Yelp: Strong Q4, Beats on Revenue
Yelp exceeded earnings expectations in its latest quarterly report, revealing strong growth in its Services segment amid challenges elsewhere.
Yelp (NYSE:YELP), an online platform for local business reviews and advertising, released its earnings for the fourth quarter of 2024 on Feb. 13, 2025. The company reported impressive results that beat analyst estimates, showcasing strong performance in its Services segment. For the quarter, Yelp reported earnings per share (EPS) of $0.62, significantly higher than the expected $0.53. Revenue was also above expectations, totaling $361.95 million compared to the forecast of $350 million. Overall, the quarter was marked by a record year in terms of growth, despite challenges in specific segments like Restaurants, Retail, and Other (RR&O).
Source: Analyst estimates for the quarter provided by FactSet.
Yelp operates as a platform that delivers reliable user-generated reviews and ratings. Its core services cater to the advertising needs of small and medium-sized businesses. In recent years, Yelp has focused on expanding its Services segment and investing in innovative solutions like artificial intelligence (AI) to improve user engagement and product offerings. Key success factors for Yelp include maintaining high-quality content, leveraging its large consumer audience, and focusing on profitable revenue streams like home services.
