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Travelzoo (TZOO-0.61%) has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing includes financial statements for the quarter, showing a decrease in revenues to $20,098,000 from $20,599,000 in the same quarter the previous year. This decrease is attributed to a reduction in advertising revenue, particularly from Top 20 and Standalone products.
Cost of revenues for the quarter was $2,548,000, representing 12.7% of revenues, compared to 12.9% in the same quarter of the previous year. The decrease in cost ratio is due to lower software and license costs.
The company reported an operating income of $4,045,000 for the quarter, compared to $3,109,000 in the previous year, with the increase attributed to reduced sales and marketing expenses.
Other income, net, was $359,000 for the quarter, up from $314,000 in the previous year, primarily due to foreign exchange transaction gains.
Net income for the quarter was $3,256,000, up from $2,400,000 in the previous year. Net income attributable to Travelzoo was $3,184,000, compared to $2,348,000 in the previous year.
Cash provided by operating activities was $13,257,000, while cash used in investing and financing activities was $129,000 and $17,197,000, respectively.
Travelzoo had a working capital deficit of $7,034,000 as of September 30, 2024. The company expects cash on hand to be sufficient for working capital needs for at least the next twelve months.
The filing also details various financial activities, including stock repurchase programs and a stock repurchase agreement with CEO Holger Bartel.
Travelzoo does not anticipate cash dividend payments to common stockholders in the near future.
The company identified a material weakness in its internal controls over financial reporting due to insufficient resources for accounting complex transactions.
Travelzoo continues to focus on expanding its membership base and enhancing its product offerings, including the Travelzoo META subscription service and licensing agreements in the Asia Pacific region.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Travelzoo quarterly 10-Q report dated November 8, 2024. To report an error, please email earnings@qz.com.