The Priceline Group reports financial results for 2nd quarter 2015
NORWALK, CT – August 5, 2015. . . The Priceline Group Inc. (NASDAQ: PCLN) today reported its 2nd quarter 2015 financial results.
Second 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 $15.0 billion, an increase of 11% over a year ago (approximately 26% on a constant currency basis).
The Group's gross profit for the 2nd quarter was $2.1 billion, an 11% increase from the prior year (approximately 26% on a constant currency basis). International operations contributed gross profit in the 2nd quarter of $1.8 billion, an 8% increase versus a year ago (approximately 26% on a constant currency basis). The Group had GAAP net income applicable to common shareholders for the 2nd quarter of $517 million, or $9.94 per diluted share, which compares to $576 million or $10.89 per diluted share, in the same period a year ago.
Non-GAAP net income in the 2nd quarter was $653 million, a 2% decrease versus the prior year. Non-GAAP net income was $12.45 per diluted share, compared to $12.51 per diluted share a year ago. FactSet consensus for the 2 nd quarter 2015 was $11.85 per diluted share. Adjusted EBITDA for the 2nd quarter 2015 was $805 million, a decrease of 1% versus 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 Priceline Group performed well in the quarter as the summer travel season got off to a strong start with a second consecutive quarter of accelerating growth in hotel room nights and rental car days booked," said Darren Huston, President and CEO of The Priceline Group. "Globally, our accommodation business booked 113 million room nights in the second quarter, up 26% over the same period last year. International gross bookings growth accelerated to 30% on a constant currency basis and the Group's total gross profit grew by about 26% on a constant currency basis."
Looking forward to the third quarter, Mr. Huston said, "We believe we are well set up to deliver the largest quarter in our company's history. Our teams are ready and are intensely focused on delivering the best selection, competitive pricing, and the best online and offline experience to our customers around the world."
The Priceline Group said it was targeting the following for 3rd quarter 2015:
• Total gross travel bookings ranging from a decrease of 1% to an increase of approximately 6% year-overyear (an increase of approximately 13% - 20% on a constant currency basis).
• Year-over-year increase in international gross travel bookings of approximately 0% - 7% (an increase of approximately 16% - 23% on a constant currency basis).
• U.S. gross travel bookings are expected to be about the same as 3rd quarter 2014.
• Year-over-year increase in revenue of approximately 1% - 8%.
• Year-over-year increase in gross profit of approximately 3% - 10% (an increase of approximately 19% - 26% on a constant currency basis).
• Adjusted EBITDA of approximately $1,425 million to $1,525 million. • Non-GAAP net income per diluted share between $22.95 and $24.45.