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$EXPE's HomeAway business continous show strong growth during 3Q17 as it makes a transition from a subscription business to a online eCommerce business. The transactional revenue during the quarter was more than 75% of HomeAway's total revenue, when compared to the subscription revenues.
$EXPE's Core OTA division reported 11% increase in its 3Q17 revenue to $2.31Bil. HomeAway reported 45% rise in its revenue to $305MM, followed by 22% rise in Trivago's revenue to $338MM. Egencia reported 13% rise in revenue to $126MM. The company's domestic revenue rose 9% and international revenue increased 23% respectively during the quarter.
Online travel agency $EXPE reported 26% increase in its 3Q17 earnings, as 11% increase in gross bookings pushed up revenues. Net income rose to $352.2MM, or $2.23 per share, from $279.3MM, or 1.81 per share during 3Q16. Adj. EPS was $2.51. Revenue jumped 15% to $2.97Bil. This was the first earnings after CEO Dara Khosrowshahi left to join Uber.
$EXPE BoD approved the appointment of current SVP, Treasurer and Head of IR Alan Pickerill, to succeed Mark Okerstrom as EVP and CFO. Okerstrom was appointed to the role of President and CEO. In his new role, Pickerill will be responsible for accounting, financial reporting and analysis, IR, treasury, internal audit, tax and global real estate.
$EXPE BoD has appointed Mark Okerstrom, currently CFO and EVP of Operations, to succeed Dara Khosrowshahi as President and CEO of Expedia. Okerstrom will also join Expedia's BoD, and Khosrowshahi will continue to be a member of Expedia's BoD.
Revenues of $EXPE’s Core OTA division advanced 14% annually to $2Bil in 2Q17. The trivago division registered a 64% growth in revenues, and Home Away segment revenue grew by 31%. There was an 8% YoY increase in the revenues of Egencia. Overall domestic revenue moved up 15% and international revenue rose 22% during the quarter.
Online travel agency $EXPE reported a sharp increase in 2Q17 profit as strong growth in bookings pushed up revenues. Earnings jumped 75% to $0.36 per share from $0.21 per share in 2Q16. The 18% revenue growth was driven by a 12% gain in gross bookings. Adjusted EPS moved up 7% YoY to $0.89. There was a 21% increase in room occupancy.
$EXPE to acquire SilverRail Technologies, Inc., upon which Expedia will acquire a majority stake in SilverRail. The transaction is expected to close in the middle of 2017 pending satisfaction of closing conditions, including approval from the relevant competition authority.
$EXPE said that in general the company is seeing overall conversion rates at Home Away continue to increase on a YoY basis. Looking at the booking trends, the strength is a combination of traffic to Home Away increasing when compared to a year ago. Additionally, $EXPE added that the team is optimizing around booking conversion, which is up YoY.
Online travel major $EXPE reported a narrowed net loss for 1Q17, helped by increased revenue. Net loss narrowed 21% YoY to $86.12MM or $0.57 loss per share from net loss of $108.58MM or $0.72 loss per share a year ago. Revenue for the quarter increased 14.95% to $2.18Bil. Gross bookings increased 14% YoY to $23.6Bil.
$EXPE incurred direct cost of approx. $40MM in 2016 as a result of its effort to migrate certain components of technology infrastructure into cloud computing environment. The company said it has aggressive plans for further migration in 2017 and currently expect nearly $110MM of direct cloud spend for 2017.