Expedia fourth-quarter profit rises, tops estimates
(Reuters) - Online travel agency Expedia Inc (EXPE.O) posted a higher-than-expected quarterly profit on Thursday, and its shares rose in extended trading as it sold more hotel stays and airline tickets in the fourth quarter than the previous year.
The company said its net income totaled $94.7 million, or 70 cents a diluted share, for the fourth quarter, compared with $6.7 million, or 5 cents a share, in the same quarter a year earlier.
Adjusted for special items, its profit was 92 cents a share, compared with 86 cents expected by analysts on average, according to Thomson Reuters I/B/E/S.
Quarterly revenue rose 18 percent to $1.15 billion, compared with $1.14 billion expected by analysts. Hotels accounted for 71 percent of overall revenue, compared with 21 percent for advertising and media. Air tickets accounted for 8 percent of revenue.
Expedia, whose brands include Hotels.com and Hotwire as well as the corporate travel business Egencia, said average daily room rates were flat in the fourth quarter while the average airfare rose 1 percent.
But the company also said its quantity of air tickets sold rose 13 percent while hotel room night growth soared 25 percent.
Shares of Expedia rose more than 6 percent to $69.35 in extended trading from their Nasdaq close of $65.14.
(Reporting by Karen Jacobs in Atlanta; editing by Leslie Adler, G Crosse)