trivago N.V. | |||||||||||||||||
Date: August 9, 2022 | By: | /s/ Matthias Tillmann | |||||||||||||||
Matthias Tillmann | |||||||||||||||||
Chief Financial Officer | |||||||||||||||||
Exhibit No. | Description | |||||||
99.1 | ||||||||
99.2 | ||||||||
99.3 |
Three months ended June 30, | Six months ended June 30, | ||||||||||||||||||||||||||||||||||
2022 | 2021 | Δ Y/Y | 2022 | 2021 | Δ Y/Y | ||||||||||||||||||||||||||||||
Total revenue | 144.8 | 95.5 | 52% | 246.4 | 133.7 | 84% | |||||||||||||||||||||||||||||
Qualified Referrals (in millions) | 84.6 | 73.4 | 15% | 153.2 | 115.8 | 32% | |||||||||||||||||||||||||||||
Revenue per Qualified Referral (in €) | 1.67 | 1.27 | 31% | 1.57 | 1.12 | 40% | |||||||||||||||||||||||||||||
Operating loss | (59.8) | (2.9) | n.m. | (64.6) | (11.7) | n.m. | |||||||||||||||||||||||||||||
Net loss | (59.8) | (3.3) | n.m. | (70.5) | (10.0) | n.m. | |||||||||||||||||||||||||||||
Return on Advertising Spend | 165.9% | 144.6% | 21.3 ppts | 172.8% | 155.7% | 17.1 ppts | |||||||||||||||||||||||||||||
Adjusted EBITDA(1) | 30.3 | 4.3 | n.m. | 51.4 | (0.5) | n.m. |
Three months ended June 30, | Six months ended June 30, | ||||||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | Δ € | Δ % | 2022 | 2021 | Δ € | Δ % Y/Y | ||||||||||||||||||||||||||||||||||||||||
Americas | € | 55.7 | € | 37.6 | 18.1 | 48% | € | 99.4 | € | 55.9 | 43.5 | 78% | |||||||||||||||||||||||||||||||||||
Developed Europe | 66.8 | 43.7 | 23.1 | 53% | 110.3 | 53.3 | 57.0 | 107% | |||||||||||||||||||||||||||||||||||||||
Rest of World | 19.0 | 12.1 | 6.9 | 57% | 30.2 | 20.5 | 9.7 | 47% | |||||||||||||||||||||||||||||||||||||||
Total Referral Revenue | € | 141.4 | € | 93.4 | 48.0 | 51% | € | 239.9 | € | 129.6 | 110.3 | 85% | |||||||||||||||||||||||||||||||||||
Other revenue | 3.3 | 2.0 | 1.3 | 65% | 6.5 | 4.1 | 2.4 | 59% | |||||||||||||||||||||||||||||||||||||||
Total revenue | € | 144.8 | € | 95.5 | 49.3 | 52% | € | 246.4 | € | 133.7 | 112.7 | 84% |
Three months ended June 30, | Six months ended June 30, | ||||||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | Δ | Δ % | 2022 | 2021 | Δ | Δ % Y/Y | ||||||||||||||||||||||||||||||||||||||||
Americas | 22.2 | 20.3 | 1.9 | 9% | 45.5 | 37.4 | 8.1 | 22% | |||||||||||||||||||||||||||||||||||||||
Developed Europe | 39.0 | 32.6 | 6.4 | 20% | 67.6 | 42.7 | 24.9 | 58% | |||||||||||||||||||||||||||||||||||||||
Rest of World | 23.4 | 20.5 | 2.9 | 14% | 40.1 | 35.7 | 4.4 | 12% | |||||||||||||||||||||||||||||||||||||||
Total | 84.6 | 73.4 | 11.2 | 15% | 153.2 | 115.8 | 37.4 | 32% |
Three months ended June 30, | Six months ended June 30, | ||||||||||||||||||||||||||||||||||
2022 | 2021 | Δ % | 2022 | 2021 | Δ % Y/Y | ||||||||||||||||||||||||||||||
Americas | € | 2.51 | € | 1.85 | 36% | € | 2.18 | € | 1.49 | 46% | |||||||||||||||||||||||||
Developed Europe | 1.71 | 1.34 | 28% | 1.63 | 1.25 | 30% | |||||||||||||||||||||||||||||
Rest of World | 0.81 | 0.59 | 37% | 0.75 | 0.57 | 32% | |||||||||||||||||||||||||||||
Consolidated RPQR | € | 1.67 | € | 1.27 | 31% | € | 1.57 | € | 1.12 | 40% |
Three months ended June 30, | Six months ended June 30, | ||||||||||||||||||||||||||||||||||
2022 | 2021 | Δ ppts | 2022 | 2021 | Δ ppts | ||||||||||||||||||||||||||||||
ROAS | |||||||||||||||||||||||||||||||||||
Americas | 166.8% | 131.5% | 35.3 ppts | 174.2% | 144.9% | 29.3 ppts | |||||||||||||||||||||||||||||
Developed Europe | 157.1% | 146.9% | 10.2 ppts | 164.3% | 153.6% | 10.7 ppts | |||||||||||||||||||||||||||||
Rest of World | 202.1% | 193.5% | 8.6 ppts | 206.9% | 204.2% | 2.7 ppts | |||||||||||||||||||||||||||||
Consolidated ROAS | 165.9% | 144.6% | 21.3 ppts | 172.8% | 155.7% | 17.1 ppts |
Costs and expenses | As a % of revenue | ||||||||||||||||||||||||||||||||||
Three months ended June 30, | Three months ended June 30, | ||||||||||||||||||||||||||||||||||
2022 | 2021 | Δ % | 2022 | 2021 | Δ in ppts | ||||||||||||||||||||||||||||||
Cost of revenue | € | 3.0 | € | 3.0 | —% | 2 | % | 3 | % | (1) | % | ||||||||||||||||||||||||
of which share-based compensation | 0.1 | 0.1 | —% | ||||||||||||||||||||||||||||||||
Selling and marketing | 92.4 | 71.4 | 29% | 64 | % | 75 | % | (11) | % | ||||||||||||||||||||||||||
of which share-based compensation | 0.2 | 0.3 | (33)% | ||||||||||||||||||||||||||||||||
Technology and content | 15.5 | 13.8 | 12% | 11 | % | 14 | % | (3) | % | ||||||||||||||||||||||||||
of which share-based compensation | 1.0 | 1.1 | (9)% | ||||||||||||||||||||||||||||||||
General and administrative | 9.5 | 10.2 | (7)% | 7 | % | 11 | % | (4) | % | ||||||||||||||||||||||||||
of which share-based compensation | 2.4 | 3.5 | (31)% | ||||||||||||||||||||||||||||||||
Amortization of intangible assets | 0.0 | 0.1 | (100)% | 0 | % | 0 | % | — | % | ||||||||||||||||||||||||||
Impairment of intangible assets and goodwill | 84.2 | — | 100% | 58 | % | — | % | 58 | % | ||||||||||||||||||||||||||
Total costs and expenses | € | 204.5 | € | 98.3 | 108% | 141% | 103 | % | 38 | % |
Costs and Expenses | As a % of Revenue | ||||||||||||||||||||||||||||||||||
Six months ended June 30, | Six months ended June 30, | ||||||||||||||||||||||||||||||||||
2022 | 2021 | Δ % Y/Y | 2022 | 2021 | Δ in ppts | ||||||||||||||||||||||||||||||
Cost of revenue | € | 6.0 | € | 5.6 | 7% | 2 | % | 4 | % | (2) | % | ||||||||||||||||||||||||
of which share-based compensation | 0.1 | 0.1 | —% | ||||||||||||||||||||||||||||||||
Selling and marketing | 151.7 | 94.7 | 60% | 62 | % | 71 | % | (9) | % | ||||||||||||||||||||||||||
of which share-based compensation | 0.4 | 0.5 | (20)% | ||||||||||||||||||||||||||||||||
Technology and content | 29.0 | 26.4 | 10% | 12 | % | 20 | % | (8) | % | ||||||||||||||||||||||||||
of which share-based compensation | 1.6 | 1.7 | (6)% | ||||||||||||||||||||||||||||||||
General and administrative | 40.1 | 18.7 | 114% | 16 | % | 14 | % | 2 | % | ||||||||||||||||||||||||||
of which share-based compensation | 4.6 | 5.6 | (18)% | ||||||||||||||||||||||||||||||||
Amortization of intangible assets | 0.1 | 0.1 | —% | 0 | % | 0 | % | — | % | ||||||||||||||||||||||||||
Impairment of intangible assets and goodwill | 84.2 | — | 100% | 34% | — | % | 34 | % | |||||||||||||||||||||||||||
Total costs and expenses | € | 311.0 | € | 145.5 | 114% | 126% | 109 | % | 17 | % | |||||||||||||||||||||||||
Three months ended June 30, | Six months ended June 30, | ||||||||||||||||||||||||||||||||||
2022 | 2021 | Δ € | 2022 | 2021 | Δ € | ||||||||||||||||||||||||||||||
Operating loss | € | (59.8) | € | (2.9) | (56.9) | € | (64.6) | € | (11.7) | (52.9) | |||||||||||||||||||||||||
Other income/(expense) | |||||||||||||||||||||||||||||||||||
Interest expense | (0.0) | (0.1) | 0.1 | (0.0) | (0.2) | 0.2 | |||||||||||||||||||||||||||||
Other, net | 0.3 | (0.3) | 0.6 | 0.5 | 0.6 | (0.1) | |||||||||||||||||||||||||||||
Total other income/(expense), net | € | 0.2 | € | (0.4) | 0.6 | € | 0.4 | € | 0.4 | 0.0 | |||||||||||||||||||||||||
Loss before income taxes | (59.5) | (3.3) | (56.2) | (64.2) | (11.3) | (52.9) | |||||||||||||||||||||||||||||
Expense/(benefit) for income taxes | 0.2 | 0.0 | 0.2 | 6.3 | (1.3) | 7.6 | |||||||||||||||||||||||||||||
Loss before equity method investment | € | (59.8) | € | (3.3) | (56.5) | € | (70.4) | € | (10.0) | (60.4) | |||||||||||||||||||||||||
Loss from equity method investment | (0.1) | — | (0.1) | (0.1) | — | (0.1) | |||||||||||||||||||||||||||||
Net loss | € | (59.8) | € | (3.3) | (56.5) | € | (70.5) | € | (10.0) | (60.5) | |||||||||||||||||||||||||
Adjusted EBITDA(1) | € | 30.3 | € | 4.3 | 26.0 | € | 51.4 | € | (0.5) | 51.9 |
Three months ended June 30, | Six months ended June 30, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
ROAS by segment | |||||||||||||||||||||||
Americas | 166.8% | 131.5% | 174.2% | 144.9% | |||||||||||||||||||
Developed Europe | 157.1% | 146.9% | 164.3% | 153.6% | |||||||||||||||||||
Rest of World | 202.1% | 193.5% | 206.9% | 204.2% | |||||||||||||||||||
Consolidated ROAS | 165.9% | 144.6% | 172.8% | 155.7% | |||||||||||||||||||
Qualified Referrals by segment (in millions) | |||||||||||||||||||||||
Americas | 22.2 | 20.3 | 45.5 | 37.4 | |||||||||||||||||||
Developed Europe | 39.0 | 32.6 | 67.6 | 42.7 | |||||||||||||||||||
Rest of World | 23.4 | 20.5 | 40.1 | 35.7 | |||||||||||||||||||
Consolidated Qualified Referrals | 84.6 | 73.4 | 153.2 | 115.8 | |||||||||||||||||||
RPQR by segment | |||||||||||||||||||||||
Americas | €2.51 | €1.85 | €2.18 | €1.49 | |||||||||||||||||||
Developed Europe | 1.71 | 1.34 | 1.63 | 1.25 | |||||||||||||||||||
Rest of World | 0.81 | 0.59 | 0.75 | 0.57 | |||||||||||||||||||
Consolidated RPQR | €1.67 | €1.27 | €1.57 | €1.12 |
Three months ended June 30, | Six months ended June 30, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
Net loss | € | (59.8) | € | (3.3) | € | (70.5) | € | (10.0) | |||||||||||||||
Expense/(benefit) for income taxes | 0.2 | 0.0 | 6.3 | (1.3) | |||||||||||||||||||
Loss before income taxes | € | (59.5) | € | (3.3) | € | (64.2) | € | (11.3) | |||||||||||||||
Add/(less): | |||||||||||||||||||||||
Interest expense | 0.0 | 0.1 | 0.0 | 0.2 | |||||||||||||||||||
Other, net | (0.3) | 0.3 | (0.5) | (0.6) | |||||||||||||||||||
Operating loss | € | (59.8) | € | (2.9) | € | (64.6) | € | (11.7) | |||||||||||||||
Depreciation of property and equipment and amortization of intangible assets | 1.7 | 2.2 | 3.4 | 4.5 | |||||||||||||||||||
Impairment of, and gains and losses on disposals of, property and equipment | 0.9 | 0.2 | 0.9 | 0.1 | |||||||||||||||||||
Impairment of intangible assets and goodwill | 84.2 | — | 84.2 | — | |||||||||||||||||||
Share-based compensation | 3.7 | 4.9 | 6.8 | 8.0 | |||||||||||||||||||
Certain other items, including restructuring, significant legal settlements and court-ordered penalties | (0.4) | (0.1) | 20.7 | (1.3) | |||||||||||||||||||
Adjusted EBITDA | € | 30.3 | € | 4.3 | € | 51.4 | € | (0.5) |
Three months ended June 30, | Six months ended June 30, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
Revenue | € | 103,769 | € | 75,337 | € | 171,477 | € | 105,946 | |||||||||||||||
Revenue from related party | 41,006 | 20,137 | 74,936 | 27,754 | |||||||||||||||||||
Total revenue | 144,775 | 95,474 | 246,413 | 133,700 | |||||||||||||||||||
Costs and expenses: | |||||||||||||||||||||||
Cost of revenue, including related party, excluding amortization (1) | 2,984 | 2,961 | 5,963 | 5,547 | |||||||||||||||||||
Selling and marketing, including related party (1)(2)(3) | 92,369 | 71,366 | 151,692 | 94,703 | |||||||||||||||||||
Technology and content, including related party (1)(2)(3) | 15,473 | 13,753 | 29,047 | 26,393 | |||||||||||||||||||
General and administrative, including related party (1)(2)(3) | 9,510 | 10,189 | 40,081 | 18,704 | |||||||||||||||||||
Amortization of intangible assets (2) | 34 | 68 | 68 | 68 | |||||||||||||||||||
Impairment of intangible assets and goodwill | 84,177 | — | 84,177 | — | |||||||||||||||||||
Operating loss | (59,772) | (2,863) | (64,615) | (11,715) | |||||||||||||||||||
Other income/(expense) | |||||||||||||||||||||||
Interest expense | (20) | (146) | (35) | (202) | |||||||||||||||||||
Other, net | 252 | (274) | 484 | 632 | |||||||||||||||||||
Total other income/(expense), net | 232 | (420) | 449 | 430 | |||||||||||||||||||
Loss before income taxes | (59,540) | (3,283) | (64,166) | (11,285) | |||||||||||||||||||
Expense/(benefit) for income taxes | 212 | 6 | 6,282 | (1,256) | |||||||||||||||||||
Loss before equity method investment | (59,752) | (3,289) | (70,448) | (10,029) | |||||||||||||||||||
Loss from equity method investment | (54) | — | (54) | — | |||||||||||||||||||
Net loss | € | (59,806) | € | (3,289) | € | (70,502) | € | (10,029) | |||||||||||||||
Earnings per share available to common stockholders: | |||||||||||||||||||||||
Basic | € | (0.17) | € | (0.01) | € | (0.20) | € | (0.03) | |||||||||||||||
Diluted | (0.17) | (0.01) | (0.20) | (0.03) | |||||||||||||||||||
Shares used in computing earnings per share: | |||||||||||||||||||||||
Basic | 359,990 | 357,582 | 359,636 | 356,726 | |||||||||||||||||||
Diluted | 359,990 | 357,582 | 359,636 | 356,726 |
Three months ended June 30, | Six months ended June 30, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
(1) Includes share-based compensation as follows: | |||||||||||||||||||||||
Cost of revenue | € | 61 | € | 71 | € | 102 | € | 121 | |||||||||||||||
Selling and marketing | 229 | 299 | 431 | 525 | |||||||||||||||||||
Technology and content | 991 | 1,065 | 1,627 | 1,729 | |||||||||||||||||||
General and administrative | 2,384 | 3,461 | 4,638 | 5,640 | |||||||||||||||||||
(2) Includes amortization as follows: | |||||||||||||||||||||||
Amortization of internal use software costs included in selling and marketing | € | 2 | € | 31 | € | 8 | € | 63 | |||||||||||||||
Amortization of internal use software and website development costs included in technology and content | 1,075 | 1,167 | 2,162 | 2,320 | |||||||||||||||||||
Amortization of internal use software costs included in general and administrative | 46 | 86 | 103 | 171 | |||||||||||||||||||
Amortization of acquired technology included in amortization of intangible assets | 34 | 68 | 68 | 68 | |||||||||||||||||||
(3) Includes related party expense as follows: | |||||||||||||||||||||||
Selling and marketing | € | 40 | € | 52 | € | 86 | € | 73 | |||||||||||||||
Technology and content | 55 | 13 | 61 | 27 | |||||||||||||||||||
General and administrative | — | — | 1 | — |
Three months ended June 30, | Six months ended June 30, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
Net loss | € | (59,806) | € | (3,289) | € | (70,502) | € | (10,029) | |||||||||||||||
Other comprehensive income/(loss): | |||||||||||||||||||||||
Currency translation adjustments | 16 | 7 | 28 | (8) | |||||||||||||||||||
Total other comprehensive income/(loss) | 16 | 7 | 28 | (8) | |||||||||||||||||||
Comprehensive loss | € | (59,790) | € | (3,282) | € | (70,474) | € | (10,037) |
ASSETS | As of June 30, 2022 | As of December 31, 2021 | |||||||||
Current assets: | |||||||||||
Cash and cash equivalents | € | 204,535 | € | 256,378 | |||||||
Restricted cash | 342 | — | |||||||||
Accounts receivable, net of allowance for credit losses of €658 and €658 at June 30, 2022 and December 31, 2021, respectively | 47,651 | 23,707 | |||||||||
Accounts receivable, related party | 27,087 | 16,506 | |||||||||
Short-term investments | 25,000 | — | |||||||||
Tax receivable | 6,537 | 3,527 | |||||||||
Prepaid expenses and other current assets | 14,157 | 10,273 | |||||||||
Total current assets | 325,309 | 310,391 | |||||||||
Property and equipment, net | 13,983 | 15,905 | |||||||||
Operating lease right-of-use assets | 46,679 | 48,323 | |||||||||
Deferred income taxes | 26 | 26 | |||||||||
Investments and other assets | 33,688 | 3,250 | |||||||||
Intangible assets, net | 142,818 | 170,085 | |||||||||
Goodwill | 229,593 | 286,539 | |||||||||
TOTAL ASSETS | € | 792,096 | € | 834,519 | |||||||
LIABILITIES AND STOCKHOLDERS' EQUITY | |||||||||||
Current liabilities: | |||||||||||
Accounts payable | € | 39,654 | € | 14,053 | |||||||
Income taxes payable | 5,736 | 4,358 | |||||||||
Deferred revenue | 1,768 | 2,174 | |||||||||
Payroll liabilities | 3,731 | 3,289 | |||||||||
Accrued expenses and other current liabilities | 8,997 | 16,323 | |||||||||
Operating lease liability | 4,554 | 2,269 | |||||||||
Total current liabilities | 64,440 | 42,466 | |||||||||
Operating lease liability | 41,851 | 45,267 | |||||||||
Deferred income taxes | 46,241 | 49,810 | |||||||||
Other long-term liabilities | 9,431 | 3,192 | |||||||||
Stockholders’ equity: | |||||||||||
Class A common stock, €0.06 par value - 700,000,000 shares authorized, 122,699,592 and 96,704,815 shares issued and outstanding as of June 30, 2022 and December 31, 2021, respectively | 7,362 | 5,802 | |||||||||
Class B common stock, €0.60 par value - 320,000,000 shares authorized, 237,476,895 and 261,962,688 shares issued and outstanding as of June 30, 2022 and December 31, 2021, respectively | 142,486 | 157,178 | |||||||||
Treasury stock at cost - Class A shares, 15,816 and nil shares as of June 30, 2022 and December 31, 2021, respectively | (23) | — | |||||||||
Reserves | 855,817 | 835,839 | |||||||||
Contribution from Parent | 122,307 | 122,307 | |||||||||
Accumulated other comprehensive income | 64 | 36 | |||||||||
Accumulated deficit | (497,880) | (427,378) | |||||||||
Total stockholders' equity | 630,133 | 693,784 | |||||||||
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | € | 792,096 | € | 834,519 |
Three Months Ended June 30, 2022 | Class A common stock | Class B common stock | Treasury stock - Class A common stock | Reserves | Retained earnings (accumulated deficit) | Accumulated other comprehensive income/(loss) | Contribution from Parent | Total stockholders' equity | |||||||||||||||||||||||||||||||||||||||
Balance at April 1, 2022 | € | 5,934 | € | 156,458 | € | — | € | 839,599 | € | (438,074) | € | 48 | € | 122,307 | € | 686,272 | |||||||||||||||||||||||||||||||
Net loss | (59,806) | (59,806) | |||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income (net of tax) | 16 | 16 | |||||||||||||||||||||||||||||||||||||||||||||
Share-based compensation expense | 3,665 | 3,665 | |||||||||||||||||||||||||||||||||||||||||||||
Conversion of Class B shares | 1,397 | (13,972) | 12,575 | — | |||||||||||||||||||||||||||||||||||||||||||
Issued capital, options exercised | 31 | (22) | 9 | ||||||||||||||||||||||||||||||||||||||||||||
Repurchase of common stock | (23) | (23) | |||||||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2022 | € | 7,362 | € | 142,486 | € | (23) | € | 855,817 | € | (497,880) | € | 64 | € | 122,307 | € | 630,133 |
Six months ended June 30, 2022 | Class A common stock | Class B common stock | Treasury stock - Class A common stock | Reserves | Retained earnings (accumulated deficit) | Accumulated other comprehensive income/(loss) | Contribution from Parent | Total stockholders' equity | |||||||||||||||||||||||||||||||||||||||
Balance at January 1, 2022 | € | 5,802 | € | 157,178 | € | — | € | 835,839 | € | (427,378) | € | 36 | € | 122,307 | € | 693,784 | |||||||||||||||||||||||||||||||
Net loss | (70,502) | (70,502) | |||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income (net of tax) | 28 | 28 | |||||||||||||||||||||||||||||||||||||||||||||
Share-based compensation expense | 6,798 | 6,798 | |||||||||||||||||||||||||||||||||||||||||||||
Conversion of Class B shares | 1,469 | (14,692) | 13,223 | — | |||||||||||||||||||||||||||||||||||||||||||
Issued capital, options exercised | 91 | (43) | 48 | ||||||||||||||||||||||||||||||||||||||||||||
Repurchase of common stock | (23) | (23) | |||||||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2022 | € | 7,362 | € | 142,486 | € | (23) | € | 855,817 | € | (497,880) | € | 64 | € | 122,307 | € | 630,133 |
Three months ended June 30, 2021 | Class A common stock | Class B common stock | Treasury stock - Class A common stock | Reserves | Retained earnings (accumulated deficit) | Accumulated other comprehensive income/(loss) | Contribution from Parent | Total stockholders' equity | |||||||||||||||||||||||||||||||||||||||
Balance at April 1, 2021 | € | 3,884 | € | 175,238 | € | — | € | 805,457 | € | (444,822) | € | (11) | € | 122,307 | € | 662,053 | |||||||||||||||||||||||||||||||
Net loss | (3,289) | (3,289) | |||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income (net of tax) | 7 | 7 | |||||||||||||||||||||||||||||||||||||||||||||
Share-based compensation expense | 4,896 | 4,896 | |||||||||||||||||||||||||||||||||||||||||||||
Conversion of Class B shares | 209 | (2,100) | 1,891 | — | |||||||||||||||||||||||||||||||||||||||||||
Issued capital, options exercised | 62 | (4) | 58 | ||||||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2021 | € | 4,155 | € | 173,138 | € | — | € | 812,240 | € | (448,111) | € | (4) | € | 122,307 | € | 663,725 |
Six months ended June 30, 2021 | Class A common stock | Class B common stock | Treasury stock - Class A common stock | Reserves | Retained earnings (accumulated deficit) | Accumulated other comprehensive income/(loss) | Contribution from Parent | Total stockholders' equity | |||||||||||||||||||||||||||||||||||||||
Balance at January 1, 2021 | € | 3,358 | € | 178,913 | € | — | € | 798,017 | € | (438,082) | € | 4 | € | 122,307 | € | 664,517 | |||||||||||||||||||||||||||||||
Net loss | (10,029) | (10,029) | |||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income (net of tax) | (8) | (8) | |||||||||||||||||||||||||||||||||||||||||||||
Share-based compensation expense | 8,015 | 8,015 | |||||||||||||||||||||||||||||||||||||||||||||
Conversion of Class B shares | 577 | (5,775) | 5,198 | — | |||||||||||||||||||||||||||||||||||||||||||
Issued capital, options exercised | 220 | 1,010 | 1,230 | ||||||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2021 | € | 4,155 | € | 173,138 | € | — | € | 812,240 | € | (448,111) | € | (4) | € | 122,307 | € | 663,725 |
Three months ended June 30, | Six months ended June 30, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
Operating activities: | |||||||||||||||||||||||
Net loss | € | (59,806) | € | (3,289) | € | (70,502) | € | (10,029) | |||||||||||||||
Adjustments to reconcile net loss to net cash provided by/(used in): | |||||||||||||||||||||||
Depreciation (property and equipment and internal-use software and website development) | 1,616 | 2,168 | 3,319 | 4,408 | |||||||||||||||||||
Amortization of intangible assets | 34 | 68 | 68 | 68 | |||||||||||||||||||
Goodwill and intangible assets impairment loss | 84,177 | — | 84,177 | — | |||||||||||||||||||
Impairment of long-lived assets including internal-use software and website development | 893 | — | 893 | — | |||||||||||||||||||
Share-based compensation | 3,665 | 4,896 | 6,798 | 8,015 | |||||||||||||||||||
Deferred income taxes | (3,157) | 39 | (3,569) | (513) | |||||||||||||||||||
Foreign exchange (gain)/loss | (365) | 127 | (697) | (664) | |||||||||||||||||||
Expected credit (gains)/losses, net | 85 | (40) | 23 | 37 | |||||||||||||||||||
(Gain)/loss on disposal of fixed assets | (7) | 203 | (10) | 104 | |||||||||||||||||||
Gain from settlement of asset retirement obligation | — | — | — | (5) | |||||||||||||||||||
Gain from lease termination and modification, net | — | (128) | — | (1,311) | |||||||||||||||||||
Loss from equity method investment | 54 | — | 54 | — | |||||||||||||||||||
Changes in operating assets and liabilities: | |||||||||||||||||||||||
Accounts receivable, including related party | (18,489) | (31,722) | (34,513) | (38,798) | |||||||||||||||||||
Prepaid expenses and other assets | (5,930) | (4,653) | (3,849) | (8,802) | |||||||||||||||||||
Accounts payable | 19,084 | 22,099 | 25,492 | 25,456 | |||||||||||||||||||
Payroll liabilities | 44 | (1,307) | 442 | 170 | |||||||||||||||||||
Accrued expenses and other liabilities | (29,719) | 1,280 | (875) | 2,353 | |||||||||||||||||||
Deferred revenue | (182) | (502) | (406) | (936) | |||||||||||||||||||
Taxes payable/receivable, net | 812 | 3,371 | (1,933) | (947) | |||||||||||||||||||
Net cash provided by/(used in) operating activities | (7,191) | (7,390) | 4,912 | (21,394) | |||||||||||||||||||
Investing activities: | |||||||||||||||||||||||
Purchase of investments | (50,000) | (1,351) | (50,000) | (1,351) | |||||||||||||||||||
Proceeds from sales of investments | — | 10,000 | — | 10,000 | |||||||||||||||||||
Business acquisition, net of cash acquired | — | — | — | (4,302) | |||||||||||||||||||
Capital expenditures, including internal-use software and website development | (1,149) | (734) | (2,206) | (1,798) | |||||||||||||||||||
Investment in equity-method investees | (5,951) | — | (5,951) | — | |||||||||||||||||||
Proceeds from sale of fixed assets | 7 | 12 | 10 | 72 | |||||||||||||||||||
Net cash used in investing activities | (57,093) | 7,927 | (58,147) | 2,621 | |||||||||||||||||||
Financing activities: | |||||||||||||||||||||||
Proceeds from exercise of option awards | 9 | 58 | 48 | 1,230 | |||||||||||||||||||
Repayment of other non-current liabilities | (43) | (66) | (86) | (132) | |||||||||||||||||||
Net cash provided by/(used in) financing activities | (34) | (8) | (38) | 1,098 | |||||||||||||||||||
Effect of exchange rate changes on cash | 126 | 55 | 1,431 | 905 | |||||||||||||||||||
Net increase/(decrease) in cash, cash equivalents and restricted cash | (64,192) | 584 | (51,842) | (16,770) | |||||||||||||||||||
Cash, cash equivalents and restricted cash at beginning of the period | 269,069 | 193,417 | 256,719 | 210,771 | |||||||||||||||||||
Cash, cash equivalents and restricted cash at end of the period | € | 204,877 | € | 194,001 | € | 204,877 | € | 194,001 | |||||||||||||||
Three months ended June 30, | Six months ended June 30, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
Supplemental cash flow information: | |||||||||||||||||||||||
Cash paid for interest | € | 20 | € | 146 | € | 35 | € | 196 | |||||||||||||||
Cash paid for taxes, net of (refunds) | 2,777 | (3,447) | 5,565 | 160 | |||||||||||||||||||
Non-cash investing and financing activities: | |||||||||||||||||||||||
Fixed assets-related payable | 4 | — | 4 | — | |||||||||||||||||||
As of June 30, 2022 | Total | Level 1 | Level 2 | |||||||||||||||||
(in thousands) | ||||||||||||||||||||
Assets | ||||||||||||||||||||
Short-term investments: | ||||||||||||||||||||
Term deposits | € | 25,000 | € | — | € | 25,000 | ||||||||||||||
Investments and other assets: | ||||||||||||||||||||
Term deposits | 26,351 | — | 26,351 | |||||||||||||||||
Total | € | 51,351 | € | — | € | 51,351 |
As of December 31, 2021 | Total | Level 1 | Level 2 | |||||||||||||||||
(in thousands) | ||||||||||||||||||||
Assets | ||||||||||||||||||||
Cash equivalents: | ||||||||||||||||||||
Money market funds | € | 19,922 | € | 19,922 | € | — | ||||||||||||||
Investments and other assets: | ||||||||||||||||||||
Term deposits | 1,351 | — | 1,351 | |||||||||||||||||
Total | € | 21,273 | € | 19,922 | € | 1,351 |
(in thousands) | June 30, 2022 | December 31, 2021 | ||||||||||||
Prepaid advertising | € | 10,326 | € | 5,078 | ||||||||||
Other prepaid expenses | 3,740 | 4,968 | ||||||||||||
Other assets | 91 | 227 | ||||||||||||
Total | € | 14,157 | € | 10,273 |
June 30, 2022 | December 31, 2021 | |||||||||||||
(in thousands) | ||||||||||||||
Building and leasehold improvements | € | 6,864 | € | 6,865 | ||||||||||
Capitalized software and software development costs | 28,624 | 26,643 | ||||||||||||
Computer equipment | 15,881 | 15,795 | ||||||||||||
Furniture and fixtures | 3,038 | 3,026 | ||||||||||||
Subtotal | € | 54,407 | € | 52,329 | ||||||||||
Less: accumulated depreciation | 40,600 | 37,537 | ||||||||||||
Construction in process | 176 | 1,113 | ||||||||||||
Property and equipment, net | € | 13,983 | € | 15,905 |
(in thousands) | June 30, 2022 | December 31, 2021 | |||||||||
Goodwill | € | 229,593 | € | 286,539 | |||||||
Intangible assets with definite lives, net | 473 | 540 | |||||||||
Intangible assets with indefinite lives | 142,345 | 169,545 | |||||||||
Total | € | 372,411 | € | 456,624 |
(in thousands) | Developed Europe | Americas | Rest of World | Total | |||||||||||||||||||
Balance as of January 1, 2021 | € | 197,516 | € | 85,148 | € | — | € | 282,664 | |||||||||||||||
Foreign exchange translation | 26 | 11 | — | 37 | |||||||||||||||||||
Additions | 2,525 | 1,313 | — | 3,838 | |||||||||||||||||||
Balance as of December 31, 2021 | € | 200,067 | € | 86,472 | € | — | € | 286,539 | |||||||||||||||
Foreign exchange translation | 22 | 9 | — | 31 | |||||||||||||||||||
Impairment charge | (56,977) | — | — | (56,977) | |||||||||||||||||||
Balance as of June 30, 2022 | € | 143,112 | € | 86,481 | € | — | € | 229,593 |
(in thousands) | Intangible assets with indefinite lives | ||||
Balance as of January 1, 2021 | € | 169,545 | |||
Impairment charge | — | ||||
Balance as of December 31, 2021 | € | 169,545 | |||
Impairment charge | (27,200) | ||||
Balance as of June 30, 2022 | € | 142,345 |
Three months ended June 30, | Six months ended June 30, | ||||||||||||||||||||||
(in thousands) | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||
Cost of revenue | € | 61 | € | 71 | € | 102 | € | 121 | |||||||||||||||
Selling and marketing | 229 | 299 | 431 | 525 | |||||||||||||||||||
Technology and content | 991 | 1,065 | 1,627 | 1,729 | |||||||||||||||||||
General and administrative | 2,384 | 3,461 | 4,638 | 5,640 | |||||||||||||||||||
Total share-based compensation expense | € | 3,665 | € | 4,896 | € | 6,798 | € | 8,015 |
Options | Weighted average exercise price | Remaining contractual life | Aggregate intrinsic value | ||||||||||||||||||||
(in €) | (In years) | (€ in thousands) | |||||||||||||||||||||
Balance as of December 31, 2021 | 23,827,946 | 2.64 | 11 | 30,237 | |||||||||||||||||||
Granted | 290,387 | 0.06 | |||||||||||||||||||||
Exercised | 780,657 | 0.06 | |||||||||||||||||||||
Cancelled | 690,356 | 2.69 | |||||||||||||||||||||
Balance as of June 30, 2022 | 22,647,320 | 2.85 | 11 | 20,838 | |||||||||||||||||||
Exercisable as of June 30, 2022 | 14,109,916 | 4.17 | 14 | 10,272 | |||||||||||||||||||
Vested and expected to vest after June 30, 2022 | 22,647,320 | 2.85 | 11 | 20,838 |
RSUs | Weighted Average Grant Date Fair Value | Remaining contractual life | ||||||||||||||||||
(in €) | (in years) | |||||||||||||||||||
Balance as of December 31, 2021 | 1,366,123 | 2.92 | 6 | |||||||||||||||||
Granted | 3,065,436 | 2.12 | ||||||||||||||||||
Vested | 728,327 | 2.85 | ||||||||||||||||||
Cancelled | 137,650 | 2.86 | ||||||||||||||||||
Balance as of June 30, 2022 | 3,565,582 | 2.25 | 6 |
Three months ended June 30, | Six months ended June 30, | ||||||||||||||||||||||
(€ thousands, except per share data) | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||
Numerator: | |||||||||||||||||||||||
Net loss | € | (59,806) | € | (3,289) | € | (70,502) | € | (10,029) | |||||||||||||||
Denominator: | |||||||||||||||||||||||
Weighted average shares of Class A and Class B common stock outstanding: | |||||||||||||||||||||||
Basic | 359,990 | 357,582 | 359,636 | 356,726 | |||||||||||||||||||
Diluted | 359,990 | 357,582 | 359,636 | 356,726 | |||||||||||||||||||
Net loss per share: | |||||||||||||||||||||||
Basic | € | (0.17) | € | (0.01) | € | (0.20) | € | (0.03) | |||||||||||||||
Diluted | (0.17) | (0.01) | (0.20) | (0.03) |
Three months ended June 30, 2022 | |||||||||||||||||||||||||||||
(€ thousands) | Developed Europe | Americas | Rest of World | Corporate & Eliminations | Total | ||||||||||||||||||||||||
Referral Revenue | € | 66,759 | € | 55,663 | € | 19,016 | € | — | € | 141,438 | |||||||||||||||||||
Subscription revenue | — | — | — | 854 | 854 | ||||||||||||||||||||||||
Other revenue | — | — | — | 2,483 | 2,483 | ||||||||||||||||||||||||
Total revenue | € | 66,759 | € | 55,663 | € | 19,016 | € | 3,337 | € | 144,775 | |||||||||||||||||||
Advertising Spend | 42,491 | 33,376 | 9,407 | — | 85,274 | ||||||||||||||||||||||||
ROAS contribution | € | 24,268 | € | 22,287 | € | 9,609 | € | 3,337 | € | 59,501 | |||||||||||||||||||
Costs and expenses: | |||||||||||||||||||||||||||||
Cost of revenue, including related party, excluding amortization | 2,984 | ||||||||||||||||||||||||||||
Other selling and marketing, including related party (1) | 7,095 | ||||||||||||||||||||||||||||
Technology and content, including related party | 15,473 | ||||||||||||||||||||||||||||
General and administrative, including related party | 9,510 | ||||||||||||||||||||||||||||
Amortization of intangible assets | 34 | ||||||||||||||||||||||||||||
Impairment of intangible assets and goodwill | 84,177 | ||||||||||||||||||||||||||||
Operating loss | € | (59,772) | |||||||||||||||||||||||||||
Other income/(expense) | |||||||||||||||||||||||||||||
Interest expense | (20) | ||||||||||||||||||||||||||||
Other, net | 252 | ||||||||||||||||||||||||||||
Total other income/(expense), net | 232 | ||||||||||||||||||||||||||||
Loss before income taxes | (59,540) | ||||||||||||||||||||||||||||
Expense for income taxes | 212 | ||||||||||||||||||||||||||||
Loss before equity method investment | (59,752) | ||||||||||||||||||||||||||||
Loss from equity method investment | (54) | ||||||||||||||||||||||||||||
Net loss | € | (59,806) | |||||||||||||||||||||||||||
Three months ended June 30, 2021 | |||||||||||||||||||||||||||||
(€ thousands) | Developed Europe | Americas | Rest of World | Corporate & Eliminations | Total | ||||||||||||||||||||||||
Referral Revenue | € | 43,728 | € | 37,572 | € | 12,148 | € | — | € | 93,448 | |||||||||||||||||||
Subscription revenue | — | — | — | 1,214 | 1,214 | ||||||||||||||||||||||||
Other revenue | — | — | — | 812 | 812 | ||||||||||||||||||||||||
Total revenue | € | 43,728 | € | 37,572 | € | 12,148 | € | 2,026 | € | 95,474 | |||||||||||||||||||
Advertising Spend | 29,771 | 28,564 | 6,278 | — | 64,613 | ||||||||||||||||||||||||
ROAS contribution | € | 13,957 | € | 9,008 | € | 5,870 | € | 2,026 | € | 30,861 | |||||||||||||||||||
Costs and expenses: | |||||||||||||||||||||||||||||
Cost of revenue, including related party, excluding amortization | 2,961 | ||||||||||||||||||||||||||||
Other selling and marketing, including related party (1) | 6,753 | ||||||||||||||||||||||||||||
Technology and content, including related party | 13,753 | ||||||||||||||||||||||||||||
General and administrative, including related party | 10,189 | ||||||||||||||||||||||||||||
Amortization of intangible assets | 68 | ||||||||||||||||||||||||||||
Operating loss | € | (2,863) | |||||||||||||||||||||||||||
Other income/(expense) | |||||||||||||||||||||||||||||
Interest expense | (146) | ||||||||||||||||||||||||||||
Other, net | (274) | ||||||||||||||||||||||||||||
Total other income/(expense), net | (420) | ||||||||||||||||||||||||||||
Loss before income taxes | (3,283) | ||||||||||||||||||||||||||||
Expense for income taxes | 6 | ||||||||||||||||||||||||||||
Net Loss | € | (3,289) |
Six months ended June 30, 2022 | |||||||||||||||||||||||||||||
(€ thousands) | Developed Europe | Americas | Rest of World | Corporate & Eliminations | Total | ||||||||||||||||||||||||
Referral Revenue | € | 110,283 | € | 99,377 | € | 30,224 | € | — | € | 239,884 | |||||||||||||||||||
Subscription revenue | — | — | — | 1,921 | 1,921 | ||||||||||||||||||||||||
Other revenue | — | — | — | 4,608 | 4,608 | ||||||||||||||||||||||||
Total revenue | € | 110,283 | € | 99,377 | € | 30,224 | € | 6,529 | € | 246,413 | |||||||||||||||||||
Advertising Spend | 67,143 | 57,062 | 14,608 | — | 138,813 | ||||||||||||||||||||||||
ROAS contribution | € | 43,140 | € | 42,315 | € | 15,616 | € | 6,529 | € | 107,600 | |||||||||||||||||||
Costs and expenses: | |||||||||||||||||||||||||||||
Cost of revenue, including related party, excluding amortization | 5,963 | ||||||||||||||||||||||||||||
Other selling and marketing, including related party (1) | 12,879 | ||||||||||||||||||||||||||||
Technology and content, including related party | 29,047 | ||||||||||||||||||||||||||||
General and administrative, including related party | 40,081 | ||||||||||||||||||||||||||||
Amortization of intangible assets | 68 | ||||||||||||||||||||||||||||
Impairment of intangible assets and goodwill | 84,177 | ||||||||||||||||||||||||||||
Operating loss | € | (64,615) | |||||||||||||||||||||||||||
Other income/(expense) | |||||||||||||||||||||||||||||
Interest expense | (35) | ||||||||||||||||||||||||||||
Other, net | 484 | ||||||||||||||||||||||||||||
Total other income/(expense), net | 449 | ||||||||||||||||||||||||||||
Income before income taxes | (64,166) | ||||||||||||||||||||||||||||
Expense for income taxes | 6,282 | ||||||||||||||||||||||||||||
Loss before equity method investment | (70,448) | ||||||||||||||||||||||||||||
Loss from equity method investment | 54 | ||||||||||||||||||||||||||||
Net loss | € | (70,502) |
Six months ended June 30, 2021 | |||||||||||||||||||||||||||||
(€ thousands) | Developed Europe | Americas | Rest of World | Corporate & Eliminations | Total | ||||||||||||||||||||||||
Referral Revenue | € | 53,262 | € | 55,861 | € | 20,492 | € | — | € | 129,615 | |||||||||||||||||||
Subscription revenue | — | — | — | 2,563 | 2,563 | ||||||||||||||||||||||||
Other revenue | — | — | — | 1,522 | 1,522 | ||||||||||||||||||||||||
Total revenue | € | 53,262 | € | 55,861 | € | 20,492 | € | 4,085 | € | 133,700 | |||||||||||||||||||
Advertising Spend | 34,665 | 38,553 | 10,036 | — | 83,254 | ||||||||||||||||||||||||
ROAS contribution | € | 18,597 | € | 17,308 | € | 10,456 | € | 4,085 | € | 50,446 | |||||||||||||||||||
Costs and expenses: | |||||||||||||||||||||||||||||
Cost of revenue, including related party, excluding amortization | 5,547 | ||||||||||||||||||||||||||||
Other selling and marketing, including related party (1) | 11,449 | ||||||||||||||||||||||||||||
Technology and content, including related party | 26,393 | ||||||||||||||||||||||||||||
General and administrative, including related party | 18,704 | ||||||||||||||||||||||||||||
Amortization of intangible assets | 68 | ||||||||||||||||||||||||||||
Operating loss | € | (11,715) | |||||||||||||||||||||||||||
Other income/(expense) | |||||||||||||||||||||||||||||
Interest expense | (202) | ||||||||||||||||||||||||||||
Other, net | 632 | ||||||||||||||||||||||||||||
Total other income/(expense), net | 430 | ||||||||||||||||||||||||||||
Loss before income taxes | (11,285) | ||||||||||||||||||||||||||||
Benefit for income taxes | (1,256) | ||||||||||||||||||||||||||||
Net loss | € | (10,029) |