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Travelport Worldwide net revenue $496 million

Staff writer ▼ | February 24, 2015
Travelport Worldwide announced its financial results for the fourth quarter and full year ended December 31, 2014. Q4 Net revenue increased $16 million.
Travelport Worldwide
Travelport   RevPas increased 2%
The fourth quarter

Net revenue increased $16 million, or 3%, to $496 million, due to an $18 million, or 4%, increase in Travel Commerce Platform revenue. RevPas increased 2% to $5.78 driving $9 million of the increase. International Reported Segments increased 1% driving $3 million of the increase with US Reported Segments up 4% driving $6 million of the increase.

Overall, Total Reported Segments increased 2% to 81 million. The Travel Commerce Platform revenue increase of $18 million includes a $19 million increase in Beyond Air revenue that was offset by a $1 million decrease in Air revenue. The Air revenue decrease was mainly attributable to softness in the European region, partially offset by growth in the Asia Pacific region.

Beyond Air revenue increased 22% to $108 million primarily driven by continued growth in hospitality and payments. Technology services revenue decreased 2% to $26 million with the negative impact of our renegotiated Delta hosting contract (effective July 1, 2014) being largely offset by growth elsewhere in IT solutions and application development services. Adjusted EBITDA increased $1 million, or 2%, to $110 million.

The Adjusted EBITDA increase of $1 million is primarily the result of the net revenue increase offset by incremental commissions paid to travel agencies as a result of the 2% increase in Total Reported Segments, a 2% increase in travel distribution costs and higher technology costs as we continue to invest in our technology platform.

Full year 2014

Net revenue increased $72 million, or 3%, to $2,148 million, due to a $72 million, or 4%, increase in Travel Commerce Platform revenue. RevPas increased 2% to $5.70 driving $38 million of the growth. International Reported Segments increased 2% driving $22 million of the increase with US Reported Segments up 2% driving $12 million of the increase.

Overall, Total Reported Segments increased 2% to 356 million. The Travel Commerce Platform revenue increase of $72 million includes a $53 million increase in Beyond Air revenue and a $19 million increase in Air revenue. Air revenue increased 1% to $1,607 million.

Beyond Air revenue increased 14% to $424 million primarily driven by continued growth in hospitality and payments. Adjusted EBITDA increased $23 million, or 5%, to $540 million.

The Adjusted EBITDA increase of $23 million is primarily the result of the net revenue increase offset by incremental commissions paid to travel agencies as a result of the 2% increase in Total Reported Segments, a 2% increase in travel distribution costs and higher technology costs as we continue to invest in our technology platform.


 

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