We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Liberty Interactive (QVCA) Q4 Earnings & Sales Top Estimates
Read MoreHide Full Article
Liberty Interactive Corp. delivered impressive fourth-quarter 2017 results, with the bottom and top line surpassing the Zacks Consensus Estimate. The company’s earnings (on an adjusted basis) of $2.05 per share surpassed the Zacks Consensus Estimate of 48 cents. Results were backed by higher revenues.
Liberty Interactive Corporation Price, Consensus and EPS Surprise
Total revenues were $3,337 million, up 7% year over year. The figure also surpassed the Zacks Consensus Estimate of $3,244 million.
Operating Metrics
Total operating income was $391 million compared with $384 million in the year-ago quarter. In the fourth quarter, consolidated adjusted operating income before depreciation and amortization (OIBDA) was $604 million compared with $610 million in the year-ago quarter.
Cash Flow & Liquidity
In 2017, Liberty Interactive generated $1,492 million in cash from operations compared with $1,443 million in 2016.
As of Dec 31, 2017, the company had total cash and cash equivalents of $903 million compared with $825 million at the end of December 2016. The company exited the period with $7,553 million of outstanding debt compared with $7,166 million at the end of 2016.
QVC Segment
Revenues in the QVC division were $2,817 million, up 6% from the year-ago quarter. Revenues from the QVC US segment totaled $2,029 million, up 4% year over year. Revenues from the QVC International segment were $788 million, up 11% year over year. QVC US adjusted OIBDA of $436 million was flat year over year, while the same for QVC International was $147 million, up 12% on a year-over-year basis.
zulily Segment
Quarterly revenues in the zulily segment totaled $520 million, up 11% on a year-over-year basis. Quarterly adjusted OIBDA was $38 million, down 5%. Quarterly adjusted OIBDA margin declined to 7.3% from 8.6% in the year-ago quarter. Meanwhile, operating loss was $18 million compared with operating loss of $14 million in the prior-year quarter.
HSN Segment
Quarterly revenues in the HSN standalone segment totaled $712 million, down 8% year over year. Quarterly adjusted OIBDA was $79 million, up 5%. Quarterly adjusted OIBDA margin increased to 11.1% from 9.8% in the year-ago quarter. Meanwhile, operating loss was $3 million in the reported quarter against operating income of $64 million in the prior-year quarter.
We remind investors that Liberty Interactive completed the acquisition of the remaining 61.8% of the home-shopping platform — HSN Inc. — on Dec 29, 2017. The merged entity has become the third-largest online site, competing against Amazon.com (AMZN - Free Report) , Cars.com (CARS - Free Report) and Wal-Mart Stores (WMT - Free Report) in the global e-commerce business.
Last year, it generated $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.
Image: Bigstock
Liberty Interactive (QVCA) Q4 Earnings & Sales Top Estimates
Liberty Interactive Corp. delivered impressive fourth-quarter 2017 results, with the bottom and top line surpassing the Zacks Consensus Estimate. The company’s earnings (on an adjusted basis) of $2.05 per share surpassed the Zacks Consensus Estimate of 48 cents. Results were backed by higher revenues.
Liberty Interactive Corporation Price, Consensus and EPS Surprise
Liberty Interactive Corporation Price, Consensus and EPS Surprise | Liberty Interactive Corporation Quote
Total revenues were $3,337 million, up 7% year over year. The figure also surpassed the Zacks Consensus Estimate of $3,244 million.
Operating Metrics
Total operating income was $391 million compared with $384 million in the year-ago quarter. In the fourth quarter, consolidated adjusted operating income before depreciation and amortization (OIBDA) was $604 million compared with $610 million in the year-ago quarter.
Cash Flow & Liquidity
In 2017, Liberty Interactive generated $1,492 million in cash from operations compared with $1,443 million in 2016.
As of Dec 31, 2017, the company had total cash and cash equivalents of $903 million compared with $825 million at the end of December 2016. The company exited the period with $7,553 million of outstanding debt compared with $7,166 million at the end of 2016.
QVC Segment
Revenues in the QVC division were $2,817 million, up 6% from the year-ago quarter. Revenues from the QVC US segment totaled $2,029 million, up 4% year over year. Revenues from the QVC International segment were $788 million, up 11% year over year. QVC US adjusted OIBDA of $436 million was flat year over year, while the same for QVC International was $147 million, up 12% on a year-over-year basis.
zulily Segment
Quarterly revenues in the zulily segment totaled $520 million, up 11% on a year-over-year basis. Quarterly adjusted OIBDA was $38 million, down 5%. Quarterly adjusted OIBDA margin declined to 7.3% from 8.6% in the year-ago quarter. Meanwhile, operating loss was $18 million compared with operating loss of $14 million in the prior-year quarter.
HSN Segment
Quarterly revenues in the HSN standalone segment totaled $712 million, down 8% year over year. Quarterly adjusted OIBDA was $79 million, up 5%. Quarterly adjusted OIBDA margin increased to 11.1% from 9.8% in the year-ago quarter. Meanwhile, operating loss was $3 million in the reported quarter against operating income of $64 million in the prior-year quarter.
We remind investors that Liberty Interactive completed the acquisition of the remaining 61.8% of the home-shopping platform — HSN Inc. — on Dec 29, 2017. The merged entity has become the third-largest online site, competing against Amazon.com (AMZN - Free Report) , Cars.com (CARS - Free Report) and Wal-Mart Stores (WMT - Free Report) in the global e-commerce business.
Zacks Rank
Liberty Interactive carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.
The Hottest Tech Mega-Trend of All
Last year, it generated $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.
See Zacks' 3 Best Stocks to Play This Trend >>