Travelzoo Files 2023 Annual Report on Form 10-K

TL;DR

<b>Travelzoo has filed its 2023 10-K annual report detailing its financial performance and business operations for the year ended December 31, 2023.</b>

AI Summary

TRAVELZOO (TZOO) filed a Annual Report (10-K) with the SEC on March 22, 2024. Travelzoo filed its 10-K report for the fiscal year ending December 31, 2023. The filing covers the period from January 1, 2023, to December 31, 2023. The company's principal executive offices are located at 590 Madison Avenue, 35th Floor, New York, NY 10022. Travelzoo is incorporated in Delaware. The filing was submitted on March 22, 2024.

Why It Matters

For investors and stakeholders tracking TRAVELZOO, this filing contains several important signals. This 10-K filing provides a comprehensive overview of Travelzoo's financial health and strategic direction for investors and stakeholders. The detailed financial statements and disclosures within the report are crucial for understanding the company's performance, risks, and future outlook.

Risk Assessment

Risk Level: medium — TRAVELZOO shows moderate risk based on this filing. The company's business is subject to market risks and competition within the online travel and advertising sectors, which could impact revenue and profitability.

Analyst Insight

Review the detailed financial statements and risk factors in the 10-K to assess Travelzoo's financial performance and competitive positioning.

Key Numbers

• 2023-12-31 — Fiscal Year End (CONFORMED PERIOD OF REPORT)
• 2024-03-22 — Filing Date (FILED AS OF DATE)
• 106 — Public Document Count (PUBLIC DOCUMENT COUNT)

Key Players & Entities

• Travelzoo (company) — CONFORMED NAME
• 590 Madison Avenue, 35th Floor, New York, NY 10022 (company) — BUSINESS ADDRESS
• DE (company) — STATE OF INCORPORATION
• 2023-12-31 (date) — FISCAL YEAR END
• 2024-03-22 (date) — FILED AS OF DATE
• 0001133311-24-000008 (filing) — ACCESSION NUMBER

FAQ

Industry Context

Travelzoo operates in the online travel and advertising services industry, connecting consumers with travel deals and services.

Regulatory Implications

The filing is made in accordance with the Securities Exchange Act of 1934, requiring public companies to submit annual reports.

What Investors Should Do

1. Analyze Travelzoo's revenue streams and growth drivers for fiscal year 2023.
2. Examine any disclosed risk factors related to market competition and operational challenges.
3. Review management's discussion and analysis for insights into the company's strategy and outlook.

Key Dates

• 2023-12-31: Fiscal Year End — End of the reporting period for the 10-K filing.
• 2024-03-22: Filing Date — Date the 10-K report was officially filed with the SEC.

Year-Over-Year Comparison

This is the 2023 annual report (10-K) filed on March 22, 2024, providing updated financial and operational information compared to previous filings.

Key Financial Figures

• $0.01 — ange on which registered Common Stock, $0.01 par value TZOO The NASDAQ Stock Market
• $40 — nd Germany are charged an annual fee of $40 (or local equivalent), with the 2024 an
• $71,000 — of net revenue. The Company recognized $71,000 and $25,000 in royalties in 2023 and 20
• $25,000 — nue. The Company recognized $71,000 and $25,000 in royalties in 2023 and 2022, respecti
• $4.45 — s common stock on December 30, 2022 was $4.45 per share, resulting in an aggregate fa
• $15.2 million — n aggregate fair value of the Shares of $15.2 million. The consideration for the Shares consi
• $1.0 million — Shares consisted of the following: (a) $1.0 million in cash paid on the Closing Date; (b) $
• $4.8 million — n in cash paid on the Closing Date; (b) $4.8 million paid in the form of a promissory note,
• $10 — industry, at its peak in 2019, reached $10 trillion of value, representing 10.4% o
• $7.7 — ontinued its rebound, growing by 22% to $7.7 trillion, according to WTTC. As supply
• $9.5 — 3.3% over 2022 and achieving a value of $9.5 trillion, only five percent below the i
• $550 b — ed to account for 59%, or approximately $550 billion, of global advertising spending i
• $172 billion — , local advertising spending will reach $172 billion in 2024. Although traditional media out
• $34.2 billion — in 2023 was estimated at approximately $34.2 billion of revenue, which accounted for 37% of

Filing Documents

• tzoo-20231231.htm (10-K) — 1784KB
• tzoo-20231231xex211.htm (EX-21.1) — 7KB
• tzoo-20231231xex231consent.htm (EX-23.1) — 2KB
• tzoo-20231231xex232consent.htm (EX-23.2) — 3KB
• tzoo-20231231xex311.htm (EX-31.1) — 8KB
• tzoo-20231231xex312.htm (EX-31.2) — 8KB
• tzoo-20231231xex321.htm (EX-32.1) — 5KB
• tzoo-20231231xex322.htm (EX-32.2) — 5KB
• travelzooclawbackpolicy.htm (EX-97) — 7KB
• tzoo-20231231_g1.jpg (GRAPHIC) — 43KB
• 0001133311-24-000008.txt (&nbsp;) — 10462KB
• tzoo-20231231.xsd (EX-101.SCH) — 76KB
• tzoo-20231231_cal.xml (EX-101.CAL) — 130KB
• tzoo-20231231_def.xml (EX-101.DEF) — 388KB
• tzoo-20231231_lab.xml (EX-101.LAB) — 859KB
• tzoo-20231231_pre.xml (EX-101.PRE) — 656KB
• tzoo-20231231_htm.xml (XML) — 1441KB

Risk Factors

Item 1A. Risk Factors 12

Unresolved Staff Comments

Item 1B. Unresolved Staff Comments 25

Cybersecurity

Item 1C. Cybersecurity 25

Properties

Item 2. Properties 26

Legal Proceedings

Item 3. Legal Proceedings 26

Mine Safety Disclosure

Item 4. Mine Safety Disclosure 26 PART II

Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities

Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 27

Reserved

Item 6. Reserved 28

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations 28

Quantitative and Qualitative Disclosures About Market Risk

Item 7A. Quantitative and Qualitative Disclosures About Market Risk 42

Financial Statements and Supplementary Data

Item 8. Financial Statements and Supplementary Data 43

Changes in and Disagreements with Accountants on Accounting and Financial Disclosures

Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosures 80

Controls and Procedures

Item 9A. Controls and Procedures 80

Other Information

Item 9B. Other Information 81

Disclosure Regarding Foreign Jurisdictions that Prevent Inspections

Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 81 PART III

Directors, Executive Officers and Corporate Governance

Item 10. Directors, Executive Officers and Corporate Governance 82

Executive Compensation

Item 11. Executive Compensation 82

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 82

Certain Relationships and Related Transactions, and Director Independence

Item 13. Certain Relationships and Related Transactions, and Director Independence 82

Principal Accountant Fees and Services

Item 14. Principal Accountant Fees and Services 82 PART IV

Exhibits and Financial Statement Schedules

Item 15. Exhibits and Financial Statement Schedules 82

Form 10-K Summary

Item 16. Form 10-K Summary 84

Signatures

Signatures 85 3 PART I

Forward-Looking Statements

Forward-Looking Statements The information in this report contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements are based upon current expectations, assumptions, estimates and projections about Travelzoo and our industry. These forward-looking statements are subject to the many risks and uncertainties that exist in our operations and business environment that may cause actual results, performance or achievements of Travelzoo to be different from those expected or anticipated in the forward-looking statements. Any statements contained herein that are not statements of historical fact may be deemed to be forward-looking statements. For example, words such as "may", "will", "should", "estimates", "predicts", "potential", "continue", "strategy", "believes", "anticipates", "plans", "expects", "intends", and similar expressions are intended to identify forward-looking statements. Travelzoo's actual results and the timing of certain events could differ significantly from those anticipated in such forward-looking statements. Factors that might cause or contribute to such a discrepancy include, but are not limited to, those discussed elsewhere in this report in Part I Item 1A and the risks discussed in our other Securities and Exchange Commission ("SEC") filings. The forward-looking statements included in this report reflect the beliefs of our management on the date of this report. Travelzoo undertakes no obligation to update publicly any forward-looking statements for any reason, even if new information becomes available or other circumstances occur in the future.

Business

Item 1. Business Overview Travelzoo (including its subsidiaries and affiliates, the "Company" or "we"), the club for travel enthusiasts, is a global Internet media company. Travelzoo provides its 30 million members with exclusive offers and one-of-a-kind experiences personally reviewed by our deal experts around the globe. We have our finger on the pulse of outstanding travel, entertainment and local experiences. We work in partnership with more tha n 5,000 top travel suppliers—our long-standing relationships give Travelzoo members access to irresistible offers. Travelzoo attracts a high-quality audience of travel enthusiasts across multiple digital platforms, including email, websites, social media and mobile applications. The Travelzoo website is visit ed by over 6 million unique visitors monthly. We have over 4.5 million social media followers on Facebook, Instagram, and Twitter and, to date, our iOS and An droid mobile applications have been downloaded 7.5 million times. Our most important products and services are the Travelzoo website (travelzoo.com), the Travelzoo iOS and Android apps, the Top 20 email newsletter, Standalone email newsletters, the Travelzoo Network , and Jack's Flight Club . Our Travelzoo website and newsletters include Local Deals and Getaways listings that allow our members to purchase vouchers for offers from local businesses such as spas, hotels and restaurants. Jack's Flight Club is a subscription service that provides members with information about exceptional airfares. As of December 31, 2023, we had 31.1 million members worldwide, up from 30.4 million as of December 31, 2022. In North America, Travelzoo had 16.2 million unduplicated members as of December 31, 2023, consistent with December 31, 2022. In Europe, Travelzoo had 9.2 million unduplicated members as of December 31, 2023, up from 9.0 million as of December 31, 2022. Jack's Flight Club had 2.4 million subscribers as of December 31, 2023, up from 1.9 million as of December

View Full Filing

View this 10-K filing on SEC EDGAR