NEW YORK (AP) -- Travelzoo Inc. said on Thursday that its first-quarter net income jumped 49 percent, although its adjusted profit fell from last year.
The online travel deals company earned $5.6 million, or 36 cents per share, for the quarter that ended March 31. That was up from $3.7 million, or 23 cents per share, during the same period last year.
Revenue rose 7 percent to $42.2 million, from $39.3 million a year earlier.
However, the per-share profit was less than the adjusted profit of 42 cents per share from a year earlier. Operating profits fell as it boosted spending to expand its sales force and to develop its hotel booking technology, which it plans to roll out later this year.
Operating profits for North America fell almost 23 percent to $5.5 million. Operating profits for Europe rose slightly to $2.5 million, from $2.4 million a year earlier.
The number of subscribers to its email newsletter rose 5 percent to 22.9 million from a year earlier.
Shares jumped $2.97, or 13.7 percent, to $24.70 in morning trading.
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