Item 6. Selected Financial Data

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Item 6. Selected Financial Data

SELECTED FINANCIAL DATA

The selected consolidated financial data presented below is derived from the Consolidated Financial Statements and related Notes of the Company, and should be read in connection with those statements, some of which are included herein. Selected financial data reflects data related to KAYAK from its acquisition date of May 21, 2013 and OpenTable from its acquisition date of July 24, 2014. The information set forth below is not necessarily indicative of future results and should be read in conjunction with Part II Item 7 Management's Discussion and Analysis of Financial Condition and Results of Operations. See Note 2 to the Consolidated Financial Statements for further information on the adjustments resulting from the adoption of new accounting standards in the fourth quarter of 2015.



	Year Ended December 31,
	2015		2014(3)(4)		2013(3)(4)		2012(3)(4)		2011(3)(4)
	(In thousands, except per share amounts)

Total revenues	$	9,223,987	$	8,441,971	$	6,793,306	$	5,260,956	$	4,355,610
Cost of revenues	632,180		857,841		1,077,420		1,177,275		1,275,730
Gross profit	8,591,807		7,584,130		5,715,886		4,083,681		3,079,880
Total operating expenses	5,332,900		4,510,818		3,303,472		2,253,888		1,680,958
Operating income	3,258,907		3,073,312		2,412,414		1,829,793		1,398,922
Total other expense	130,587		83,864		115,877		67,924		31,128
Income tax expense	576,960		567,695		403,739		337,832		308,663
Net income	2,551,360		2,421,753		1,892,798		1,424,037		1,059,131
Net income attributable to noncontrolling interests(1)	—		—		135		4,471		2,760
Net income applicable to common stockholders	2,551,360		2,421,753		1,892,663		1,419,566		1,056,371
Net income applicable to common stockholders per basic common share	50.09		46.30		37.17		28.48		21.27
Net income applicable to common stockholders per diluted share	49.45		45.67		36.11		27.66		20.63
Total assets(3)(4)	17,420,575		14,770,977		10,428,543		6,547,771		3,964,165
Long-term obligations, redeemable noncontrolling interests(2)(3)(4)	7,185,796		4,862,730		2,289,039		1,710,194		784,417
Total liabilities(3)(4)	8,625,106		6,203,954		3,510,281		2,435,854		1,185,465
Total stockholders' equity	8,795,469		8,566,694		6,909,729		3,896,975		2,574,295


(1)	Redeemable noncontrolling interests relates to the Company's purchase of rentalcars.com in May 2010. In April 2011, in connection with the exercise of certain call and put options in March 2011, the redeemable noncontrolling interests in rentalcars.com were reduced from 24.4% to 19.0%. In April 2012, in connection with the exercise of certain call and put options in March 2012, the redeemable noncontrolling interests in rentalcars.com were reduced from 19.0% to 12.7%. In April 2013, in connection with the exercise of certain call and put options in March 2013, the Company purchased the remaining outstanding shares underlying the redeemable noncontrolling interests.

(1)

Redeemable noncontrolling interests relates to the Company's purchase of rentalcars.com in May 2010. In April 2011, in connection with the exercise of certain call and put options in March 2011, the redeemable noncontrolling interests in rentalcars.com were reduced from 24.4% to 19.0%. In April 2012, in connection with the exercise of certain call and put options in March 2012, the redeemable noncontrolling interests in rentalcars.com were reduced from 19.0% to 12.7%. In April 2013, in connection with the exercise of certain call and put options in March 2013, the Company purchased the remaining outstanding shares underlying the redeemable noncontrolling interests.


(2)	Includes convertible debt which is classified as a current liability from 2011 through 2014.


(3)	Includes adjustments to current and noncurrent deferred taxes as a result of the early adoption of the accounting update issued by the Financial Accounting Standards Board (“FASB”) in November 2015, which requires companies to classify all deferred tax assets and liabilities as noncurrent on the balance sheet. The adoption of this accounting update in the fourth quarter of 2015 resulted in decreases of $143.7 million, $1.5 million and $1.2 million at December 31, 2014, 2013 and 2012, respectively, and an increase of $0.6 million at December 31, 2011, in both total assets and total liabilities.

(3)

Includes adjustments to current and noncurrent deferred taxes as a result of the early adoption of the accounting update issued by the Financial Accounting Standards Board (“FASB”) in November 2015, which requires companies to classify all deferred tax assets and liabilities as noncurrent on the balance sheet. The adoption of this accounting update in the fourth quarter of 2015 resulted in decreases of $143.7 million, $1.5 million and $1.2 million at December 31, 2014, 2013 and 2012, respectively, and an increase of $0.6 million at December 31, 2011, in both total assets and total liabilities.

The impact of these adjustments to long-term obligations resulted in decreases of $142.4 million, $1.4 million, $0.4 million at December 31, 2014, 2013 and 2012, respectively, and an increase of $3.3 million at December 31, 2011. See Note 2 to the Consolidated Financial Statements for further information on this new accounting update.


(4)	Includes reclassifications related to unamortized debt issuance costs as a result of the early adoption of the accounting update issued by FASB in April 2015, which requires debt issuance costs to be presented in the balance sheets as a direct deduction from the related debt liability rather than as an asset. The adoption of this accounting update in the fourth quarter of 2015 resulted in decreases of $25.9 million, $14.5 million, $20.8 million and $7.1 million at December 31, 2014, 2013, 2012 and 2011, respectively, in total assets, long-term obligations and total liabilities. See Note 2 to the Consolidated Financial Statements for further information on this new accounting update.

(4)

Includes reclassifications related to unamortized debt issuance costs as a result of the early adoption of the accounting update issued by FASB in April 2015, which requires debt issuance costs to be presented in the balance sheets as a direct deduction from the related debt liability rather than as an asset. The adoption of this accounting update in the fourth quarter of 2015 resulted in decreases of $25.9 million, $14.5 million, $20.8 million and $7.1 million at December 31, 2014, 2013, 2012 and 2011, respectively, in total assets, long-term obligations and total liabilities. See Note 2 to the Consolidated Financial Statements for further information on this new accounting update.

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