Account Manager

Tripadvisor (NASDAQ:TRIP) signs $700 million TheFork Sale, narrows Q3 view on weather cancellations. 06 August 2026 02:53 PM PDT Summarize with AI You are reading a free article with opinions that may differ from the recommendation given by Kalkine in its paid research reports. Become a Kalkine member today to get access to its research reports, in-depth technical and fundamental research. Learn more Key Highlights * Tripadvisor signed a definitive agreement on August 2 to sell TheFork to American Express for $700 million, with expected net proceeds of approximately $680 million and closing anticipated before year end. * Continuing operations revenue and adjusted EBITDA were $442 million and $76 million, in line with expectations, while Viator, the company's largest owned point of sale, grew bookings 10 percent. * Persistent SEO headwinds in the legacy TripAdvisor point of sale accounted for approximately 5 percentage points of drag on experiences segment bookings growth during the quarter. * The company guided third quarter experiences revenue to a range of down 2 percent to up 1 percent, citing weather-related cancellations and softer U.S. to Europe travel demand. TheFork Sale Advances as Portfolio Review Continues Tripadvisor (NASDAQ:TRIP) signed a definitive agreement on August 2 to sell TheFork, its restaurant reservation platform, to American Express for $700 million, with the transaction expected to close before year end and generate approximately $680 million in net proceeds. Management said the sale reflects the company's focus on becoming the leading player in experiences, with net proceeds providing flexibility to prioritize either debt reduction or share repurchases, and confirmed the broader portfolio review, which includes evaluating additional opportunities to simplify the hotels and other segment, remains ongoing with no options considered off the table. TheFork, now classified as discontinued operations following the announcement, generated second quarter revenue of $61 million, up 13 percent, and adjusted EBITDA of $11 million. Continuing operations, comprising the experiences and hotels and other segments, delivered revenue of $442 million and adjusted EBITDA of $76 million, both in line with expectations, with adjusted EBITDA modestly ahead of plan. Viator Grows 10% While Legacy SEO Channel Continues to Drag Within the experiences segment, Viator, the company's largest owned and operated point of sale, grew bookings 10 percent for the quarter, while the legacy TripAdvisor point of sale continued to face persistent SEO headwinds that management estimated accounted for approximately 5 percentage points of drag on overall segment bookings growth, which came in at 5 percent. Gross booking value grew 3 percent to approximately $1.4 billion, with testing around discounting and a higher mix of lower-priced items on owned and operated points of sale contributing to lower average booking value relative to bookings growth. Experiences segment adjusted EBITDA margin declined 290 basis points to 11 percent, driven by a shift toward paid marketing channels across both Viator and TripAdvisor points of sale as the company diversifies beyond search. Management said the SEO drag on the legacy point of sale should continue moderating over time as SEO becomes a smaller share of overall bookings mix, though the timeline for when the headwind fully dissipates remains uncertain given the channel's structural decline. Weather-Driven Cancellations and Softer Europe Demand Pressure Q3 Outlook Management guided third quarter experiences revenue to a range of decline of 2 percent to growth of 1 percent, citing continued weakening in the U.S. to Europe travel corridor, the company's largest, along with elevated cancellation rates driven by adverse weather conditions across both the U.S. and Europe through May, June, and into July. The company said July performance remained uneven, with unusual weather dampening bookings growth and increasing cancellations, though it characterized these pressures as transitory rather than structural given the outdoor, activity-based nature of much of its guided tours and attractions inventory. The hotels and other segment, which management continues to characterize as structurally challenged by SEO changes, saw second quarter revenue decline 21 percent to $163 million, though adjusted EBITDA of $46 million came in ahead of expectations on lower personnel and fixed costs following a year-to-date 16 percent reduction in fixed costs. Should the anticipated recovery in transatlantic travel demand and moderation in weather disruptions not materialize as expected in the fourth quarter, the company's full-year experiences growth trajectory could remain below the mid-to-high-teens rates achieved earlier in the year. Conclusion Tripadvisor's TheFork sale represents a concrete step in its stated strategy to concentrate resources on experiences, and the roughly $680 million in expected proceeds gives the company meaningful capital allocation optionality once the deal closes. Near-term results remain pressured by a combination of structural SEO decline in the legacy TripAdvisor point of sale and cyclical weather-related disruption to transatlantic travel demand, factors management continues to describe as transitory rather than indicative of weakening long-term experiences demand. Whether Viator's double-digit growth rate can accelerate further as the company diversifies its marketing mix beyond search, and how quickly the broader portfolio review yields further announcements on the hotels and other segment, are likely to remain the central questions through the remainder of 2026. FAQs. Q: why is Tripadvisor selling TheFork to American Express? A: Management said the sale, agreed for 700 million dollars with an expected close before year end, unlocks the value created at TheFork and represents another step in focusing the company more directly on its experiences business, with American Express viewed as a natural long-term strategic partner. Q: Why did Tripadvisor's experiences segment adjusted EBITDA margin decline in the second quarter? A: The 290 basis point decline to 11 percent was driven by a shift toward paid marketing channels across both the Viator and TripAdvisor points of sale, reflecting continued diversification of the company's marketing mix beyond search amid persistent SEO headwinds on the legacy point of sale. Q: What is causing Tripadvisor's cautious third quarter guidance? A: Management cited weather-related booking cancellations across the U.S. and Europe, continued softening in the U.S. to Europe travel corridor, and pressure on average booking values from a higher mix of lower-priced experiences, guiding third quarter experiences revenue to a range of decline of 2 percent to growth of 1 percent. Q: How is Tripadvisor positioning itself with AI platforms? A: Viator became the first travel experiences partner for Google Gemini during the quarter, adding to existing partnerships with OpenAI, Perplexity, Microsoft, Amazon, and Anthropic, with management noting Tripadvisor and Viator are already among the more visible travel brands within Google's AI overviews. Download Free Report - Explore 3 Stock Ideas & Industry Insights Unlock 3 stock ideas and key industry insights in its free report. This information is general in nature and does not consider your personal objectives, financial situation, or needs. It is not financial advice. All investments involve risk - consider independent advice before making any investment decisions. Disclaimer:

It is now possible to pay the restaurant bill through the TheFork app. 22 jun 2026 10:15 TheFork has announced the launch of TheFork Pay in Portugal, a new digital payment feature integrated into the company's app that allows users to pay the restaurant bill directly through their smartphone. The solution eliminates the need to wait for the bill or the payment terminal, allowing customers to complete the payment quickly and securely in the app. Additionally, it enables splitting the bill among several people and maintains access to benefits and campaigns available on the platform, including the accumulation of Yums, the company's loyalty program. According to Jay Kim, country manager of TheFork Portugal, the launch represents another step in the company's strategy to digitize the entire dining experience. "We want to offer users an increasingly integrated, intuitive, and convenient experience, while helping restaurants optimize operations and improve customer service," the manager says. * Want to read more stories like this? Subscribe to the "Next" newsletter. You can do it here. * The future of business and business with the future every Monday in your email inbox. * Follow us also on Facebook, LinkedIn, Instagram, and Twitter. TheFork Pay will be available at participating restaurants and can be used after the meal through the app. Users can enter the total or partial bill amount, add a gratuity, split the payment, and complete the transaction via bank card, Apple Pay, or Google Pay. The company frames the launch within the increasing digitalization of the restaurant industry and consumers' demand for simpler and more personalized experiences. By bringing together reservation, experience, and payment in a single app, TheFork aims to strengthen its position as a technology partner for restaurants. TheFork currently operates a network of about 55,000 partner restaurants in 14 countries, with nearly 40 million app downloads and more than 20 million verified reviews. An article by a partner. The Next Big Idea is a website about innovation and entrepreneurship, with the most complete database of startups and incubators in the country. Here you will find the stories and the protagonists that tell how we are changing the present and inventing what the future will be. See all stories at www.thenextbigidea.pt