Expedia earnings miss expectations as Paris attacks take their toll

 
Emma Haslett
Follow Emma
Citi and Expedia Introduce New Travel Credit Cards
The company's earnings were affected by attacks in Paris (Source: Getty)

This time last year, shares in Expedia soared 45 per cent as it reported impressive earnings.

But in a statement today, the company said gross bookings increased 21 per cent in 2015, to $60.8bn, while revenues rose a more modest 16 per cent to $6.7bn.

Meanwhile, adjusted earnings per share fell to $0.77 in the fourth quarter, from $0.86 - against expectations of $1.05.

But investors seemed encouraged: after shares fell briefly in after-hours trading, they later rallied by 1.2 per cent, to $96.

The company admitted it had been affected by terrorist attacks in Paris in November last year.

"[The attacks] negatively impacted adjusted ebitda by an estimated $10m to $15m and adjusted ebitda growth by approximately four to five percentage points for the fourth quarter of 2015," it said.

Related articles