After a five-year push, Travelzoo achieved profitability in Europe for the first time.
In releasing its third quarter 2010 earnings results, the newsletter and online deal-publisher said it notched an operating profit of $248,000 in Europe, compared with a $1.3 million loss in the third quarter of 2009.
Segment revenue in Europe climbed 37% to $6.5 million in the quarter, although it still is small when measured against Travelzoo's North America business, where revenue grew 12% to $21.3 million.
Overall for the company, Travelzoo recorded net income of $3.65 million in the third quarter of 2010, compared with a $295,000 loss in the year-earlier period, on $27.7 million in revenue, a 17% year over year jump.
Travelzoo began operating in Europe in 2005 and now has a presence in the U.K., Spain, Germany and France. The company previously achieved profitability in the U.K., but this is the first time Travelzoo has gone into the black for Europe as a whole.
In other highlights of Travelzoo's earnings release, the company said it has seen "rapid adoption" of its Local Deals business.
Travelzoo said its Local Deals emails, such as the above email for New York City, now are being published in 12 U.S. cities.