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.