Expedia Shares Soar on Earnings Beat

by Christopher Freeburn | October 31, 2013 8:54 am

expedia sign 6301 300x200 Expedia Shares Soar on Earnings Beat[1]Shares of Expedia (EXPE[2]) surged more than 17% in pre-market trading on Thursday after the company posted quarterly earnings that topped Wall Street forecasts[3].

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 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[4]) 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.

Endnotes:
  1. [Image]: http://investorplace.com/wp-content/uploads/2011/08/expedia_sign_6301.jpg
  2. EXPE: http://studio-5.financialcontent.com/investplace/quote?Symbol=EXPE
  3. posted quarterly earnings that topped Wall Street forecasts: http://www.reuters.com/article/2013/10/30/us-expedia-results-idUSBRE99T1CL20131030
  4. TRIP: http://studio-5.financialcontent.com/investplace/quote?Symbol=TRIP

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