Orbitz Worldwide Earnings: Here’s Why Investors are Buying Shares Now

Orbitz Worldwide, Inc. (NYSE:OWW) had a loss and missed Wall Street’s expectations, BUT beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 20.80%.

Orbitz Worldwide, Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased to $0.0 in the quarter versus EPS of $0.04 in the year-earlier quarter.

Revenue: Rose 12.35% to $225.8 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Orbitz Worldwide, Inc. reported adjusted EPS loss of $0 per share. By that measure, the company missed the mean analyst estimate of $0.09. It beat the average revenue estimate of $218.94 million.

Quoting Management: “We see a continuing trend of travelers adhering to travel management policies and initiatives that save their companies money,” said Mark Walton, Orbitz for Business vice president of strategy and account management. “Orbitz for Business customers depend on our experience, expertise and innovative technology to provide a familiar booking experience across all devices, and we continue to deliver on that expectation. From booking to itinerary management to check in – and everything in between – we are encouraged to see travelers are demonstrating an increased reliance on our mobile solution at all stages of business travel.”

Key Stats (on next page)…

Revenue increased 11.31% from $202.86 million in the previous quarter. EPS decreased to $0.0 in the quarter versus EPS of $1.34 in the previous quarter.

Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a profit of $0.15 and has not changed. For the current year, the average estimate has moved up from a profit of $1.03 to a profit of $1.67 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)