The earnings call highlighted Yelp's record revenue and strong growth in services, driven by innovations and strategic acquisitions. However, challenges persist in the RR&O segment, and adjustments in marketing strategies were necessary due to underwhelming returns from paid search investments. Overall, Yelp remains focused on leveraging its strengths and disciplined expense management to drive future growth.

Company Guidance

During Yelp's third-quarter 2024 earnings call, the company reported a 4% year-over-year increase in net revenue to $360 million, with strong profitability reflected in an 11% net income margin and a 28% adjusted EBITDA margin. Services revenue grew by 11% year-over-year, marking the 14th consecutive quarter of double-digit growth, driven by a 15% increase in the home services category. Furthermore, Yelp announced the acquisition of RepairPal for approximately $80 million in cash, aiming to bolster its offerings in the auto services advertising vertical, which currently holds an annual run rate of about $90 million. While services segments showed strong performance, the restaurant, retail, and other (RR&O) categories faced challenges, with a 6% revenue decline. Despite these headwinds, Yelp maintained a disciplined expense approach, leading to a full-year adjusted EBITDA outlook increase to a range of $341 million to $346 million.

Record Net Revenue

Yelp delivered record net revenue of $360 million, a 4% year-over-year increase, with an 11% net income margin and a 28% adjusted EBITDA margin.

Strong Growth in Services Revenue

Services revenue increased by 11% year-over-year, marking the 14th consecutive quarter of double-digit growth, with home services revenue increasing by approximately 15%.

Request-A-Quote Projects Growth

Request-A-Quote projects increased by approximately 25% year-over-year due to improvements in request flow.

Acquisition of RepairPal

Yelp announced plans to acquire auto services platform RepairPal for $80 million, aiming to enhance offerings in the U.S. auto services advertising vertical.

Expense Management Success

Achieved a net income margin of 11% and an adjusted EBITDA margin of 28% through disciplined expense management, reducing stock-based compensation by 2 percentage points year-over-year.

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Yelp (YELP) Earnings, Revenues Date & History

The upcoming earnings date is based on a company’s previous reporting, and may be updated when the actual date is announced

Daily Earnings Calendar >

YELP Earnings History

Report Date	Fiscal Quarter	Forecast / EPS	Last Year's EPS	EPS YoY Change	Slides	Play Transcript
Aug 08, 2018	2018 (Q2)	- / 0.12	0.09	33.33% (+0.03)	―	―
Nov 08, 2018	2018 (Q3)	- / 0.17	0.09	88.89% (+0.08)	―	―
Feb 13, 2019	2018 (Q4)	- / 0.37	1.6	-76.88% (-1.23)	―	―
May 09, 2019	2019 (Q1)	- / 0.02	-0.03	166.67% (+0.05)	―	―
Aug 08, 2019	2019 (Q2)	- / 0.16	0.12	33.33% (+0.04)	―	―
Nov 07, 2019	2019 (Q3)	- / 0.14	0.17	-17.65% (-0.03)	―	―
Feb 14, 2020	2019 (Q4)	- / 0.24	0.37	-35.14% (-0.13)	―	―
May 07, 2020	2020 (Q1)	- / -0.22	0.02	-1200.00% (-0.24)	―	―
Aug 06, 2020	2020 (Q2)	- / -0.33	0.16	-306.25% (-0.49)	―	―
Nov 05, 2020	2020 (Q3)	- / -0.01	0.14	-107.14% (-0.15)	―	―

The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.

Beat

Missed

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YELP Earnings-Related Price Changes

Report Date	Price 1 Day Before	Price 1 Day After	Percentage Change
Nov 07, 2024	$36.37	$35.93	-1.21%
Aug 08, 2024	$33.51	$33.47	-0.12%
May 09, 2024	$39.62	$36.79	-7.14%
Feb 15, 2024	$44.39	$38.02	-14.35%

Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.

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