue recognition policies are summarized by reportable segment in “Note 2: Significant Accounting Policies.”

Our operating segments are determined based on how our chief executive officer, who also serves as our chief operating decision maker (“CODM”) manages our business, regularly accesses information, and evaluates performance for operating decision-making purposes, including allocation of operating and capital resources. adjusted EBITDA is our reported measure of segment profit and a key measure used by our CODM and Board of Directors to understand and evaluate the operating performance of our business as a whole and our individual operating segments, and on which internal budgets and forecasts are based and approved. We define adjusted EBITDA as net income (loss) plus: (1) (provision) benefit for income taxes; (2) other income (expense), net; (3) depreciation and amortization; (4) stock-based compensation; (5) goodwill, long-lived asset, and intangible assets impairments; (6) legal reserves, settlements and other (including indirect tax reserves related to audit settlements and the impact of one-time changes resulting from enacted indirect tax legislation); (7) restructuring and other related reorganization costs; (8) transaction related expenses; and (9) non-recurring expenses and income unusual in nature or infrequently occurring.

Direct costs are included in the applicable operating segments, including certain personnel costs, which have been allocated to each segment. We base these allocations on time-spent analyses, headcount, and other allocation methods we believe are reasonable. We do not allocate certain shared expenses to our reportable segments, such as certain information system costs, technical infrastructure costs, and other costs supporting the Tripadvisor platform and operations, that we do not believe are a material driver of individual segment performance, which is consistent with the financial information used by our CODM. We include these expenses in our Brand Tripadvisor segment. Our allocation methodology is periodically evaluated and may change.

The following tables present our reportable segment information for the years ended December 31, 2024, 2023 and 2022 and includes a reconciliation of Adjusted EBITDA to Net income (loss). We record depreciation and amortization, stock-based compensation, goodwill, long-lived asset and intangible asset impairments, legal reserves, settlements and other, transaction related expenses, and other non-recurring expenses and income, net, which are excluded from segment operating performance, in “Corporate & Eliminations.” In addition, we do not report total assets, capital expenditures and related depreciation expense by segment as our CODM does not use this information to evaluate operating segment performance. Accordingly, we do not regularly provide such information by segment to our CODM.

Our segment disclosure includes intersegment revenues, which consist of affiliate marketing fees for services provided by our Brand Tripadvisor segment to both our Viator and TheFork segments. These intersegment transactions are recorded by each segment at amounts that we believe approximate fair value as if the transactions were between third parties and, therefore, impact segment performance. However, the revenue and corresponding expense are eliminated in consolidation. The elimination of such intersegment transactions is included within the “Corporate & Eliminations” column in the tables below.

 

 

 

Year ended December 31, 2024

 

 

 

Brand Tripadvisor (1)

 

 

Viator (2)

 

 

TheFork (3)

 

 

Corporate &
Eliminations

 

 

Total

 

 

 

(in millions)

 

External revenue

 

$

814

 

 

$

840

 

 

$

181

 

 

$

—

 

 

$

1,835

 

Intersegment revenue

 

 

135

 

 

 

—

 

 

 

—

 

 

 

(135

)

 

 

—

 

  Revenue

 

$

949

 

 

$

840

 

 

$

181

 

 

$

(135

)

 

$

1,835

 

Less: (4)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cost of sales (5)

 

 

33

 

 

 

80

 

 

 

15

 

 

 

—

 

 

 

128

 

Marketing

 

 

251

 

 

 

562

 

 

 

51

 

 

 

(135

)

 

 

729

 

Personnel (exclusive of stock-based compensation as shown separately below)

 

 

266

 

 

 

126

 

 

 

83

 

 

 

—

 

 

 

475

 

Technology

 

 

54

 

 

 

25

 

 

 

12

 

 

 

—

 

 

 

91

 

General and administrative (6)

 

 

44

 

 

 

14

 

 

 

15

 

 

 

—

 

 

 

73

 

Adjusted EBITDA

 

 

301

 

 

 

33

 

 

 

5

 

 

 

—

 

 

 

339

 

Depreciation and amortization

 

 

 

 

 

 

 

 

 

 

 

(85

)

 

 

(85

)

Stock-based compensation

 

 

 

 

 

 

 

 

 

 

 

(120

)

 

 

(120

)

Restructuring and other related reorganization costs (7)

 

 

(18

)

 

 

(2

)

 

 

(1

)

 

 

 

 

 

(21

)

Legal reserves, settlements and other (8)

 

 

 

 

 

 

 

 

 

 

 

(18

)

 

 

(18

)

Transaction related expenses (9)

 

 

 

 

 

 

 

 

 

 

 

(3

)

 

 

(3

)

Operating income (loss)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

92

 

Other income (expense), net

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(5

)

Income (loss) before income taxes

 

 

 

 

 

 

 

 

 

 

 

 

 

 

87

 

(Provision) benefit for income taxes

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(82

)

Net income (loss)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

5

 

 

 

 

Year ended December 31, 2023

 

 

 

Brand Tripadvisor (1)

 

 

Viator (2)

 

 

TheFork (3)

 

 

Corporate &
Eliminations

 

 

Total

 

 

 

(in millions)

 

External revenue

 

$

897

 

 

$

737

 

 

$

154

 

 

$

—

 

 

$

1,788

 

Intersegment revenue

 

 

134

 

 

 

—

 

 

 

—

 

 

 

(134

)

 

 

—

 

  Revenue

 

$

1,031

 

 

$

737

 

 

$

154

 

 

$

(134

)

 

$

1,788

 

Less: (4)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cost of sales

 

 

31

 

 

 

79

 

 

 

9

 

 

 

—

 

 

 

119

 

Marketing

 

 

279

 

 

 

519

 

 

 

41

 

 

 

(134

)

 

 

705

 

Personnel (exclusive of stock-based compensation as shown separately below)

 

 

273

 

 

 

110

 

 

 

91

 

 

 

—

 

 

 

474

 

Technology

 

 

50

 

 

 

18

 

 

 

12

 

 

 

—

 

 

 

80

 

General and administrative (10)

 

 

50

 

 

 

11

 

 

 

15

 

 

 

—

 

 

 

76

 

Adjusted EBITDA

 

 

348

 

 

 

—

 

 

 

(14

)

 

 

—

 

 

 

334

 

Depreciation and amortization

 

 

 

 

 

 

 

 

 

 

 

(87

)

 

 

(87

)

Stock-based compensation

 

 

 

 

 

 

 

 

 

 

 

(96

)

 

 

(96

)

Restructuring and other related reorganization costs (7)

 

 

(10

)

 

 

(3

)

 

 

(9

)

 

 

—

 

 

 

(22

)

Transaction related expenses (9)

 

 

 

 

 

 

 

 

 

 

 

(3

)

 

 

(3

)

Operating income (loss)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

126

 

Other income (expense), net

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1

)

Income (loss) before income taxes

 

 

 

 

 

 

 

 

 

 

 

 

 

 

125

 

(Provision) benefit for income taxes

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(115

)

Net income (loss)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

10

 

 

 

 

 

Year ended December 31, 2022

 

 

 

Brand Tripadvisor (1)

 

 

Viator (2)

 

 

TheFork (3)

 

 

Corporate &
Eliminations

 

 

Total

 

 

 

(in millions)

 

External revenue

 

$

873

 

 

$

493

 

 

$

126

 

 

$

—

 

 

$

1,492

 

Intersegment revenue

 

 

93

 

 

 

—

 

 

 

—

 

 

 

(93

)

 

 

—

 

  Revenue

 

$

966

 

 

$

493

 

 

$

126

 

 

$

(93

)

 

$

1,492

 

Less: (4)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cost of sales

 

 

20

 

 

 

51

 

 

 

7

 

 

 

—

 

 

 

78

 

Marketing

 

 

260

 

 

 

351

 

 

 

58

 

 

 

(93

)

 

 

576

 

Personnel (exclusive of stock-based compensation as shown separately below)

 

 

249

 

 

 

81

 

 

 

85

 

 

 

—

 

 

 

415

 

Technology

 

 

42

 

 

 

9

 

 

 

12

 

 

 

—

 

 

 

63

 

General and administrative (11)

 

 

50

 

 

 

12

 

 

 

3

 

 

 

—

 

 

 

65

 

Adjusted EBITDA

 

 

345

 

 

 

(11

)

 

 

(39

)

 

 

—

 

 

 

295

 

Depreciation and amortization

 

 

 

 

 

 

 

 

 

 

 

(97

)

 

 

(97

)

Stock-based compensation

 

 

 

 

 

 

 

 

 

 

 

(88

)

 

 

(88

)

Legal reserves, settlements and other

 

 

 

 

 

 

 

 

 

 

 

(1

)

 

 

(1

)

Other non-recurring expenses (income) (12)

 

 

 

 

 

 

 

 

 

 

 

(8

)

 

 

(8

)

Operating income (loss)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

101

 

Other income (expense), net

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(34

)

Income (loss) before income taxes

 

 

 

 

 

 

 

 

 

 

 

 

 

 

67

 

(Provision) benefit for income taxes

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(47

)

Net income (loss)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

20

 

 

(1)
Certain personnel costs of $7 million, $6 million and $5 million for the years ended December 31, 2024, 2023 and 2022, respectively, were allocated to the Viator and TheFork segments.
(2)
Includes allocated certain personnel costs from the Brand Tripadvisor segment of $3 million, $3 million and $2 million for the years ended December 31, 2024, 2023 and 2022, respectively.
(3)
Includes allocated certain personnel costs from the Brand Tripadvisor segment of $4 million, $3 million and $3 million for the years ended December 31, 2024, 2023 and 2022, respectively.
(4)
The significant segment expense categories and amounts align with the segment-level information that is regularly provided to our CODM.
(5)
Exclusive of $2 million and $1 million in the Brand Tripadvisor and Viator segments, respectively, which are included separately below in legal reserves, settlements and other.
(6)
Exclusive of $18 million in the Brand Tripadvisor segment which is included separately below in legal reserves, settlements and other and transaction related expenses.
(7)
Refer to “Note 7: Accrued Expenses and Other Current Liabilities” for information regarding restructuring and other related reorganization costs.
(8)
This amount primarily includes an estimated accrual for the potential settlement of a regulatory related matter of $10 million expensed during 2024 and is reflected in general and administrative expenses on our consolidated statement of operations. Refer to "Note 11: Commitments and Contingencies" for further information. In addition, this amount includes a one-time charge of $3 million during the year ended December 31, 2024, resulting from enacted tax legislation in Canada during June 2024 related to digital service taxes, which requires retrospective application back to January 1, 2022. This amount represents the one-time retrospective liability for the periods prior to April 1, 2024, while all prospective periods are and will be included within adjusted EBITDA, respectively. This cost is reflected in cost of sales on our consolidated statement of operations.
(9)
The Company expensed certain transaction related costs of $3 million during both the years ended December 31, 2024 and 2023, to general and administrative expenses on our consolidated statements of operations.
(10)
Exclusive of $3 million in the Viator segment which is included separately below in transaction related expenses.
(11)
Exclusive of $8 million in the Brand Tripadvisor segment which is included separately below in other non-recurring expenses (income).
(12)
The Company incurred a loss of approximately $8 million during the fourth quarter of 2022, as the result of external fraud. This loss was recorded to general and administrative expenses on the consolidated statement of operations for December 31, 2022. The Company considers such costs to be non-recurring in nature.

Product and Geographic Information

We disaggregate revenue into major products and revenue sources, as follows, for the periods presented:

 

 

Year ended December 31,

 

 

 

2024

 

 

2023

 

 

2022

 

Major products/revenue sources (1):

 

(in millions)

 

Brand Tripadvisor

 

 

 

 

 

 

 

 

 

   Tripadvisor-branded hotels

 

$

585

 

 

$

659

 

 

$

650

 

   Media and advertising

 

 

150

 

 

 

145

 

 

 

130

 

   Tripadvisor experiences and dining (2)

 

 

169

 

 

 

176

 

 

 

134

 

   Other

 

 

45

 

 

 

51

 

 

 

52

 

Total Brand Tripadvisor

 

 

949

 

 

 

1,031

 

 

 

966

 

 

 

 

 

 

 

 

 

 

 

Viator

 

 

840

 

 

 

737

 

 

 

493

 

TheFork

 

 

181

 

 

 

154

 

 

 

126

 

Intersegment eliminations (2)

 

 

(135

)

 

 

(134

)

 

 

(93

)

  Total Revenue

 

$

1,835

 

 

$

1,788

 

 

$

1,492

 
(1)
Our revenue is recognized primarily at a point in time for all reported segments.
(2)
Tripadvisor experiences and dining revenue within the Brand Tripadvisor segment is shown gross of intersegment (intercompany) revenue, which is eliminated on a consolidated basis.

 

The Company measures its geographic revenue based on the physical location of the Tripadvisor subsidiary which generates the revenue, which is consistent with our measurement of long-lived physical assets, or property and equipment, net. As such, this geographic classification does not necessarily align with where the consumer resides, where the consumer is physically located while using the Company's services, or the location of the travel service provider, experience operator or restaurant.

The Company’s revenue based on geographic location consists of the following for the periods presented:

 

 

Year ended December 31,

 

 

 

2024

 

 

2023

 

 

2022

 

 

 

(in millions)

 

Revenue

 

 

 

 

 

 

 

 

 

United States

 

$

1,230

 

 

$

1,198

 

 

$

905

 

United Kingdom

 

 

334

 

 

 

349

 

 

 

402

 

All other countries

 

 

271

 

 

 

241

 

 

 

185

 

Total revenue

 

$

1,835

 

 

$

1,788

 

 

$

1,492

 

The Company’s property and equipment, net for the United States and all other countries based on the geographic location of the assets consists of the following as of the dates presented:

 

 

 

December 31,

 

 

 

2024

 

 

2023

 

 

 

(in millions)

 

Property and equipment, net

 

 

 

 

 

 

United States

 

$

144

 

 

$

147

 

All other countries

 

 

56

 

 

 

44

 

Total

 

$

200

 

 

$

191

 

Customer Concentrations

 

Refer to “Note 2: Significant Accounting Policies” under the section entitled “Certain Risks and Concentrations” for information regarding our major customer concentrations.