Exhibit 99.1
Operating and Financial Review
DÜSSELDORF, GERMANY – August 5, 2025 – trivago N.V. (NASDAQ:TRVG) (the “Company”, “we,” “us,” “our,” or “trivago,”) announced financial results for the second quarter ended June 30, 2025.
Highlights:
- Total revenue grew 17% year-over-year to €139.3 million in the second quarter, driven by an 18% increase in Referral Revenue, which reached €138.5 million, compared to the same prior year period, marking our third consecutive quarter of growth.
- Second consecutive quarter achieving double-digit year-over-year Referral Revenue growth across all three reporting segments with 10% growth in Americas, 20% in Developed Europe, and 32% in Rest of World in the second quarter compared to the same prior year period, primarily driven by branded channel traffic1 growth.
- While net loss for the second quarter increased to €6.5 million, Adjusted EBITDA2 loss improved to €5.1 million, compared to the same prior year period.
- Logged-in users on our platform generated 20% of total Referral Revenue, marking a milestone that reflects the success of our initiatives to deepen user engagement and build loyalty.
- Our acquisition of Holisto Ltd. was completed on July 31, 2025, which we expect will contribute low double-digit million euro revenue to the consolidated group results in 2025.
- Double-digit total revenue growth is expected to continue for the third quarter of 2025, which would mark our third consecutive period of double-digit growth.
“I am pleased to report strong financial performance with 17% revenue growth year-over-year. This marks our third consecutive quarter of growth and second consecutive quarter of double-digit growth across all reporting segments. We achieved this accelerated growth while improving Adjusted EBITDA year-over-year. These results demonstrate that our strategic initiatives are working, our brand marketing investments are driving returns, our product improvements are converting users, and our teams are executing with excellence across the organization.” said Chief Executive Officer Johannes Thomas.
“We are thrilled to report another successful quarter for trivago, marking yet another strong performance that highlights sustained growth in branded channel traffic while maintaining stable Return on Advertising Spend, reaffirming the effectiveness of our marketing strategy. With continued double-digit revenue growth, we are reiterating our full-year guidance as we focus on driving sustainable growth while being cost disciplined. We are excited to have achieved 20% of Referral Revenue from logged-in users, which underscores our progress in fostering user loyalty and engagement. The acquisition of Holisto plays a pivotal role in enhancing the user experience by expanding our trivago-branded booking funnel which will help us drive conversion rates.” said Chief Financial Officer Dr. Wolf Schmuhl.
Financial Summary & Operating Metrics (€ millions, unless otherwise stated)
| Three months ended June 30, | Six months ended June 30, | ||||||||||
| 2025 | 2024 | Δ Y/Y | 2025 | 2024 | Δ Y/Y | ||||||
| Total revenue | 139.3 | 118.6 | 17% | 263.4 | 220.0 | 20% | |||||
| Referral Revenue | 138.5 | 117.2 | 18% | 261.9 | 217.4 | 20% | |||||
| Return on Advertising Spend | 119.0% | 122.7% | (3.7) ppts | 118.6% | 121.0% | (2.4) ppts | |||||
| Net loss | (6.5) | (4.9) | 33% | (14.3) | (13.3) | 8% | |||||
| Adjusted EBITDA | (5.1) | (5.4) | (6)% | (11.6) | (14.5) | (20)% | |||||
About trivago N.V.
trivago N.V. (NASDAQ:TRVG) is a leading global hotel search and price comparison platform and one of the most recognized travel brands in the world. When price savvy travelers are searching for a hotel, we want trivago to be the obvious choice. We aim to help travelers find the best place to stay and the best time to go. trivago aims to enable them to book with confidence, saving travelers valuable time and money. By leveraging cutting-edge technology, we seek to personalize and simplify the hotel search experience for millions of travelers every month. We provide access to more than 5.0 million hotels and other types of accommodation in over 190 countries.
Discussion of Results
The discussion of results should be considered together with our unaudited financial information included with this review and the periodic reports we file with the Securities and Exchange Commission, including our Annual Report on Form 20-F for the fiscal year ended December 31, 2024. Certain information and disclosures normally included in consolidated financial statements prepared in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”) have been omitted from this review.
Recent Trends
Total revenues grew 17% year-over-year to €139.3 million in the second quarter, primarily driven by Referral Revenue of €138.5 million, which increased 18% compared to the same prior year period. The strong results represent our third consecutive quarter of revenue growth and the second consecutive quarter of achieving double-digit revenue growth across all reporting segments. Robust growth across our marketing channels and higher traffic volumes across all segments in response to our continuous strategic marketing investments were key drivers of this performance.
Branded channel traffic growth year-over-year, particularly in Developed Europe and Americas, reached and maintained double-digit levels in the second quarter, signaling our strategic brand initiatives are effectively working as planned. The strong response to our marketing efforts, particularly to our branded channel traffic investments, persisted throughout the entire second quarter, which was instrumental for the strong performance. The quarter began with robust double-digit year-over-year Referral Revenue growth across all three reportable segments, which persisted through most of the second quarter before easing in the final weeks primarily due to strong prior year comparisons, particularly driven by a strong June performance in the prior year.
During the second quarter, we continued to make targeted Advertising Spend investments, which increased 22% year-over-year, or €20.9 million, compared to the same period in 2024. We maintained a disciplined approach to our brand and performance marketing investments, focusing on long-term sustainability and profitability. Despite the increased levels of brand investments, we maintained a strong Global ROAS of 119.0%. This reflects our ability to effectively scale our marketing strategy, particularly within our branded marketing channels, while simultaneously growing our revenue baseline at profitable levels. Looking ahead, we remain focused on executing a long-term growth strategy that prioritizes sustainable, scalable results over short-term profit maximization.
Holisto Limited Acquisition
On July 31, 2025, we completed the acquisition of Holisto Limited (“Holisto”) by acquiring all remaining outstanding equity interests for approximately €22.3 million (USD 25.5 million). Holisto is an AI-driven travel technology platform that serves as a hotel rate aggregator and white-label booking engine provider. While our initial investment in Holisto of €10.2 million in July 2024, which included the direct transaction costs incurred to acquire the investment, met the criteria for an operating segment, it did not meet the quantitative thresholds to qualify as a reportable segment. Going forward, we expect Holisto to become a separate reportable segment within trivago’s consolidated financial results.
Outlook
As we enter the peak summer travel season, we see significant opportunities to scale our marketing efforts and we remain committed to pursuing promising advertising opportunities to maintain our positive momentum. We believe these initiatives will enable us to continue expanding our audience reach, driving long-term revenue growth. Advertising Spend is expected to increase further, though it remains well below historical levels, as we focus on reinvesting profits strategically to maximize return and sustain our growth trajectory. With our strong capitalization and positioning, we are well-prepared to fuel continued growth.
For the third quarter, we anticipate delivering our third consecutive quarter of double-digit revenue growth, though at a rate below the second quarter of 2025. Despite the strong prior-year comparative period in July, total revenue continued to grow at single digits year-over-year in the first weeks of the third quarter. We expect year-over-year growth rates to improve throughout the quarter, ultimately achieving double-digit growth for the full quarter. For the full year 2025, we continue to expect trivago’s total revenues percent growth to be within the mid-teens percent range year-over-year, achieving double-digit growth. We also anticipate Holisto will further contribute low double-digit million euro total revenue while continuing to operate at near breakeven levels, resulting in an immaterial impact on our Adjusted EBITDA guidance. For the full-year 2025, we aim to achieve positive Adjusted EBITDA similar to 2024.
Revenue, Advertising Spend, and Return of Advertising Spend
Referral Revenue & Other Revenue
We match our users’ searches with large numbers of hotel and other accommodation offers through our auction platform, which we call our marketplace. With our marketplace, we provide advertisers a competitive forum to access user traffic by facilitating a vast quantity of auctions on any particular day. Advertisers submit hotel room and other accommodation rates and participate in our marketplace primarily by making bids for each user click on an advertised rate for a hotel or other accommodation on a cost-per-click, or CPC, basis. We also offer the option for our advertisers to participate in our marketplace on a cost-per-acquisition, or CPA, basis.
We earn substantially all of our revenue when users of our websites and apps click on hotel and accommodation offers or advertisements in our search results and are referred to one of our advertisers, or when a user makes a booking on the advertiser’s website ultimately from a referral from our platform. We call this our Referral Revenue.
Management has identified three reportable segments: Americas, Developed Europe and Rest of World (RoW). Our Americas segment is comprised of Argentina, Brazil, Canada, Chile, Colombia, Ecuador, Mexico, Peru, the United States and Uruguay. Our Developed Europe segment is comprised of Austria, Belgium, Denmark, Finland, France, Germany, Ireland, Italy, the Netherlands, Norway, Portugal, Spain, Sweden, Switzerland and the United Kingdom. Our RoW segment is comprised of all other countries. In the second quarter of 2025, the most significant countries by revenue in that segment were Japan, Turkey, Australia, New Zealand, and United Arab Emirates. We have also determined that our equity method investment in Holisto Ltd. has met the criteria for an operating segment, however, it does not meet the quantitative thresholds of a separate reportable segment for the three and six months ended June 30, 2025. See “Holisto Limited Acquisition” above for further details on the acquisition of Holisto in July 2025. Going forward, we expect Holisto to become a separate reportable segment within trivago’s consolidated financial results.
We also earn revenue by offering our advertisers business-to-business (B2B) solutions such as data product offerings and subscription fees earned from advertisers for the trivago Business Studio subscriptions. These revenue streams do not represent a significant portion of our total revenue.
Referral Revenue by Segment & Other Revenue (€ millions)
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Three months ended June 30, | Six months ended June 30, | |||||||||||||
| 2025 | 2024 | Δ € | Δ % | 2025 | 2024 | Δ € | Δ % Y/Y | ||||||||
| Americas | € 52.8 | € 47.9 | € 4.9 | 10% | € 97.7 | € 86.0 | € 11.7 | 14% | |||||||
| Developed Europe | 56.2 | 47.0 | 9.2 | 20% | 108.5 | 90.8 | 17.7 | 19% | |||||||
| Rest of World | 29.5 | 22.4 | 7.1 | 32% | 55.7 | 40.6 | 15.1 | 37% | |||||||
| Total Referral Revenue | € 138.5 | € 117.2 | € 21.3 | 18% | € 261.9 | € 217.4 | € 44.5 | 20% | |||||||
| Other revenue | 0.7 | 1.4 | (0.7) | (50)% | 1.5 | 2.6 | (1.1) | (42)% | |||||||
| Total revenue | € 139.3 | € 118.6 | € 20.7 | 17% | € 263.4 | € 220.0 | € 43.4 | 20% | |||||||
Note: Some figures may not add up due to rounding.
Referral Revenue increased by €21.3 million and €44.5 million during the three and six months ended June 30, 2025, respectively, compared to the same periods in 2024. The increases in all segments were primarily driven by growth from branded channel traffic in response to our continuous brand marketing investments, as well as growth from other marketing channels driven by higher traffic volumes and improved booking conversion. We continue to observe overall healthy bidding dynamics on our platform compared to the same periods in 2024, particularly in Americas and Developed Europe. These increases were partly offset by the weakening of local currencies against the Euro.
Other Revenue
Other revenue decreased by €0.7 million and €1.1 million during the three and six months ended June 30, 2025, respectively, compared to the same periods in 2024, primarily due to the discontinuation of other B2B revenue sources in the middle of 2024.
Advertiser Concentration
We generate the majority of our Referral Revenue from online travel agencies, or OTAs. For brands affiliated with Expedia Group, including Brand Expedia, Hotels.com, Orbitz, Travelocity, Hotwire, Wotif, Vrbo and ebookers, the share of our Referral Revenue was 38% and 37% during the three and six months ended June 30, 2025, respectively, compared to 41% and 39% in the same periods in 2024, respectively. For brands affiliated with Booking Holdings, including Booking.com, Agoda and priceline.com, the share of our Referral Revenue was 37% and 38% during both the three and six month periods ended June 30, 2025 and 2024, respectively.
Advertising Spend
Advertising Spend is included in selling and marketing expense and consists of fees that we pay for our various marketing channels like TV, search engine marketing, display and affiliate marketing, email marketing, online video, app marketing, content marketing, and sponsorship and endorsement.
Advertising Spend by Segment (€ millions)
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Three months ended June 30, | Six months ended June 30, | |||||||||||||
| 2025 | 2024 | Δ € | Δ % | 2025 | 2024 | Δ € | Δ % Y/Y | ||||||||
| Americas | € 45.2 | € 39.7 | € 5.5 | 14% | € 88.9 | € 72.9 | € 16.0 | 22% | |||||||
| Developed Europe | 46.0 | 36.5 | 9.5 | 26% | 85.1 | 72.8 | |||||||||