DESP Earnings Prediction
The chart below shows how DESP performed 10 days before and after its earnings report, based on data from the past quarters. Typically, DESP sees a -0.72% change in stock price 10 days leading up to the earnings, and a +5.86% change 10 days following the report. On the earnings day itself, the stock moves by +0.18%. This data can give you a slight idea of what to expect for the next quarter's release.
DESP Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
193.93M
8.86%
4.80%
Gross Margin
73.81%
9.07%
2.63%
Operating Margin
19.19%
111.11%
35.43%
Net Margin
4.60%
2655.56%
-36.64%
EPS
0.02
--
-71.43%
No Data Available
DESP Earnings Analysis
Despegar.com, Corp. Corporation (DESP.N) Earnings Conference Call
Positive
Strong Q3 Performance: Our third quarter results were robust, reflecting a continuation of the positive trends we've seen throughout the year.
Gross Bookings Growth: In constant currency, our gross bookings demonstrated an industry-leading growth of 35% year-over-year, underscoring the very strong fundamental trends of our business.
Record High Taker Rate: Our commercial efforts during the quarter were highly successful, leading to a record high taker rate of 14.6%.
Record Adjusted EBITDA Growth: We achieved a record adjusted EBITDA of $48 million, representing a 94% year-over-year increase and a new record for the company.
Net Income Surge: Our adjusted net income rose an impressive 309% year-over-year, reaching $36 million for the quarter.
Negative
Gross Bookings Decline: Gross bookings declined slightly to $1.3 billion, anticipated due to foreign exchange headwinds, particularly in Brazil and Mexico.
B2C Gross Bookings Decline: In our core B2C segment, gross bookings reached $1.1 billion for the quarter, decreasing 8.4% year-on-year, in line with the anticipated FX headwind.
Commercial Strategy Focus: Despite this temporary trend, we remain focused on our commercial strategy centered around higher-margin packages and hotel sales, particularly in Brazil and Argentina, while we experienced notable success.
Adjusted Net Income Surge: Our adjusted net income rose an impressive 309% year-over-year, reaching $36 million for the quarter, but this was against a backdrop of significant challenges in the market.
Transaction Decline Analysis: In the third quarter, transactions declined by 22% year-over-year, driven in part by the divestiture of our Destination Management Company business during the quarter.
DESP FAQs
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DESP Earning Call Sentiment
Despegar.com, Corp. (DESP) Q3 2024 Earnings Call Transcript
DESP.N
-0.21%Positive
The earnings call summary indicates strong financial performance with a record gross margin and significant adjusted net income growth. The strategic partnership with Expedia and positive trends in Argentina are promising. Despite FX headwinds and lowered revenue guidance, the raised EBITDA guidance and strong cash position are positive indicators. The Q&A suggests analysts are cautiously optimistic, with concerns about FX impacts and sustainability of take rates. Overall, the strong earnings, strategic partnerships, and optimistic guidance outweigh the negatives, suggesting a positive stock price movement.