Hotel search and price comparison platform Trivago reported revenue growth in the final quarter of 2024 for the first time since the first quarter of 2023.
“In the fourth quarter of 2024, we reached a turning point towards sustainable growth,” said Johannes Thomas, CEO of Trivago.
The metasearch site, which said it has more than five million accommodation listings, reported a 3% year-over-year increase in total revenue in Q4 to €94.8 million and also said referral revenue grew 5% to €93.5 million, which the company said drove its revenue growth.
Net income also improved by 104%, coming in at €5.1 million. The Q4 adjusted EBITDA also rose to €11.1 million, up 52% compared to the same quarter in 2023. Advertising spend was €57.4 million, up from €57.2 million in Q4 2023.
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But number for the full year were not as positive.
2024 total revenue was €460.8 million, down from €485 million in 2023 and adjusted EBITDA was €10.2 million, down from €54.1 million in 2023. Advertising spend for the full year was €345.4 million, up from €323.2 in 2023, marking a full year increase of 7%.
The company cited investments in branded channel traffic as fuel for growth during Q4. The investments helped Trivago to reach a larger audience, it said, citing global marketing campaigns featuring football icon and brand manager Jürgen Klopp.
Thomas said top line growth and adjusted EBITA exceeded the company’s expectations.
“Our brand investments are paying off, demonstrated by continued positive brand revenue trajectory,” Thomas said. “Looking ahead to 2025 and beyond, we are well positioned for growth, which we can already see with strong double-digit revenue growth in January.”
“With a return to revenue growth, a strong cash balance of over €130 million at the end of 2024, no long-term debt, and a healthy adjusted EBITDA margin of around 10% over the last two quarters, we have successfully returned to a profitable growth trajectory,” said Robin Harries, CFO of Trivago. “The company believes it is in a solid position as we look forward to 2025.”
* This story will be updated following Trivago’s earnings call Wednesday morning.