trivago NV Q3 FY2025 earnings call

Branded Growth: The brand engine is accelerating with double-digit branded traffic revenue growth. Initiatives like the AI-powered campaign featuring Jürgen Klopp and local productions had a significant impact. Marketing efficiency is improving, and they are diversifying brand marketing channels. ### Core Hotel Search Experience: AI-powered features like Smart search, AI review summaries, and guest sentiment ratings have improved the user experience. Personalization, smart filter recommendations, and member propositions (e.g., exclusive deals, list sharing) are enhancing user engagement. ### Value for Partners: The transaction-based model is gaining share, and Book & Go accelerated by Holisto integration is showing conversion uplifts and market share gains. Trivago Deals Limited (formerly Holisto) is integrated, creating value for users and partners.

Trivago achieved 13% year-over-year revenue growth in Q3 2025, with total revenue reaching EUR 165.6 million. This growth was driven by double-digit branded traffic revenue growth. The Americas segment saw 14% year-over-year referral revenue growth, Rest of World 12%, and Developed Europe 9%. Developed Europe faced headwinds from strong prior year comps early in the quarter but normalized over Q3 2025. Unfavorable foreign exchange headwinds negatively affected revenue by approximately 4% globally.

2025: Expect mid-teens percentage revenue growth and a positive adjusted EBITDA of at least EUR 10 million. ### 2026: Aim for increased adjusted EBITDA of around EUR 20 million while continuing double-digit percentage revenue growth. Focus on optimizing existing markets, leveraging compounding effects of brand investments, and improving marketing efficiency and country/marketing mix.

Foreign exchange headwinds negatively affected revenue development, though the company's strong fundamentals and diversified global footprint helped mitigate some impact.

Q: Any uptick in bidding from Airbnb?

A: Airbnb is a partner, and trivago works on relevant inventory. They see Airbnb as complementary, especially in small cities with few hotels.

Q: Channel conflicts with OTAs post-Holisto integration?

A: Holisto's white label booking engine creates value for partners (small and medium-sized OTAs, hotel chains) with non-core meta search products, creating a win-win for users and partners