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Segment Reporting and Significant Customer Information
6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Segments Reporting and Significant Customer Information Segment Reporting and Significant Customer Information
The Company determines its reportable segments based upon the chief operating decision maker’s management of the business. The Company currently has four reportable operating segments: Travelzoo North America, Travelzoo Europe, Jack’s Flight Club and New Initiatives. Travelzoo North America consists of the Company’s operations in the U.S. and Canada. Travelzoo Europe consists of the Company’s operations in France, Germany, Spain and the U.K. Jack’s Flight Club consists of subscription revenues from Premium members. New Initiatives consists of Travelzoo’s licensing activities in certain Asia Pacific territories, Travelzoo META and MTE.
Our chief operating decision maker ("CODM") is our Global Chief Executive Officer. The CODM primarily uses operating income (loss) to evaluate each segment's performance, allocate resources and make capital investments. We allocate certain software and license costs, such as IT and customer support, across all segments but do not allocate expenses such as legal-related costs or income taxes. Financial information is utilized along with forecasts to enable the CODM to manage our business across all operating segments.
For the three months ended June 30, 2025, Travelzoo North America operations comprised 67% of revenues, Travelzoo Europe operations comprised 27% of revenues and Jack's Flight Club comprised 6% of revenues.
The following is a summary of operating results by business segment (in thousands):
Three Months Ended June 30, 2025Travelzoo North
America
Travelzoo EuropeJack’s Flight Club New InitiativesConsolidated
Revenues from unaffiliated customers$15,737 $6,740 $1,410 $19 $23,906 
Intersegment revenues395 (355)(40)— — 
Total net revenues16,132 6,385 1,370 19 23,906 
Sales and marketing (1)6,453 4,427 603 — 11,483 
Other costs and expenses (2)6,861 2,841 611 50 10,363 
Operating profit (loss)$2,818 $(883)$156 $(31)$2,060 
Other income, net161 
Income from continuing operations before income taxes2,221

(1) Includes advertising and promotional costs, employee-related expenses for sales, marketing, and production teams, conference participation costs, professional services, public relations expenses, and facilities costs.

(2) Includes costs and expenses related to cost of revenues, product development, and general and administrative. Travelzoo North America and Travelzoo Europe general and administrative expenses include stock based compensation of $339,000 and $0, respectively.
Three Months Ended June 30, 2024Travelzoo North
America
Travelzoo EuropeJack’s Flight Club New InitiativesConsolidated
Revenues from unaffiliated customers$14,015 $6,004 $1,099 $23 $21,141 
Intersegment revenues119 (53)(66)— — 
Total net revenues14,134 5,951 1,033 23 21,141 
Sales and marketing (1)5,444 3,330 477 135 9,386 
Other costs and expenses (2)4,973 2,109 590 72 7,744 
Operating profit (loss)$3,717 $512 $(34)$(184)$4,011 
Other income, net176 
Income from continuing operations before income taxes4,187
(1) Includes advertising and promotional costs, employee-related expenses for sales, marketing, and production teams, conference participation costs, professional services, public relations expenses, and facilities costs.
(2) Includes costs and expenses related to cost of revenues, product development, and general and administrative. Travelzoo North America and Travelzoo Europe general and administrative expenses include stock based compensation of $688,000 and $0, respectively.
Six Months Ended June 30, 2025Travelzoo North
America
Travelzoo EuropeJack’s Flight Club New InitiativesConsolidated
Revenues from unaffiliated customers$30,567 $13,710 $2,733 $36 $47,046 
Intersegment revenues693 (613)(80)— — 
Total net revenues31,260 13,097 2,653 36 47,046 
Sales and marketing (1)12,153 8,329 1,226 — 21,708 
Other costs and expenses (2)12,695 5,423 1,259 97 19,474 
Operating profit (loss)$6,412 $(655)$168 $(61)$5,864 
Other income, net790 
Income from continuing operations before income taxes6,654
(1) Includes advertising and promotional costs, employee-related expenses for sales, marketing, and production teams, conference participation costs, professional services, public relations expenses, and facilities costs.

(2) Includes costs and expenses related to cost of revenues, product development, and general and administrative. Travelzoo North America and Travelzoo Europe general and administrative expenses include stock based compensation of $679,000 and $0, respectively.
Six Months Ended June 30, 2024Travelzoo North
America
Travelzoo EuropeJack’s Flight Club New InitiativesConsolidated
Revenues from unaffiliated customers$28,288 $12,584 $2,199 55$43,126 
Intersegment revenues74 29 (103)— — 
Total net revenues28,362 12,613 2,096 55 43,126 
Sales and marketing (1)$10,551 $6,391 $882 $135 17,959 
Other costs and expenses (2)$9,657 $4,328 $1,347 $234 15,566 
Operating profit (loss)$8,155 $1,894 $(133)$(314)$9,602 
Other income, net315 
Income from continuing operations before income taxes9,917
(1) Includes advertising and promotional costs, employee-related expenses for sales, marketing, and production teams, conference participation costs, professional services, public relations expenses, and facilities costs.
(2) Includes costs and expenses related to cost of revenues, product development, and general and administrative. Travelzoo North America and Travelzoo Europe general and administrative expenses include stock based compensation of $783,000 and $0, respectively.

A measure of segment assets is not currently provided to the Chief Operating Decision Maker and has therefore not been provided.
For the three months ended June 30, 2025 and 2024, the Company did not have any customers that accounted for 10% or more of revenue. As of June 30, 2025 and December 31, 2024, the Company did not have any customers that accounted for 10% or more of accounts receivable.
The following table sets forth the breakdown of revenues (in thousands) by category: Advertising and Commerce, Membership Fees, and Other. Advertising and Commerce includes travel publications (Top 20, Travelzoo website, Standalone email newsletters, Travelzoo Network), Getaways vouchers, hotel platform, vacation packages, Local Deals vouchers and entertainment offers (vouchers and direct bookings). Membership Fees includes subscription fees paid by Travelzoo and Jack's Flight Club members. Other includes licensing fees from license agreements and the existing retail business acquired by the Company in the MTE transaction.
Three Months EndedSix Months Ended
 June 30,June 30,
 2025202420252024
Advertising and Commerce$20,874 $19,957 $41,554 $40,807 
Membership Fees3,013 1,161 5,456 2,265 
Other19 23 36 54 
Total revenues$23,906 $21,141 $47,046 $43,126 

The following table sets forth revenues for individual countries that comprised 10% or more of total revenue (in thousands):
Three Months EndedSix Months Ended
June 30,June 30,
 2025202420252024
Revenue
United States $15,129 $13,577 $29,455 $27,178 
United Kingdom4,875 4,076 9,726 8,761 
Rest of the world3,902 3,488 7,865 7,187 
Total revenues$23,906 $21,141 $47,046 $43,126