NEW YORK (TheStreet) -- Expedia's (EXPE) - Get Report 2016 room-night growth came in at 11% for the 2016 third quarter and is continuing to accelerate into the fourth quarter, Expedia CEO Dara Khosrowshahi said during the earnings call on Thursday.
"While you don't see the results yet in our Q3 stays, booked to room night trends consistently improved throughout the quarter, especially with our global brands Expedia, Hotels.com, and EAN [Expedia Affiliate Network], our private label business," he said.
Khosrowshahi joined CNBC's "Squawk on the Street" on Friday morning to talk more about this uptick in room-night growth.
"The trends are definitely getting stronger and they got stronger throughout Q3 as you went into September. And the October trends that we're looking at are looking quite encouraging," he claimied.
In the first half of 2016, Expedia was focusing a lot on integrating brands that it had "brought into the family," such as Orbitz and ebookers, Khosrowshahi said. But in the second half of 2016, it's been "very focused" on product innovation, which has drawn in more consumers and accerlated its room-night growth.
"The brands are really resonating well with consumers so more and more consumers are coming onto the site. When they do that, the rest takes care of itself so we're pretty happy as far as the volume build into Q4 and that was a strong indication that we gave to our investors," he concluded.
After Thursday's market close, Expedia reported earnings of $2.41 per share, missing analysts' estimates of $2.47 per share. Revenue rose by 33% year-over-year to $2.58 billion, topping expectations of $2.54 billion.
Shares of Expedia were higher in mid-morning trading on Friday.
Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
TheStreet Ratings team rates Expedia as a Buy with a ratings score of B-. This is driven by several positive factors, which the team believes should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks the team covers.
You can view the full analysis from the report here: EXPE