Back to Hawaii News index

Posted: Wednesday, February 6th, 2013 9:29 AM HST

Expedia 4Q profit plunges 90 percent on charges

By Associated Press

BELLEVUE, Wash. (AP) — Online travel agency Expedia says revenue rose in the fourth quarter on strong hotel bookings but profit dropped 90 percent because of money set aside for a tax dispute in Hawaii. Expedia Inc. said Tuesday that it earned $6.7 million in 2012's final three months, down from $70.3 million in the fourth quarter of 2011. The company says that without the Hawaiian tax issue and other one-items, it would've earned 63 cents per share. FactSet says that analysts, who exclude items, were expecting 65 cents per share. Revenue was up 24 percent to $974.9 million. Expedia's shares were up $2.34, or 3.6 percent, to $67.50 in regular trading, and gained another $2.92, or 4.3 percent, to $70.42, in the first few minutes of extended trading after the report.