Revenue surges 33 percent for Austin-based HomeAway

Apr 25, 2014
Austin American Statesman

Boosted by new pricing options and an increase in vacation rental property listings, HomeAway’s first quarter revenue increased 33 percent in the first quarter


The Austin-based company, which operates the world’s leading network of online vacation rentals, posted revenue of $105.7 million for the quarter, up from $79.5 million for the same quarter a year ago


Analysts had expected HomeAway to post revenue of $102.56 million for the quarter ended March 31


The company’s first quarter net income narrowed to $4.44 million from $5.29 million a year ago as it continued to roll out its new optional pay-per-booking listings for vacation rental owners and managers


Through the end of the first quarter, HomeAway had 227,144 performance-based listings compared with 951,843 subscription listings, which rose at by 28.2 percent year over year


The earnings report was released after markets closed. Shares closed on Thursday at $36.94, down 6 cents, or .16 percent


This week, analysts with Barron’s and FBR Capital Markets both upgraded their rating of HomeAway’s stock to “outperform,” and raised the stock’s price target to $45 per share


Founded in 2008, HomeAway has more than 1,400 employees worldwide, including more than 700 in Austin


In the past year, the company has made a push into the Asia-Pacific region. In December, it paid $198 million in cash for the Stayz Group, which operates the leading Australia-based vacation rental website


In November, HomeAway bought an ownership stake in New Zealand vacation rental website Bookabach for an undisclosed price. Prior to that, it purchased Singapore-based travelmob.com and formed a partnership with Webo.com, a leading travel search engine in the Asia Pacific


For the second quarter of 2014, HomeAway said it expects revenue of $109 million to $111 million. For full-year 2014, the company expects revenue of $435 million to $442.5 million


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