Priceline Group reported its second quarter 2016 financial results. Gross travel bookings for the company were USD 17.9 billion, an increase of 19% over a year ago (approximately 21% on a constant-currency basis).
The Group's gross profit for the 2nd quarter was USD 2.4 billion, a 16% increase from the prior year (approximately 18% on a constant-currency basis). International operations contributed gross profit in the 2nd quarter of USD 2.1 billion, a 17% increase versus a year ago (approximately 19% on a constant-currency basis).
The Group had net income for the 2nd quarter of USD 581 million, a 12% increase versus the prior year. Net income per diluted share was USD 11.60, an increase of 17% compared to the prior year, reflecting the impact of USD 2.5 billion of stock repurchases or 2.0 million shares over the last four quarters. Adjusted EBITDA for the 2nd quarter 2016 was USD 867 million, an increase of 8% versus a year ago.
“The Priceline Group executed another strong quarter as we witnessed a solid start to the summer travel season,”said Jeffery H. Boyd, Chairman and Interim Chief Executive Officer of The Priceline Group. “Globally, our accommodation business booked 141 million room nights in the second quarter, up 24% over the same period last year. We believe this consistent growth demonstrates the strength of our brands, the value of a diversified global footprint and solid execution by our brand management teams.”
Looking forward to the third quarter, Mr. Boyd said, “As we move into our peak travel season, our teams are focused on delivering an exceptional customer experience by offering the best selection and competitive pricing to our customers around the world.”
The Priceline Group said it was targeting the following for 3rd quarter 2016:
* Year-over-year increase in room nights booked of approximately 18% - 23%.
* Year-over-year increase in total gross travel bookings of approximately 14% - 19% (an increase of approximately 15% - 20% on a constant-currency basis).
* Year-over-year increase in revenue of approximately 12% - 17%.
* Year-over-year increase in gross profit of approximately 15% - 20% (an increase of approximately 16% - 21% on a constant-currency basis).
* Net income of approximately USD 1.30 billion to USD 1.38 billion.
* Net income per diluted share between USD 26.10 to USD 27.60.
* Non-GAAP net income of approximately USD 1.42 billion to USD 1.50 billion.
* Non-GAAP net income per diluted share between USD 28.30 to USD 29.80.
* Adjusted EBITDA of approximately USD 1.73 billion to USD 1.83 billion.
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