BELLEVUE, Wash.( TheStreet) -- Are better days ahead for the travel industry? If Expedia's ( EXPE) third-quarter results are any indication, the answer is "yes."

The online reservations agent reported a 23% surge in third-quarter profit and, more importantly, foresees an increase in bookings going forward.

Even while prices for airline tickets and hotel rooms continued to soften, Expedia said it earned $117 million, or 40 cents a share, in the third quarter, up from the $94.8 million, or 33 cents a share, it reported in the year-ago period.

Excluding one-time items, the company said it would have earned 48 cents a share, surpassing the 43 cents Wall Street analysts were expecting.

Revenue inched up 2% to $852.4 million, as gross bookings grew by 9% year-over-year.

Like most travel companies, Expedia has been cutting its fees and offering promotions to entice price-conscious consumers stung by the recession.

Rival Priceline.com ( PCLN) will release its quarterly results on Nov. 9.

In late-morning trading Thursday, Expedia shares rose 3% to $25.10 on volume of 11 million shares, nearly triple the daily average turnover in the name.

--Reported by Jeanine Poggi in New York.

Follow TheStreet.com on Twitter and become a fan on Facebook.
Copyright 2009 TheStreet.com Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

If you liked this article you might like

What's Behind the Hound of Hades' Stock Market Rampage

What's Behind the Hound of Hades' Stock Market Rampage

Tech Giants Amazon, Microsoft, Google and IBM Keep Their Heads in the Cloud

Tech Giants Amazon, Microsoft, Google and IBM Keep Their Heads in the Cloud

Top 8 Internet Stocks to Own in 2018

Top 8 Internet Stocks to Own in 2018

Sabre Offers Upside Momentum

Sabre Offers Upside Momentum

Expedia Shows Some Momentum

Expedia Shows Some Momentum