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Yelp Inc. (YELP-0.52%) has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing includes financial statements for the quarter, showing an increase in net revenue to $360.3 million from $345.1 million in the same quarter of the previous year. This growth is attributed to a 4% increase in advertising revenue, driven by a 2% increase in ad clicks and a 3% increase in average cost-per-click.
Cost of revenue for the quarter was $32.4 million, representing 9% of sales, compared to 8% in the same quarter of the previous year. This increase is attributed to investments in maintaining and improving infrastructure.
The company reported a gross profit of $46.7 million for the quarter, compared to $41.9 million in the previous year, with the increase attributed to higher revenue.
Sales and marketing expenses increased to $144.6 million from $137.7 million, primarily due to investments in acquiring Services projects through paid search.
Net income for the quarter was $38.4 million, down from $58.2 million in the previous year. The decrease is attributed to a higher provision for income taxes.
Cash provided by operating activities was $214.8 million, while cash used in investing and financing activities was $34.4 million and $233.0 million, respectively.
Yelp had a working capital of $590.2 million as of September 30, 2024. The company anticipates using cash for stock repurchases and the acquisition of RepairPal, Inc.
The filing also details various financial agreements, including a revolving credit facility with JPMorgan Chase Bank, N.A. (JPM-0.62%)
Yelp does not anticipate cash dividend payments to common stockholders in the near future.
The company identified risks related to generating and maintaining user-generated content and the potential impact of acquisitions.
Yelp continues to focus on expanding its product offerings and growing its business, particularly in the Services category.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Yelp Inc. quarterly 10-Q report dated November 8, 2024. To report an error, please email earnings@qz.com.