Priceline.com Reports 1Q Profit; Sees Surge In Hotel Sales

NORWALK, CT— Priceline.com reported that for the first quarter 2002, it had pro forma net income of $5.3 million, or $0.02 per diluted share, compared to a pro forma net loss of $6.2 million, or $0.03 per share for same quarter last year. On a GAAP basis, Priceline.com had net income of $3.9 million for the 1st quarter 2002, or $0.02 per diluted share, compared to a loss of $13.8 million, or $0.07 per share, for the first quarter of 2001. Priceline.coms first quarter 2002 profit was based on revenue of $261.9 million, which was within the companys previously stated guidance range for the quarter and down slightly from revenue of $269.7 million in the 1st quarter 2001. “Priceline.coms hotel room business continued its impressive growth in the first quarter, as room nights sold increased 110% over the first quarter 2001,” said Priceline.com President/COO Jeffery Boyd. Priceline.com continued to diversify its revenue streams to non-air businesses, with hotel and rental car unit sales constituting 66% of total travel unit sales in the first quarter, up from 49% last year. Priceline.com sold more than 909,000 hotel room nights during the quarter, which is 110% higher than a year ago. Today, approximately 17% of new priceline.com customers come to make a hotel room offer, compared to 11% a year ago, Priceline reported. Meanwhile, rental car days sold were more than 738,000 in the 1st quarter, which was 22% higher than a year ago. The company added nearly 875,000 new customers during the first quarter, bringing its total customer base to over 13.5 million. Gross profit for the first quarter 2002 was $42 million, compared to $43.1 million last year. During the quarter, Priceline.com sold a combined 2.5 million units of travel products.