TripAdvisor (TRIP) stock is soaring 5.25% in pre-market trading on Wednesday following the release of its first-quarter 2025 financial results that surpassed analyst expectations. The online travel company reported better-than-anticipated earnings and revenue, demonstrating resilience in a challenging market environment.
For the first quarter, TripAdvisor posted revenue of $398 million, beating the Wall Street consensus estimate of $387.1 million. The company's adjusted earnings per share came in at $0.14, significantly outperforming analyst expectations of $0.04. This represents a 16.67% increase from the same period last year when the company reported earnings of $0.12 per share. The adjusted net income for the quarter stood at $21 million, well above the estimated $6.66 million.
Looking ahead, TripAdvisor provided a cautiously optimistic outlook. The company reported stable demand trends in April and expects these to continue. For the second quarter, TripAdvisor projects revenue growth of 5-8% and adjusted EBITDA margins of 16-18%. While management stated it was "premature to make a call on where things are heading," they maintained their full-year 2025 revenue growth guidance of 5-7%. This balanced approach, coupled with the strong Q1 performance, seems to have bolstered investor confidence, contributing to the stock's significant pre-market rise.