- Online travel agency Booking Holdings Inc said on Wednesday its quarterly revenue more than tripled and trounced estimates, driven by strong demand in Europe and the United States as more people planned their long-delayed getaways.
Shares of the company, down for the year, rose nearly 4% in aftermarket trading on a smaller adjusted quarterly loss, helped by vaccine rollouts and lifting travel restrictions.
The tourism industry has been witnessing a faster than expected return in demand, with economies recovering from a pandemic-led slowdown.
However, the highly transmissible COVID--19 Delta variant which leads to a rise in cases in several countries could thwart the recovery. The United States will maintain existing travel restrictions and restrictions despite months of lobbying by the airlines.
Booking in Connecticut-based Asia, where vaccinations were high and cases low, was the least recovered region in July and continues to be down significantly from 2019 levels.
People are looking more forward to alternative accommodation than they did in the past and will continue using it more than a hotel, chief executive Glenn Fogel told Reuters.
Room nights, a measure of occupancy at any property, increased by 55 percent from the previous three months, driven by strong demand in Europe and the United States.
While adjusted net loss was greater than anticipated, Booking posted a bigger-than-expected loss of $2.55 per share, compared with estimates of $1.04, as operating expenses nearly doubled.
Revenue soared to $2.16 billion, beating IBES estimates of $1.90 billion by Refinitiv & Wall Street.