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Orbitz posts lower Q2 profit, ebookers and mobile see growth

August 09, 2012 | Online Travel

Second quarter growth of 28% in room nights achieved by ebookers bolstered parent company Orbitz as it reported flat revenues but declining profits for the period. The company said it now expects revenue to rise 2-4% for the full year, compared with its May view of growth of 4-8%

Barney Harford, chief executive of Orbitz Worldwide said: “Despite a challenging economic environment in Europe in particular, we grew room nights 3%, consistent with the first quarter, led by 28% growth at ebookers.

“Our US distribution business grew room nights 19%, ahead of the planned launch of our American Express Consumer Travel Network partnership in the third quarter.

“Our outlook for the third quarter and balance of the year is impacted by the global economic uncertainty that intensified during the second quarter and has continued into the third quarter.

“We continue to see very strong growth in mobile as we deliver new mobile apps and services across our global brands. Mobile, defined broadly to include smartphones and tablets, now represents 20% of Orbitz.com standalone hotel transactions.”

Get the full story at Travolution

Read also "Online travel companies and the european curse" at Forbes, "Priceline, Orbitz feel pain of European economy" at the Los Angeles Times, and "Why travel stocks got crushed today" at Daily Finance.

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