Yelp yesterday announced a revenue of $133.9 million in the second quarter of 2015 reflecting 51% growth over the previous year.
Adjusted EBITDA for the second quarter of 2015 was $22.7 million, reflecting a 32% increase over the second quarter of 2014.
"We expect local advertising will continue to be our primary driver of growth as we work towards our goal of generating one billion dollars of revenue in 2017,“ commented Rob Krolik, Yelp’s chief financial officer.
During the quarter the number of mobile visitors surpassed Desktop for the first time, growing to approximately 83 million compared to approximately 79 million (unique) Desktop visitors.
Local advertising leading revenue segments
The local advertising business totaled $107.9 million in the quarter, representing 43% growth over the second quarter of 2014.
The “Transactions“ revenue, which was previously included in “Other revenue“ totaled $11.3 million, compared to $1.2 million in the second quarter of 2014. This growth is primarily due to the acquisition of Eat24 in the first quarter of 2015. Transactions revenue are now comprised of Eat24, Platform transactions, Yelp Deals and Gift Certificates.
In comparison Brand advertising revenue totaled $8.3 million, representing an 8% decrease compared to the second quarter of 2014 and the company announced the discontinuation of this product. “As of today, Yelp is announcing that it plans to phase out its brand advertising product by the end of 2015 to continue its focus on the consumer experience and its native, local advertising products,“ the company stated
Other revenue (mostly from partnership arrangements) totaled $6.4 million, representing 128% growth over the same quarter of the previous year.
See the earnings slides below: