Expedia shares rise by 14% following fourth quarter revenue growth


Expedia, the Bellevue online travel giant, saw its revenue increase 18% during the fourth quarter as it showed increases in hotel room nights and improvements in advertising and media revenue. Revenue for the fourth quarter was $1.15 billion, up from $974.9 million in the same period in 2012. Adjusted net income came in at $125.1 million, up 41 percent from $88.9 million in the same period in 2012.

In 2013 people spent 146.1 million nights in rooms sold by Expedia. Home or away, Expedia investors will sleep soundly tonight. Shares are  flying close to 14% higher to $74.47 after the travel booking company reported better than expected earnings Thursday, putting the stock in position to open trading Friday well above its $72.19 52-week high. Expedia — which in addition to it’s namesake Expedia.com owns Hotels.com, Hotwire, trivago and others –reported 18% year-over-year revenue growth to $1.2 billion for the fourth quarter. Revenue came in ahead of Wall Street analysts’ $1.1 billion consensus estimate. Net income was $94.7 million, up 92.9% from the same period in the prior year which included $111.6 million in one time charges. Earnings per share were 70 cents per share, 2 cents ahead of the estimate.

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