TripAdvisor profit beats expectations on higher ad revenue
Nov 1 (Reuters) - TripAdvisor Inc reported a higher-than-expected third-quarter profit as more people around the world visited the company's travel website, generating higher advertising revenue.
The company, whose shares were up 18 percent at after the bell, aggregates reviews and opinions about destinations and accommodations and depends on ads and subscriptions for revenue.
Total traffic to TripAdvisor's websites increased by about a third in the quarter, Chief Executive Stephen Kaufer said on a post-earnings conference call.
Revenue from click-based advertising -- which accounts for about 80 percent of total revenue -- jumped 15 percent to $168.0 million. Total revenue rose 18 percent to $212.7 million.
Net income attributable to the company rose to $59.4 million, or 41 cents per share, in the quarter ended Sept. 30 from $53.0 million, or 37 cents per share, a year earlier.
Excluding items, TripAdvisor earned 46 cents per share.
Analysts on average had expected earnings of $42 per share, excluding items, on revenue of $211.3 million, according to Thomson Reuters I/B/E/S.
Shares of TripAdvisor, which was spun off from Expedia Inc in December, traded as high as $34.81 after the bell on Thursday. They closed at $29.41 on the Nasdaq.
- Radar showed missing plane may have turned back: Malaysia military
- Malaysian jetliner may have turned back before vanishing |
- Malaysian plane presumed crashed; questions over false IDs |
- CORRECTED-UPDATE 4-Malaysia Airlines plane crashes in South China Sea with 239 people aboard - report
- Malaysian jet's disappearance among rarest of aviation disasters