TripAdvisor sinks aftermarket as expenses grow and 2nd-quarter results fall short of estimates
Shares of TripAdvisor slumped in aftermarket trading after the travel website operator said its expenses rose in the second quarter, countering growth in its revenue.
TripAdvisor said its sales and marketing costs and other expenses rose from a year ago, and its net income and revenue fell short of Wall Street estimates even though its revenue increased 25 percent. Its shares lost $8.42, or 9 percent, to $84.95 in aftermarket trading.
The company said its net income fell 15 percent to $58 million, or 40 cents per share. Excluding one-time items like amortization costs, TripAdvisor Inc. said it earned 54 cents per share. Revenue climbed to $405 million.
Analysts had forecast a profit of 56 cents per share and $413.2 million in revenue, according to Zacks Investment Research.
TripAdvisor Inc. shares have risen 25 percent this year and closed at $93.37 on Thursday. However the stock has fallen 13 percent over the last 12 months.
Elements of this story were generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on TRIP at http://www.zacks.com/ap/TRIP
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