Travelzoo (NASDAQ:TZOO) Q2 2022 Earnings Conference Call July 27, 2022 11:00 AM ET

Company Participants

Lisa Su - Chief Accounting Officer

Holger Bartel - Global CEO

Arveena Ahluwalia - Global Director of Travelzoo META

Conference Call Participants

Michael Kupinski - Noble Capital Markets

Edward Woo - Ascendiant Capital

Steve Silver - Argus Research

James Goss - Barrington Research

Operator

Hello, everyone. Welcome to the Travelzoo Second Quarter 2022 Financial Results Conference Call. All participants have been placed in a listen-only mode, and the floor will be opened for questions following the presentation. Today's call is being recorded. The company would like to remind you that all statements made during this conference call and presented in the slides that are not statements of historical facts constitute forward-looking statements and are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995.

Actual results could vary materially from those contained in the forward-looking statements. Factors that could cause actual results to differ materially from those in the forward-looking statements are described in the company's Form 10-K and 10-Q and other periodic filings with the SEC unless required by law. The company undertakes no obligation to update publicly any forward-looking statements whether as a result of new information, future events, or otherwise.

Please refer to the company's website for important information, including the company's earnings press release issued earlier this morning. An archived recording of this conference call will be made available on the Travelzoo Investor Relations website at travelzoo.com/ir.

Now it's my pleasure to turn the floor over to Travelzoo's Global CEO, Holger Bartel; its Chief Accounting Officer, Lisa Su; and its Global Director of Travelzoo META, Arveena Ahluwalia. Lisa will start with an overview of the second quarter 2022 financial results.

Lisa Su

Thank you, operator, and welcome to those of you joining us today. Please open the management presentation to follow along with our prepared remarks. The presentation in PDF format is available on our Investor Relations website at travelzoo.com/ir.

Let's begin with Slide number 3. Our Q2 revenues were lower than expected. However, profitability was good. Operating income, which we as management call operating profit was $1.8 million, which is approximately 10% of revenues. Our Q2 revenue was $17.7 million, down 7% from $19.1 million year-over-year. Our operating profit in Q2 was $1.8 million, which resulted in earnings per share of $0.08. Compared to the previous quarter, the number of members remain the same.