Trivago Sees a Strong Travel Recovery Ahead
No industry has been hit harder by the coronavirus pandemic than the travel sector, and Trivago's (NASDAQ: TRVG) first-quarter earnings report offered further evidence of that. Revenue in the quarter tumbled 73% to 38.2 million euros, as much of Europe remained under lockdown during the period. While the top line result was disappointing, the company continued to effectively control costs, scaling back on marketing expenses and reporting a loss of 4.8 million euros in adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA).
Management was optimistic that it would benefit from pent-up demand in the second half of the year as its key markets are expected to reopen. In fact, there were already a number of signs that travel interest on the meta-search site is already ramping higher.
Image source: Trivago.
Source Fool.com
