HomeAway Reports Fourth Quarter Earnings

HomeAway

reported its fourth quarter earnings this afternoon, February 19th, 2014, the stock skyrocketed up a staggering $3.54 or 8.24 percent the stock is now trading at $46.50 per share in after hours trading, to a market capitalization of 3.69 billion. HomeAway missed its earnings per share estimates of $0.14 per share, yet still managed to climb higher in after hours trading. The company reported earnings of $0.08 per share. Revenues also rose 26.1 percent year-over-year to an aggregate total of $90.3 million, the consensus analyst estimate for this quarter was $87.36 million. As for guidance HomeAway issued guidance that was better than expected for the first quarter of 2014. HomeAway expects revenues to be $102.1 to $103.3 million; this was much higher than what analysts had expected. Analysts had originally expected to see 98.85 million. Additionally, paid listings increased 25 percent to a grand total of 889,875 which was 711,631 the year before. In addition revenue per listing during the fourth quarter was $377, which represented an 8.0 percent increase from $349 a year before. Unfortunately, renewal rate declined 1.3 percent which represents a loss of clients. Hopefully usage of the home site will increase, as home sales increase in this improving economy.