Onine travel company Travelzoo (ticker: TZOO) reported Q1 results that missed analyst consensus estimates for both earnings and revenues. The stock fell 18% in subsequent trading. Key points:
(all percentage changes and comparisons are year on year, unless stated otherwise)
- Revenues of $11.2 million up 74% (and 7% sequentially). Missed consensus estimate of $12.51 million.
- All revenues were from the sale of online advertising to travel companies.
- Income from operations was $3.4 million, 30.4% of revenues versus 26.5% of revenues last year.
- Net income of $1.8 million up from $1.0 million.
- EPS of $0.10 missed analyst consensus of $0.14.
- Reported net income included a charge of $984,000 related to a 1998 marketing program in which customers were given stock.
- Effective income tax rate including the charge was 49% for the first quarter ended March 31, 2005.
Full press release here (PDF)