Skift Take
Trivago has big structural problems, such as two online travel agencies being responsible for three-quarters of its referral revenue, but it appears to be managing costs and pumping out product changes during this down time. Give the company credit for maintaining a pulse.
Trivago apparently has the cash to hang in there for awhile.
That being said, the stock was trading at just around $1.32, up 3.9 percent, in the late morning in New York on Tuesday.
But there were a few positive signs amidst the travel industrywide carnage as Covid cases spiked in recent weeks in the company's European home base.
Conserving cash is super-important in the current era for the German company and peers everywhere. At the end of the third quarter on September 30, Trivago had total cash on hand of euro 207.5 million ($243.1 million), a sequential dip of 2.9 percent.
During the lodging-metasearch company's analyst call Tuesday, Trivago Chief Financial Officer Matthias Tillmann said the business in developed Europe saw "very strong" sequential growth in qualified referrals and revenue per qualif
