Priceline.com Incorporated posted $32.9 million in net income for the fourth quarter, which compares to $13.2 million in the same period a year ago.

Published: 15 Feb 2008

Priceline.com Incorporated posted $32.9 million in net income for the fourth quarter, which compares to $13.2 million in the same period a year ago.

Gross travel bookings for the same quarter, which refers to the total dollar value, inclusive of all taxes and fees, of all travel services purchased by consumers, rose 62% year-over-year to $1.2 billion.

"Priceline's gross bookings growth momentum continued in the fourth quarter with international growth accelerating to 113.0% year-over-year and the domestic growth rate increasing sequentially to 24.2% led by increasing retail airline ticket bookings," said Jeffery H. Boyd, priceline's President and Chief Executive Officer.

"Internationally, we believe that our wide geographic reach, new market initiatives and extensive inventory are providing sustained impetus for growth. We believe that in the United States, our value positioning and brand promotion through offline and online channels is driving above-category growth rates in an uncertain economic environment."

For full-year 2007, priceline.com's gross travel bookings were $4.8 billion, a 45.5% increase over 2006. Priceline.com had GAAP net income for 2007 of $155.5 million or $3.42 per diluted share, which compares to $72.5 million or $1.68 per diluted share a year ago.

Looking forward, Boyd said, "We believe that Priceline is well-positioned as we enter 2008 to continue building out our global hotel business with new inventory and geographies and mining the synergies available when we build links among our regional businesses in the United States, Europe and Asia. While we are concerned with how continued economic distress could negatively affect our markets in both the US and internationally, we believe our services are relatively more attractive to suppliers and consumers in times of economic difficulty and our recent results in 2008 support that thesis and the guidance we are providing for the year."

For full-year 2008, priceline said that it expects to generate approximately $7.0 to $7.3 billion in gross travel bookings. Priceline.com said that it expects pro forma EBITDA of $300 to $325 million and to earn approximately $4.80 to $5.10 of pro forma net income per diluted share for full-year 2008.