Travelzoo (NASDAQ:TZOO) shares are spurting higher in early trading as the travel website reported first-quarter results that were ahead of analyst estimates.
Travelzoo said income from continuing operations after taxes nearly tripled to US$2.5mln, or US$0.20 a share, from US$860,000, or US$0.07 a share, in the first quarter of 2017. Income from discontinued operations brought net income in the year-earlier quarter to US$2.74mln, or US$0.21 a share. The average estimate of analysts surveyed by Yahoo Finance was for earnings of US$0.08 a share.
The New York-based group said revenue rose 8.8%, to US$30.9mln from US$28.4mln. The average analyst estimate was for revenue of US$28.6mln.
Travelzoo shares got a boost on the news, as they were up nearly 11% in early trading, at US$8.60 a share.
Holger Bartel, Travelzoo global CEO, said revenue growth "accelerated in all three regions, leading to much stronger earnings" at the company, which describes itself as a "global publisher of exclusive offers and experiences for members."
"With the travel and tourism industry worldwide showing steady growth, we like to leverage Travelzoo's global reach and trusted brand to further improve earnings in future periods," Bartel said.