Expedia shares soar on earnings beat
The online travel company easily surpassed the profit and revenue expectations of analysts.
By Christopher Freeburn
Shares of Expedia (EXPE) surged nearly 17% Thursday after the company posted quarterly earnings that topped Wall Street forecasts.
During the third quarter, Expedia said it generated a profit of $170.9 million, down slightly from $171.5 million during the same period last year. Adjusted EPS came in at $1.43, easily beating the $1.35 per share that analysts were expecting, Reuters noted.
The online travel arrangement service reported quarterly revenue of of $1.4 billion, up 17% from last year. That also topped the $1.37 billion that analysts had estimated.
Expedia stumbled during the second quarter after TripAdvisor (TRIP) adjusted its lead-generating system. However, the company’s CEO said that it had successfully adapted to the change. “Our bidding models are improving and we're generally regaining click share," Dara Khosrowshahi noted in a conference call following the earnings release.
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