This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Yelp's CEO Discusses Q2 2012 Results - Earnings Call Transcript

Stocks in this article: YELP

To provide some additional color, let me walk down the P&L starting with the revenue mix. As a quick reminder we break revenue into three categories. One local, which includes enhanced profile pages and performance and impression based advertising. Two, brand, which includes display advertising. And three, other, which includes Yelp Deals and other commerce related revenue.

For the second quarter, local revenue was $25.3 million up 89% year-over-year. Brand revenue was $5.7 million up 27% year-over-year. Other revenues flat year-over-year at $1.7 million, given our transition from email deals to deals on the site. That said, we now have around 35,000 deals on the site, most of which are self-serve where merchants are signing up on their own.

Our customer repeat rate defined in the percentage of current customers who advertise with us in the past 12 months was 70% this past quarter consistent with the first quarter 2012 and second quarter of last year.

Gross margin was consistent at 92% as same as last year’s 2Q. Sales and marketing was 62% of revenue compared with 63% last year. Sales and marketing is both a primary point of investment for growth as well as the greatest point of operating leverage as we move towards our target model. We’ve grown sales and marketing head count above 50% over the last year reflecting our continued investment in opening new markets with our Community Manager program and adding new sales associates.

We invested approximately $2 million in the quarter in overseas market compared with $1.2 million in the same quarter last year, and $2.4 million in the first quarter. As a reminder, virtually no revenue has come from overseas market. In fact, we are only generating revenue in 3 out of our 17 countries that we operate in, which we see as an opportunity.

Read the rest of this transcript for free on

3 of 3

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,356.87 +288.00 1.69%
S&P 500 2,012.89 +40.15 2.04%
NASDAQ 4,644.3120 +96.4780 2.12%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs