NORWALK, Conn., February 20, 2014. The Priceline Group (NASDAQ: PCLN) today reported its 4th quarter and full-year 2013 financial results. Fourth quarter gross travel bookings for The Priceline Group (the “Group”), which refers to the total dollar value, generally inclusive of all taxes and fees, of all travel services purchased by its customers, were $9.1 billion, an increase of 38.8% over a year ago (approximately 39% on a local currency basis).
The Group's gross profit for the 4th quarter was $1.3 billion, a 41.9% increase from the prior year. International operations contributed gross profit in the 4th quarter of $1.15 billion, a 38% increase versus a year ago (approximately 38% on a local currency basis). The Group had GAAP net income applicable to common shareholders for the 4th quarter of $378 million, or $7.14 per diluted share, which compares to $289 million or $5.63 per diluted share, in the same period a year ago.
Non-GAAP net income in the 4th quarter was $471 million, a 35.2% increase versus the prior year. Non-GAAP net income was $8.85 per diluted share, compared to $6.77 per diluted share a year ago. FactSet consensus for the 4th quarter 2013 was $8.29 per diluted share. Adjusted EBITDA for the 4th quarter 2013 was $578 million, an increase of 35.8% over a year ago.
For the full-year 2013, the Group had gross travel bookings of $39.2 billion, a 37.7% increase compared to 2012 (approximately 38% on a local currency basis). Gross profit for the Group in 2013 was $5.7 billion, a 40.0% increase from the prior year. International operations contributed full-year gross profit of $5.02 billion, a 41% increase versus the prior year (approximately 40% on a local currency basis). The Group had GAAP net income for full-year 2013 of $1.9 billion, or $36.11 per diluted share, which compares to $1.4 billion or $27.66 per diluted share in 2012.
Non-GAAP net income for 2013 was $2.2 billion, a 36.3% increase versus the prior year. Non-GAAP net income was $41.72 per diluted share, compared to $31.28 per diluted share a year ago. Adjusted EBITDA for 2013 was $2.7 billion, an increase of 35.9% over a year ago.
“The Priceline Group finished 2013 with a strong 4th quarter, reporting accelerating hotel, rental car and airline ticket unit growth,” said Darren Huston, President and CEO of The Priceline Group. The Group’s full year room night reservations of 271 million grew by 37%, as compared to 40% in 2012, reflecting only modest deceleration on a large scale business.” Looking forward, Mr. Huston said, “The Group’s brands are off to a solid start in 2014, with continued investment in broadening our offerings, building our brands and providing a superior experience to our customers.”
The Priceline Group said it was targeting the following for 1st quarter 2014:
• Year-over-year increase in total gross travel bookings of approximately 23% - 33% (an increase of approximately 23% - 33% on a local currency basis).
• Year-over-year increase in international gross travel bookings of approximately 25% - 35% (an increase of approximately 25% - 35% 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 15% - 25%.
• Year-over-year increase in gross profit of approximately 22% - 32%.
• Adjusted EBITDA of approximately $420 million to $450 million.
• Non-GAAP net income per diluted share between $6.35 and $6.85.
