Liberty Interactive Corp. QVCA reported weak financial results in the fourth quarter of 2016 wherein both the top line and the bottom line fell short of the Zacks Consensus Estimate.
Quarterly GAAP net income came in at $266 million or 58 cents per share compared with a net income of $312 million or 64 cents per share in the prior-year quarter. Fourth-quarter earnings per share of 58 cents were a penny shy of the Zacks Consensus Estimate.
Meanwhile, the quarter’s total revenue of $3,125 million reflected a year-over-year decrease of 3.1% lagging the Zacks Consensus Estimate of $3,227 million.
Quarterly total operating income came in at $384 million compared with $385 million in the year-ago quarter. In the reported quarter, consolidated adjusted operating income before depreciation and amortization (OIBDA) was $610 million compared with $620 million in the year-ago quarter.
In 2016, Liberty Interactive generated $1,443 million of cash from operations compared with $1,062 million in 2015. Free cash flow in 2016 was $1,210 million compared with $804 million in 2015.
At the end of 2016, Liberty Interactive had total cash and marketable securities of $825 million compared with $2,449 million at the end of 2015. The company exited 2016 with $8,042 million of outstanding debt compared with $8,707 million at the end of 2015. The debt-to-capitalization ratio at the end of 2016 was 0.51 compared with 0.52 at 2015-end.
QVC Segment
Quarterly revenues at the QVC division were down 5.1% year over year to $2,658 million. Revenues from the QVC U.S. segment were $1,947 million, down 6.8% year over year. Revenues from the QVC International segment were $711 million, flat year over year. QVC U.S. OIBDA was $438 million, down 8.6% year over year while QVC International OIBDA was $131 million, up 1.6% year over year.
zulily Segment
Quarterly revenues at the zulily segment totaled $467 million, up 9.6% year over year. Quarterly adjusted OIBDA was $40 million, up a substantial 90.5%. Meanwhile, operating loss was $14 million in the reported quarter compared with an operating loss of $53 million in the prior-year quarter.
Liberty Interactive currently carries a Zacks Rank #4 (Sell). The company competes with large online sellers like Amazon.com Inc. AMZN, HSN Inc. HSNI and Alibaba Group Holding Ltd. BABA. Alibaba currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Liberty Interactive Corporation Price, Consensus and EPS Surprise
Liberty Interactive Corporation Price, Consensus and EPS Surprise | Liberty Interactive Corporation Quote