#12022 Investor Presentation yelp*#2Safe Harbor: Forward-Looking Statements These slides and the accompanying oral presentation contain forward-looking statements. All statements other than statements of historical facts contained in these slides and the accompanying oral presentation, including statements regarding Yelp Inc.'s ("Yelp" or the "Company") future operations, future performance, expected financial results and future financial position, future revenue and revenue growth rates, future share repurchase activity, strategic and investment priorities as well as their anticipated results, projected growth, expenses and savings, trends, opportunities, prospects, estimates, and plans and objectives of management are forward-looking statements. In some cases, you can identify forward-looking statements by terms such as "believe," "may," "will," "estimate," "forecast," "guidance," "continue," "anticipate," "intend," "could," "would," "project," "plan," "potential," "target," "opportunity," "initiative," "model," "expect" or the negative or plural of these words or similar expressions. The Company has based these forward-looking statements largely on its estimates of its financial results and its current expectations and projections about future events and financial trends that it believes may affect its financial condition, results of operations, business strategy, short-term and long-term business operations and objectives and financial needs. These forward-looking statements are subject to a number of risks, uncertainties and assumptions, including fluctuations in the number of COVID-19 cases and the spread of COVID-19 variants, the COVID-19 vaccination rate in the United States, the timeframe for the lifting of COVID-19-related public health restrictions and the pace of economic recovery in local economies and the United States generally; the impact of fear or actual outbreaks of diseases, including the COVID-19 pandemic and any variants thereof, and any resulting changes in consumer behavior, economic conditions or governmental actions; our ability to maintain and expand our base of advertisers, particularly as many businesses continue to face operating restrictions in connection with the COVID-19 pandemic and other constraints; our ability to continue to effectively operate with a primarily remote work force and attract and retain key talent; our limited operating history in an evolving and competitive industry; our ability to generate and maintain sufficient high-quality content from our users; our reliance on traffic from search engines like Google and Bing and the quality and reliability of such traffic; our ability to manage acquisitions of new businesses, solutions or technologies and to integrate and monetize those businesses, solutions or technologies; our ability to timely upgrade and develop our systems, infrastructure and customer service capabilities; our ability to maintain a strong brand and manage negative publicity that may arise; and changes in political, business and economic conditions. These risks and uncertainties may also include those described in the Company's most recent Form 10-Q or Form 10-K filed with the Securities and Exchange Commission. New risks emerge from time to time. It is not possible for Company management to predict all risks, nor can the Company assess the impact of all factors on its business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements the Company may make. In light of these risks, uncertainties and assumptions, the forward-looking events and circumstances discussed in these slides and the accompanying oral presentation may not occur and actual results could differ materially and adversely from those anticipated or implied in the forward-looking statements. You should not rely upon forward-looking statements as predictions of future events. Although the Company believes that the expectations reflected in the forward-looking statements are reasonable, the Company cannot guarantee that the future results, levels of activity, performance or events and circumstances reflected in the forward-looking statements will be achieved or occur. Moreover, neither the Company nor any other person assumes responsibility for the accuracy and completeness of the forward-looking statements. Any forward-looking statement speaks only as of its date. Except as required by law, the Company undertakes no obligation to update publicly any forward-looking statements for any reason after the date of this presentation, to conform these statements to actual results or to changes in the Company's expectations. 2#3Key investment highlights Trusted Content Well-known brand and trusted content provide competitive moat and lower traffic acquisition cost Broad-based Local Ad Platform Large, high-intent consumer audience supports broad-based advertising model with large TAM and significant monetization opportunity Sustainable Growth Portfolio of product initiatives to drive sustainable, profitable growth over the long term Transformed Business Model Consistent execution of strategic initiatives has driven structural efficiency through product innovation and sales channel mix 'As of December 31, 2021 Prudent Capital Allocation Nearly $1 billion returned to shareholders through repurchases¹ Strong Governance Talented Board with diverse skill set and focus on performance, including ESG and Yelp's mission in our local communities 3#4About Yelp#5Yelp is all things local We serve a wide variety of consumers' and businesses' local needs Landscaping Near Me E Sponsored Results Shoe's Bloomers (923) Verified License 0.1 mi Landscaping 30 years in business Free estimates Response time 10 mins Response rate 100% Request a quote = Home Delivery Me Collections More Consumers Search Discovery Request-A-Quote Table booking Food ordering ← 9:41 Penelope's request Local Biz Large consumer audience Visibility High-intent leads Table management Food orders Hi there, please respond with a price. estimate. Here are my answers to Yelp's questions regarding my project: What kind o service do you need done? Landscaping What specific landscaping need to you have? Lawn care/maintenance What is the work area? Front yard How large your area? 1,000 5,000 sq ft What do you want done? Trim trees or shrubs How would you like to respond? Send estimate and availability Customers are more likely to respond Need more information No thanks, I'll pass About Yelp 5#6Our guiding mission: Connecting people with great local businesses Consumers Local Businesses 云级 83 million Unique visitors on desktop and mobile¹ Affluent: >50% come from households with >$100k in annual income³ About Yelp 5.8 million Active claimed local business locations² High-intent: 90% make a purchase within a week of searching on Yelp4 Up-to-date info: More than 1.4 million business listing updates per month Broad-based: 23 business categories with more than 1000 subcategories 244 million Cumulative reviews² 2 528,000 Paying advertising locations 1 ComScore, monthly average for Q4 2021 As of December 31, 2021 Comscore, January 28, 2022 June 2019 Survey by Survey Monkey Audience of people who reported having used Yelp in the prior 3 months 5 Monthly average for 2021 5 Monthly average for Q4 2021 6#7About Yelp Our breadth is an advantage High-frequency categories drive consumer traffic to the categories with the highest value Restaurants, Retail & Other ~90% of Page Views & Searches ~ 40% of Ad Revenue Services ~ 10% of Page Views & Searches ~ 60% of Ad Revenue Note: Page Views & Searches and Advertising Revenue by Category for FY21 7#8☑ Trusted Content#9Consumers value quality review content Transparency is key for consumers, from both businesses and review platforms Trusted Content 97% Of consumer respondents find reviews with text more trustworthy¹ 70% Of consumer respondents rarely visit a new business without first checking the reviews¹ 75% Of consumer respondents are reading more online reviews than ever before¹ 'Survey commissioned by Yelp and conducted by Kelton Global, October 2021 9#10Trusted Content We invest in trust leadership We take industry-leading measures to maintain content integrity and quality Cumulative Review Distribution As of December 31, 2021 Distribution of Average Business Ratings Across Several Review Platforms² 1.5 Density Not Recommended 21% O Recommended 71% Removed for Violating Yelp's Policies or by reviewers themselves¹ 8% 1.0 0.5 Strong Content Moderation: 29% of our content is not recommended or removed for violating our policies or by reviewers themselves 1 2 3 Average Star Rating 4 5 HomeAdvisor Facebook BBB Google Yelp Differentiated Reviews: Yelp's star ratings are more uniformly distributed between 1 and 5 stars, which we believe results in a more useful and trustworthy consumer experience 1 Yelp users can remove their own reviews on the platform, either individually or by closing their accounts 2 Source: Devesh Raval, Federal Trade Commission. September 2020 Chart: The DataFace 10#11Trust fuels our consumer engine Our large consumer audience returns to Yelp for high-quality, trusted content More Users Consumers come to Yelp for trusted local content Trusted Content More Businesses More local businesses engage with their Yelp pages More Reviews Frequent users leave more reviews on local businesses 11#12誠 Broad-based Local Ad Platform#13Large and growing market U.S. Local Advertising Spend ($ in billions) Digital Media '21-25E CAGR: 10% $73 $80 $89 $98 $105 $74 $81 $77 $83 $79 2021 2022E 2023E Digital Media Traditional Media 2024E 2025E Source: BIA Advisory Services, 2022 U.S. Local Advertising Forecast Broad-based Local Ad Platform 2021 U.S. Local Digital Advertising Spend by Category ($ in billions) $40 RR&O Multi-location Digital SMB Digital $33 Services Source: BIA Advisory Services, 2022 U.S. Local Advertising Forecast; Yelp internal data 13#14Broad-based Local Ad Platform Significant monetization opportunity Our strategy is designed to monetize more leads in high-value Services categories Yelp's large audience generates millions of leads every day In 2021, we monetized approximately 25% of those leads in Services¹ To drive greater monetization, we are focused on: Growing our large volume of consumer leads Matching consumers with the right service pros Retaining customers by delivering more high-quality leads ¹Services leads on Yelp include requests, calls, and URL clicks. Consumer Services Leads¹ -20% -15% <10% 2018 2019 2020 Monetized Services Leads -25% 2021 14#15Owned & operated local ad platform Broad-based Local Ad Platform Ad products leverage first-party data across categories and all stages of the consumer funnel Consumer Funnel Awareness Yelp Ad Products On Platform Off Platform via Yelp Audiences On Platform Attribution Off Platform via Yelp Audiences Sponsored M Connected TV M Collections Opens, Clicks M Brand Lift M & Visits Spotlight Ads M Display M Consideration Themed Ads Profile Upgrades Showcase Ads M Conversion Search Ads Request-A-Quote Direct Response M Nearby Jobs Yelp Connect Retention Leads Store Visits M Call Tracking Online Conversion M Opens, Clicks & Visits M Multi-location only 15#16Cutting-edge search and advertising technology Y 8 Experimentation driven Hundreds of product experiments running simultaneously, with thousands of experiences tested per year Broad-based Local Ad Platform High velocity Median developer lead time per feature improved by 80%³ Sophisticated ML & deep learning power advanced functionality • Yelp's unsurpassed consumer review data yields personalized search and recommendations Deep understanding of our data allows prediction of user queries and optimization of our SEO strategy Our state-of-the-art search platform outperforms the industry-standard solution by 30-50% while costing as much as 40% less to run, allowing better ad targeting and search matching To conduct an average of 20M auctions per day, we predict demand for 16M ad categories and time intervals to set bid pricing and pacing, then optimize bids 48x per day per advertiser with the goal of delivering more value Novel "small-block" deep learning infrastructure yields 100x training speed increase² for better click-through rate prediction Proprietary service orchestration framework allows dynamic and scalable AWS utilization with class-leading cost efficiency 1 Compared to Yelp's previous Elasticsearch-based ranking platform. Cost savings consist of reduced infrastructure costs. 2 Compared to the training speed of traditional deep learning frameworks on this problem. 3 Improvement measured in 2020 and sustained into 2021. Includes U.S. employees only 16#17Sustainable Growth#18Portfolio of initiatives designed to drive sustainable growth Grow quality leads and monetization in Services Drive sales through the most efficient channels Deliver more value to advertisers Enhance the consumer experience Sustainable Growth 18#19مدا 7:13 12:411 Sustainable Growth Grow quality leads and monetization in Services Match more consumers with the right Services pros • Further differentiate the Services product experience Improve lead quality and distribution Increase monetization yelp* < Search Create Interio... ☐ ☐ Log In Portfolio from i Restaurants ✓ More ▾ this business How much do movers cost in New York? Based on 35,401 real quotes from businesses in New York. $125 AVG. $245 $685 Enter a zip code Light & Bright Master Bathroom 4 Photos Highlights from the business Spa style bathroom N 3 Photos Get custom quotes Yelp calculates estimated costs by gathering and analyzing real quotes provided to consumers by businesses on Yelp. Actual costs may vary. 10 years Locally owned & operated in business (i Free consultations 上 How Much Does It Cost? >Movers How are Yelp's cost estimates calculated? Every year, millions of consumers request quotes on Yelp from top-rated local professionals. We Services Kitchen Remodeling in 2 reviews Bathroom Remodeling in 1 review Bathroom Desion = Search Me Collections More 19#20Drive sales through the most efficient channels Acquire and retain high-potential SMB and multi-location customers • • Marketing and streamlined flow for Self-serve acquisition New tools to drive business owner engagement Expanded Multi-location product portfolio Try "cleaners" or "most popular" E Restaurants Plumbing Nail Salons Massage Delivery Takeout Reservation More Craveworthy Burger Spots Sponsored by Heinz HEINZ Great spots to grab craveworthy burgers View collection Darwin's Di 00000 s Mission, 1.2 1 = Search Me Collections More Sustainable Growth Yelp Ads Ad Performance Customer leads (last 12 months) 8 Jan Feb Mar Apr May Directions & Map Views Website Visits 0 Jur Jul Aug Sep Oct Nov Dec 2 25% ⚫ Calls 6 75% 0 0% Forecast Where you're reaching (last 14 days) Your Yelp ad was shown when users were locking for businesses in these locations over the last 14 days. Learn more + Alton Basin Cruceso Google 201 Dec 2-Dec 15, 2020 Boku Map data 2020 Terms of Use Report a map error To change the locations your ad reaches, adjust your location targeting Update location targeting 20#21Deliver more value to advertisers Increase client satisfaction and retention through more ad clicks and new offerings • Ad system optimizations New ad formats and offerings Improve ad relevance and matching e 8:00 1 ← ฟล Accountants Current Location Sustainable Growth ▾ Sort Price Open Now Request Jan Ads Organic Feb Mar Apr May Jun Jul 50% Aug Sep Forecast Oct Nov Dec 1 4 50% Call Closed now 9:00 AM - 6:00 PM Op Responds in ~2 hours Sponsored O SoCal Accounting 000054 Reviews Direc Tax... Accountants, Tax Services, Bookkeepers Accou n Get a virtual consultation Response time -20 minutes Ads spend this billing period Your Ads spend $110.27 Due on Jan 1, 2021 Impressions (last 30 days) 19.6K Avg cost-per-click $3.06 11/22 11/29 12/6 12/13 Ad clicks (last 30 days) G 45 = Search Me Collections More 11/22 11/29 12/6 12/13 3K 2K 1K 21#22EKO Enhance the consumer experience Expand trusted content and engagement of our large audience • Reduce review friction to boost contributors Differentiate the core experience to drive engagement 2:49 1 May your home always be warm Q HVAC services ill Search for burgers, delivery, barbers... New & Trending Promoted updates from these businesses FLIPSIGI • Bring Android experience to parity with iOS Sustainable Growth Search for burgers, delivery, barbers... 4 hours ago Tacos on Main Mission District, San Francisco OBICA MP Smash BURGER Taco Tuesday is coming up Flip Sigi Tableside Italian Cook Shoppe Obicà Mozzarella Bar Pizza e Cuci... Smashbur Your reviews make a difference Help local businesses Search What better way to celebrate than with a family pack of tacos, nachos, and dip? Order today! 11 hours ago Trending in your area Oil & Vinegar Kitchen Nob Hill, San Francisco Takeout in 20 min = = ...Jore Search Me Collections More 22#23Transformed Business Model#24Successful business transformation Transformed Business Model The strategic initiatives we began in 2019 have transformed Yelp's business model Product Ad Revenue by Category Ad Revenue by Channel Monetization Margin 2018 Growth driven by Local sales headcount 2021 Growth driven by product innovation AD PRODUCTS 22% 9% SERVICES LEADS ADJUSTED EBITDA MARGIN¹ -10 50% 50% <10% 19% SMB 66% 2018 27% 17% -25% 24% ~25 38% 62% SMB 53% RR&O SERVICES 2021 LOCAL SELF-SERVE MULTI-LOC PARTNER MONETIZED 1 See Appendix for how we define Adjusted EBITDA margin and a reconciliation of Net income (loss) margin to Adjusted EBITDA margin for the periods presented and for information about the limitations of adjusted EBITDA as an analytical tool. FY 2018 Net income margin was 6%. FY 2021 Net income margin was 4%. 24#25Strategic initiatives drove a record annual Adjusted EBITDA margin Key drivers of Adjusted EBITDA margin expansion: Growth in accretive channels: Multi-location & Self-serve Improved retention by delivering more value to advertisers Cost structure optimizations Investments in Product Development and B2B marketing 19% Transformed Business Model 24%¹ 2018 Sales Mix Local Retention Corp Exp. Savings Investment in Growth 2021 1 See Appendix for how we define Adjusted EBITDA margin and a reconciliation of Net income (loss) margin to Adjusted EBITDA margin for the periods presented and for information about the limitations of adjusted EBITDA as an analytical tool. Net income margin for FY 2018 was 6%. Net income margin for FY 2021 was 4%. 25#26Rationalized cost structure Transformed Business Model Leverage in Sales & marketing enables investment in Product development to drive growth Expenses as % of revenue¹ 2013-2018 Cost of revenue Sales & marketing Product development G&A D&A Adjusted EBITDA Margin² 2019-2020 2021 6-9% 6-7% 8% 51-57% 49-50% 44% 16-23% 23-27% 27% 13-18% 13-15% 13% 5% 5-6% 5% 13-19% 16-21% 24% 1 Calculated in accordance with GAAP, including stock-based compensation expense 2See Appendix for reconciliation of GAAP Net income (loss) margin to Adjusted EBITDA margin for the periods presented and for information about the limitations of adjusted EBITDA as an analytical tool. Net income (loss) margin ranged from (6%) -18% in 2013-2018, from (2%) -4% in 2019-2020 and was 4% in 2021. 26#27Prudent Capital Allocation#28Robust multi-year capital return program Nearly $1 billion worth of shares repurchased Completed as of December 31, 2021 Remaining Authorization $200M $250M $250M $250M Prudent Capital Allocation $250M $1.2B Authorized July 2017 Authorized November 2018 Authorized February 2019 Authorized January 2020 Authorized August 2021 Total Repurchase Authorization 28#29Strong Governance#30Mission aligned with ESG impact areas Committed to bringing trusted information into the marketplace and creating a positive impact Consumer Advocacy Serving as a trusted source for consumers by prioritizing useful and reliable information Diversity & Inclusion Fostering a healthy and inclusive workplace for our employees Local Economy Better connecting consumers and local businesses to support a vibrant local economy Community Making a positive impact on the local communities we serve Strong Governance Public Policy Shaping our industry for good 30#31Focus on human capital management We prioritize diversity, equity and inclusion Gender Diversity Male Female No Disclosure Strong Governance 14% 66% 65% 54% 42% 55% 44% 33% OOOOO 20% TECHNICAL 46% G&A SALES MANAGEMENT TOTAL Ethnic Diversity White Asian Latinx Black or African American Native American 2 or More Races Not Hispanic/Latino TOTAL 16% 13% MANAGEMENT 18% 7% G&A 19% SALES 7% 14% 37% TECHNICAL OOOOO 53% 53% 5% <1% 13% 64% 6% 5% <1% 13% 57% 8% 7% <1% 16% 5% 3% 1% <1% 2% 4% 54% Diversity data is based on self-reported information from our employees from September 8, 2020 through August 31, 2021. Management is defined as all people managers. Please see our 2021 Diversity Report for more information. 31#32World-class board Diverse, independent and highly qualified board Strong Governance AGE 1 Ö 41-50:4 51-60: 1 INDEPENDENCE O 2 DIVERSITY 9 experienced directors with diverse skill sets: Ö O 8 61+: 4 Non Diverse: 4 Gender & Ethnic Diversity: 5 TENURE O new directors appointed 5 in the last three years 6 are independent, including our Chair have been senior executives of major public companies have specific expertise in Yelp key categories 5 have technology experience Independent Directors: 8 Executive Director: 1 <2 years: 2 2-9 years: 4 10+ 3 1 As of February 10, 2022 23 Women directors; 1 Asian director; 1 Black director Includes Restaurants, Hospitality and Home Services 32#33Track record of enhancing governance Focused on driving shareholder value Strong Governance 2016 Collapsed dual-class share structure 2018 Transitioned to net share withholding to reduce dilution 2017 Initiated stock buyback program Adopted director resignation policy Adopted stock ownership guidelines 2020 Added two new independent directors, expanding the Board to a total of nine directors 2021 2022 Implemented proxy Began phased Board declassification access - - 2019 Added three new independent directors Introduced performance- based stock grants for executive compensation Adopted majority vote standard with director resignation policy 33#34Key Financial & Operational Metrics#35Structurally improved business model Financial Results & Key Metrics Back at pre-pandemic revenue levels with a record annual Adjusted EBITDA margin $1.16B-$1.18B Net Revenue Adjusted EBITDA Margin (%) $943M 19% $1.01B 21% $873M 16% $1.03B 24% 23-24%² 2018 2019 2020 2021 2022E 'See Appendix for how we define Adjusted EBITDA margin and a reconciliation of Net income (loss) margin to Adjusted EBITDA margin. FY 2018 Net income margin was 6%. FY 2019 Net income margin was 4%. FY 2020 Net loss margin was (2%). FY 2021 Net income margin was 4%. We have not reconciled our Adjusted EBITDA outlook to GAAP Net income (loss) because we do not provide an outlook for Net income (loss) due to the uncertainty and potential variability of Other income, net and Provision for (benefit from) income taxes, which are reconciling items between Adjusted EBITDA and Net income (loss). Because we cannot reasonably predict such items, a reconciliation of the non-GAAP financial measure outlook would to the corresponding GAAP measure is not available without unreasonable effort. We caution, however, that such items could have a significant impact on the calculation of Net income (loss). For more information on Adjusted EBITDA and Adjusted EBITDA margin, see Appendix. 35#36Category breadth drove record Ad revenue Financial Results & Key Metrics Despite the pandemic, our monetization efforts contributed to record Services revenue in 2021, while RR&O categories continued to recover $300M $200M $214M $100M Advertising Revenue Paying Advertising Locations 600K $259M $253M $257M $261M 541K 549K 563K 565K 562K $226M $233M $235M $238M $240M $245M 508K 517K 524K 529K 520K 528K 535K 528K 507K 503K $227M $223M $222M $211M $162M 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 400K 200K 378K 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 RR&O Services 36#37Delivering more value to advertisers Focus on driving more Ad clicks at compelling prices Financial Results & Key Metrics Ad Clicks, Y/Y 100% 42% 42% 33% 50% 25% 19% 20% 87% 28% 14% 13% 9% 3% 0% -8% -50% -25% -22% -51% -100% 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 Average CPC, Y/Y 40% 35% 20% 9% 9% 7% 7% 4% 3% 5% 4% 0% -3% -1% -20% -9% -16% -22% -20% -25% -40% 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 37#38Appendix#39Adjusted EBITDA reconciliation Appendix ($ in millions) 2013 2014 2015 2016 2017 2018 2019 2020 2021 Net Income (Loss) ($10.1) $36.5 ($32.9)' ($1.7) $153.0 $55.4 $40.9 ($19.4) $39.7 + Tax & Other Income, Net 1.2 (25.5) 11.6 (0.4) 26.6 (29.5) (5.4) (19.4) (8.2) + Depreciation & Amortization 11.5 17.6 29.6 35.3 41.2 42.8 49.4 50.6 55.7 + Stock Based Compensation 26.1 42.3 60.8 86.3 100.4 114.4 121.5 124.6 151.7 - Gain on Disposal of a Business Unit 0.0 0.0 0.0 0.0 (163.7) 0.0 0.0 0.0 0.0 + Restructuring & Integration 40 0.7 0.0 0.0 3.5 0.3 0.0 0.0 3.9 0.0 + Fees Related to Shareholder Activism 0.0 0.0 + Asset Impairment 0.0 gg 0.0 0.0 0.0 0.0 7.1 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 11.2 + Gain on Lease Termination, Net 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 (3.7) Adjusted EBITDA $29.4 $70.9 $69.1 $123.0 $157.8 $183.1 $213.5 $140.3 $246.3 /Net Revenue $233.0 $377.5 $549.7 $716.1 $850.8 $942.8 $1,014.2 $872.9 $1,031.8 Net Income (Loss) Margin (4.3%) 9.7% (6.0%) (0.2%) 18.0% 5.9% 4.0% (2.2%) 3.8% Adjusted 12.6% 18.8% 12.6% 17.2% 18.5% 19.4% 21.1% 16.1% 23.9% EBITDA Margin We define Adjusted EBITDA as Net income (loss), adjusted to exclude: provision for (benefit from) income taxes; other income, net; depreciation and amortization; stock-based compensation expense; and, in certain periods, certain other income and expense items. We define Adjusted EBITDA margin as Adjusted EBITDA divided by Net revenue. This presentation includes Adjusted EBITDA and Adjusted EBITDA margin, each of which is a "non-GAAP financial measure." Adjusted EBITDA is not prepared under any comprehensive set of accounting rules or principles, has limitations as an analytical tool, and you should not consider it in isolation or as a substitute for analysis of Yelp's results as reported under GAAP. In particular, Adjusted EBITDA should not be viewed as a substitute for, or superior to, GAAP Net income (loss) as a measure of profitability of liquidity. You can read more about the limitations of Adjusted EBITDA, as well as the basis of presentation of the numbers in the table above, in Yelp's most recent Annual Report on Form 10-K or Quarterly Report on Form 10-Q at www.yelp-ir.com or the SEC's website at www.sec.gov. Because of these limitations, you should consider Adjusted EBITDA and Adjusted EBITDA margin alongside other financial performance measures, including various cash flow metrics, Net income (loss) and Yelp's other GAAP results. Amounts have not been recast in accordance with Accounting Standards Update 2014-09, "Revenue from Contracts with Customers (ASC 606)." 39