Tax Gain's Good to Priceline

Priceline.com (PCLN Quote) said two acquisitions helped lift third-quarter revenue nearly 10% from a year ago, and the online travel service company's net income was sharply higher thanks to a big tax gain.

The Norwalk, Conn., company beat Wall Street's earnings estimates, sparking an after-hours rally, but offered fourth-quarter guidance that, at best, was in line with expectations.

Revenue in the third quarter totaled $258.8 million, up from $235.9 million a year ago. The latest results include the acquisitions of Active Hotels and Bookings B.V. Gross travel bookings were $611.1 million, up 40% from the third quarter of 2004. ...