Return to our Home page Search
Click here for the hotel and hospitality news from around the globe Hotel, Travel and Hospitality Articles Videos and in-depth Interviews
CONCIERGE DESK
Read more now
Read more now
Read more now
Priceline Group sees revenue increase of 34% in Q1 over LY.
Friday, 9th May 2014
Source : The Priceline Group
 

First quarter gross travel bookings, which refers to the total dollar value, generally inclusive of all taxes and fees, of all travel services purchased by its customers, were $12.3 billion, an increase of 34% over a year ago approximately 35% on a local currency basis).

The Group's gross profit for the 1st quarter was $1.4 billion, a 39% increase from the prior year. International operations contributed gross profit in the 1st quarter of $1.21 billion, a 35% increase versus a year ago (approximately 37% on a local currency basis).

The Group had GAAP net income applicable to common shareholders for the 1st quarter of $331 million, or $6.25 per diluted share, which compares to $244 million or $4.76 per diluted share, in the same period a year ago.

Non-GAAP net income in the 1st quarter was $416 million, a 40% increase versus the prior year. Non-GAAP net income was $7.81 per diluted share, compared to $5.76 per diluted share a year ago. FactSet consensus for the 1st quarter 2014 was $6.93 per diluted share.

Adjusted EBITDA for the 1st quarter 2014 was $513 million, an increase of 39% over a year ago. The section below entitled "Non-GAAP Financial Measures" provides definitions and information about the use of non-GAAP financial measures in this press release, and the attached financial and statistical supplement reconciles non-GAAP financial information with the Group's financial results under GAAP.

"The Company's business is off to a strong start in 2014," said Darren Huston, President and CEO of The Priceline Group. "The Group delivered exceptional growth from both a top and bottom line perspective in the 1st quarter of 2014. The Group's hotel business booked over 83 million room nights in the 1st quarter, up 32% over last year.

International gross bookings increased 37% (38% on a local currency basis), reflecting increased penetration of core Western European and North American markets but also very attractive growth in newer markets, including Eastern Europe, the Middle East, South America and the Asia-Pacific region."

Looking forward, Mr. Huston said, "Our teams around the world are continuing to work hard and innovate in all areas of our business. We continuously experiment and invest in ways to efficiently bring consumers to our brands and to delight them with the experience of making travel reservations on our mobile and desktop platforms. I am confident that our efforts have the Group's brands well positioned for summer peak travel season."

The Priceline Group said it was targeting the following for 2nd quarter 2014:

  • Year-over-year increase in total gross travel bookings of approximately 22% - 32% (an increase of approximately 20% - 30% on a local currency basis).
  • Year-over-year increase in international gross travel bookings of approximately 24% - 34% (an increase of approximately 21% - 31% on a local currency basis).
  • Year-over-year increase in domestic gross travel bookings of approximately 15% - 20%. 
  • Year-over-year increase in revenue of approximately 19% - 29%.
  • Year-over-year increase in gross profit of approximately 24% - 34%.
  • Adjusted EBITDA of approximately $725 million to $775 million.
  • Non-GAAP net income per diluted share between $11.22 and $12.02.
Non-GAAP guidance for the 2nd quarter 2014:
  • excludes non-cash amortization expense of intangibles,
  • excludes non-cash stock-based employee compensation expense,
  • excludes non-cash interest expense related to the amortization of debt discount and gains or losses on early debt extinguishment, if any, related to cash settled convertible debt,
  • excludes the impact, if any, of significant charges or benefits associated with judgments, rulings and/or settlements related to travel transaction tax (e.g., hotel occupancy taxes, excise taxes, sales taxes, etc.) proceedings,
  • excludes non-cash income tax expense and reflects the impact on income taxes of certain of the non-GAAP adjustments, and
  • includes the dilutive impact of unvested restricted stock units and performance share units because non-GAAP net income has been adjusted to exclude stock-based employee compensation.
In addition to the adjustments above, adjusted EBITDA excludes depreciation and amortization expense, interest income, interest expense and income taxes and includes the impact of foreign currency transactions and other expenses.

When aggregated, the non-GAAP adjustments are expected to increase adjusted EBITDA over GAAP net income by approximately $222 million in the 2nd quarter 2014. In addition, the non-GAAP adjustments are expected to increase non-GAAP net income over GAAP net income by approximately $86 million in the 2nd quarter 2014.

The Group estimates GAAP net income per diluted share between $9.67 and $10.47 for the 2nd quarter 2014.

~ Important Notice ~
Articles appearing here contain copyright material. They are meant for your personal use and may not be reproduced or redistributed. While 4Hoteliers makes every effort to ensure accuracy, we can not be held responsible for the content nor the views expressed, which may not necessarily be those of either the original author or 4Hoteliers or its agents.

Learn more about DigiJames - in room technology
Advertisment  
 Related News  (Click title to read article)
Mobile, OTAs drive growth as European travel market reaches new heights.
Asia-Pacific Airports recorded 7.2% growth in 2013 passenger traffic.
AAA urges govt to hit OTA with new tax.
China's online travel bookings to double by 2015.
 Latest News  (Click title to read article)
Salmon industry tackles legal and biological limits
Monday, 1st September 2014

Marriott 'maps' out hospitality education program in China
Monday, 1st September 2014

APAC's emerging markets push region's online penetration
Monday, 1st September 2014

UK chain hotels market review
Monday, 1st September 2014

Trump Hotel, Washington, DC breaks ground
Sunday, 31st August 2014
 Latest Articles  (Click title to read article)
12 Content Ideas for Your Hotel's Blog
Monday, 1st September 2014

Global Update: Who's Where and Doing What - August 2014
Monday, 1st September 2014

Enforcing Your Policies Outside The Workplace
Sunday, 31st August 2014

Rate Quotation Training Tips For Reservations and Front Desk Staff
Saturday, 30th August 2014

Make Guests Tweet!
Friday, 29th August 2014
 Most Read News  (Click title to read article)
NH Hotel presents new category of hotel: NH Collection
Singapore Airport T4: Ready for future growth
Mobile booking set to represent 25 percent of all online corporate bookings by 2017
Virtual Reality ideal for co-branding studies
Content Marketing Guide For Hotels [Infographic]

© Copyright 4Hoteliers 2001-2014 ~ unless stated otherwise, all rights reserved.
You can read more about 4Hoteliers and our company here

Use of this web site is subject to our
terms & conditions of service and privacy policy