Feeds

Priceline hits the black

Ditching staff and products works

  • alert
  • submit to reddit

Secure remote control for conventional and virtual desktops

Name your price Web business Priceline.com has turned in its first ever profit. It's feeling pretty confident and has raised its revenue and earnings per share forecasts for the current quarter.

Accounting for restructuring and other one off charges, Priceline's net income for its Q2 was $2.8 million, or a penny per share. This compares with a net loss of $11.7 million, or 7 cents per share for the period a year earlier.

Revenues form the period were $364.8 million, 3.6 per cent up on the $352.1 million it reported in Q2 2000. It was 35 per cent up on its Q1 2001 sales of $269.7 million.

For Q3 Priceline expects an operating profit ranging between 5 cents and 7 cents per share. It expects sales to be up on last years Q3 revenues of $341 million.

Ninety-nine per cent of Priceline's sales in Q2 came from travel items - flights, car rental, and hotel rooms. For the period it flogged 1.4 million airline tickets, up 11 per cent on Q2 2000, and 34 per cent above Q1 this year.

To tighten up its business and see its first period in the black, Priceline has ditched 34 per cent of its staff, postponed expansion, and ditched product lines like online grocery and petrol sales. The moves saved the business around $100 million a year. ®

Related Stories

Priceline founder jumps ship
Shatner to boldly leave Priceline
Priceline founder cuts 100 staff at other venture

Next gen security for virtualised datacentres

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
Banking apps: Handy, can grab all your money... and RIDDLED with coding flaws
Yep, that one place you'd hoped you wouldn't find 'em
No, thank you. I will not code for the Caliphate
Some assignments, even the Bongster decline must
Caught red-handed: UK cops, PCSOs, specials behaving badly… on social media
No Mr Fuzz, don't ask a crime victim to be your pal on Facebook
Barnes & Noble: Swallow a Samsung Nook tablet, please ... pretty please
Novelslab finally on sale with ($199 - $20) price tag
Ballmer leaves Microsoft board to spend more time with his b-balls
From Clippy to Clippers: Hi, I see you're running an NBA team now ...
Video of US journalist 'beheading' pulled from social media
Yanked footage featured British-accented attacker and US journo James Foley
Call of Duty daddy considers launching own movie studio
Activision Blizzard might like quality control of a CoD film
Primetime precrime? Minority Report TV series 'being developed'
I have to know. I have to find out what happened to my life
prev story

Whitepapers

A new approach to endpoint data protection
What is the best way to ensure comprehensive visibility, management, and control of information on both company-owned and employee-owned devices?
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Maximize storage efficiency across the enterprise
The HP StoreOnce backup solution offers highly flexible, centrally managed, and highly efficient data protection for any enterprise.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Next gen security for virtualised datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.