|Travelzoo is shopping around for a booking site.|
Sunday, 14th October 2012
Source : Travelzoo
Travelzoo announced certain preliminary financial results for the third quarter ended September 30, 2012 and announced that the Company is in negotiations to acquire a hotel booking website.
Travelzoo expects to report revenues in the range of $35.0 million to $35.5 million for the third quarter ended September 30, 2012. Travelzoo expects to report earnings per share of $0.20 to $0.22. Travelzoo intends to announce detailed financial results for the third quarter on Thursday, October 25, 2012.
"We continue to be positive about our long-term growth strategy,” said Chris Loughlin, chief executive officer, “but we have found our hotel search offering and the group-buying voucher model not meeting the needs of hotels and users well enough, and therefore plan to adjust our product offering.”
Travelzoo discloses that the Company is in active negotiations to acquire a hotel booking website. “Our hotel commission tests during the third quarter have shown positive results,” said Mr. Loughlin, “so we are excited about adding, or developing, a hotel booking platform to our deals business.”
Travelzoo’s expanded hotel offering will allow Travelzoo subscribers to book deals on any night, at select hotels. Unlike online travel agency (OTA) offerings, Travelzoo intends to limit the selection to those hotels tested and approved by Travelzoo’s Deal Experts.
On July 26, 2012, the Company announced its board of directors has authorized the repurchase of up to 1 million shares of the Company’s outstanding common shares.