Yelp IncYELP
± MixedCapitalrelevance
Earnings beat but profit declined; buyback paused to pay down debt, with mixed financial results.
Impact on assets 1
Communication Services
Yelp IncYelp Q2 2026 Earnings Call Transcript
2▲0 ▼0Impact / 5
Yelp Inc. (NYSE:YELP) detailed the company's transition toward AI-centric products and data licensing revenue streams as a means to diversify away from its core advertising segments. Net revenue increased 1% year over year to $376 million, exceeding the high end of the company outlook range by $8 million, while net income decreased 28% to $32 million and adjusted EBITDA declined 9% to $91 million. Other revenue surged 98% to $33 million, driven by the inclusion of Hatch, data licensing fees, and food ordering revenue, and management set a long-term target of a $250 million annual run rate for Other revenue by the end of 2028. The company repurchased $15 million in shares during the quarter at an average price of $24.92 per share, but has paused its buyback program to pay down its revolving credit facility after drawing $165 million and repaying $65 million in the first half of the year. Yelp provided third quarter net revenue guidance of $365 million to $370 million and full year guidance of $1.460 billion to $1.470 billion, with adjusted EBITDA expected between $70 million and $75 million for the third quarter and $315 million to $325 million for the full year.
Yelp IncEarnings beat but profit declined; buyback paused to pay down debt, with mixed financial results.