Key TakeawaysThe S&P 500 slipped 1.0% on Friday, Feb. 7, as the latest labor market data revealed that the U.S. economy added fewer jobs than expected in January.Concerns about the trajectory of mortgage rates weighed on shares of D.R. Horton and other homebuilders.Expedia shares took off after the travel website topped quarterly forecasts, benefitting from strong holiday travel demand. Major U.S. equities indexes moved lower to close out the trading week as the January jobs report showed slower-than-expect ...

Expedia Group (EXPE) reported fourth-quarter 2024 adjusted earnings of $2.39 per share, which beat the Zacks Consensus Estimate by 15.46%. The figure increased 38.95% year over year.EXPE’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the earnings surprise being 45.86%, on average.Find the latest EPS estimates and surprises on Zacks Earnings Calendar.Revenues of $3.18 billion rose 10% year over year. The figure lagged the Zacks Consensus Estimate by 3.52%.B2B revenues inc ...

Travel technology company Expedia Group Inc. EXPE reported better-than-expected fourth-quarter earnings. The following are comments by different analysts on the company’s performance.BofA Securities analyst Justin Post reiterated a Buy rating on the shares and raised the price forecast from $221.00 to $250.00.In the fourth quarter, bookings reached $24.4 billion, surpassing the Street’s estimate of $23.2 billion, with continued growth in Vrbo bookings and a slight rebound at Hotels.com. Revenue of $3.18 bil ...

Shares of Expedia (EXPE 18.06%) were soaring Friday after the online travel agency delivered a strong fourth-quarter earnings report Thursday afternoon, beating estimates on the top and bottom lines and saying it would reinstate its dividend.As of 11:34 a.m. ET, the stock was up 18.4%. Expedia takes flightExpedia, which has historically lagged behind rival Booking Holdings, delivered strong results during a time when growth in the travel industry seems to be slowing.Gross bookings in the quarter jumped 13% ...

February 6th ended up being a really great day for shareholders of digital travel platform Expedia Group (NASDAQ: EXPE ). This is because, after the market closed, shares of the company spiked 10.4%. This surge higher was driven byCrude Value Insights offers you an investing service and community focused on oil and natural gas. We focus on cash flow and the companies that generate it, leading to value and growth prospects with real potential.Subscribers get to use a 50+ stock model account, in-depth cash fl ...

Financial Data and Key Metrics Changes - The fourth quarter results exceeded expectations with room nights, gross bookings, and revenue all growing double digits [8][9] - Total gross bookings reached $24.4 billion, growing 13% year-over-year, with a five-point sequential acceleration in both B2C and B2B [35][41] - Revenue for the quarter was $3.2 billion, up 10%, primarily driven by the B2B business which grew 21% [36][44] - EBITDA for Q4 was $643 million, up 21%, with an EBITDA margin of 20.2%, expanding by 175 basis points [40][44] - Full year gross bookings were $111 billion, also up 7%, with revenue nearly $14 billion, reflecting a notable recovery in the B2C business [41][43] Business Line Data and Key Metrics Changes - Bookings for the consumer business accelerated to 9%, up five points sequentially, with all core brands (Brand Expedia, Hotels.com, Vrbo) seeing growth [9][12] - The B2B business experienced a significant increase in bookings growth to 24% [10] - The advertising business reported a strong quarter with 25% revenue growth [10][17] Market Data and Key Metrics Changes - International demand outperformed the US, with booked room nights growing high single digits in the US, low double digits in Europe, and high teens in the rest of the world [11][12] - Bookings growth outside the US accelerated four points sequentially, indicating strong international expansion [11][12] Company Strategy and Development Direction - The company aims to deliver more value for travelers, invest in growth opportunities, and drive operational efficiencies to expand margins [19][25] - Focus on enhancing the consumer business by targeting three major brands and improving loyalty programs [22][24] - Continued emphasis on B2B partnerships and unique supply offerings to drive growth [25][81] Management's Comments on Operating Environment and Future Outlook - The management noted a healthy travel demand environment in Q4, despite some softening in January [168] - The company remains optimistic about future growth, particularly in international markets and through enhanced loyalty programs [170][171] Other Important Information - The company plans to reinstate its quarterly dividend starting in March 2025, with a dividend of 40 cents per share [50][152] - The company repurchased $1.6 billion worth of shares in 2024, with a remaining authorization of approximately $3.2 billion [46][150] Q&A Session Summary Question: Sustainability of recovery for Vrbo and Hotels.com - Management acknowledged significant efforts in product supply and marketing that drove recovery, expressing confidence in continued growth for both brands [56][59] Question: Q1 guidance and potential headwinds - Management indicated a slight softening in the travel environment and provided a Q1 gross bookings growth forecast of 4% to 6% [67][68] Question: Strength in B2B segment in APAC - Management highlighted strong partnerships and market growth in APAC as key drivers for B2B strength [80][81] Question: Advertising revenue sustainability - Management expressed optimism about continued growth in advertising revenue, citing ongoing innovations and new ad types [96] Question: Capital returns philosophy - Management confirmed a commitment to share repurchases and reinstating dividends, emphasizing flexibility for future investments [150][152]

For the quarter ended December 2024, Expedia (EXPE) reported revenue of $3.18 billion, up 10.3% over the same period last year. EPS came in at $2.39, compared to $1.72 in the year-ago quarter.The reported revenue represents a surprise of +3.52% over the Zacks Consensus Estimate of $3.08 billion. With the consensus EPS estimate being $2.07, the EPS surprise was +15.46%.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expec ...

Expedia (EXPE) came out with quarterly earnings of $2.39 per share, beating the Zacks Consensus Estimate of $2.07 per share. This compares to earnings of $1.72 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 15.46%. A quarter ago, it was expected that this online travel company would post earnings of $6.10 per share when it actually produced earnings of $6.13, delivering a surprise of 0.49%.Over the last four quarters, the com ...

Financial Performance - For the year ended December 31, 2024, total revenue was $13.7 billion, with merchant accounting for 69%, agency for 23%, and advertising for 8% of total revenue[37]. - As of December 31, 2024, the company has outstanding long-term indebtedness of $6.3 billion and an untapped revolving credit facility of $2.5 billion[100]. - The company has historically relied on its merchant hotel business for a meaningful portion of operating cash flow, which is subject to seasonal declines and external factors[97]. - The overall health of the travel industry significantly affects the company's financial performance, with macroeconomic conditions and public health issues posing risks[89][90]. - The company may face liquidity constraints due to factors beyond its control, which could harm its financial position, especially if the travel industry experiences significant declines[96]. - The company's stock price is highly volatile, subject to fluctuations due to various risks, including quarterly variations in operating results and changes in capital structure[179]. Market Position and Competition - The global travel spending is estimated at approximately $2.2 trillion in 2025, indicating significant market opportunity for the company[23]. - The company faces intense competition from established online travel agencies and alternative accommodation providers, including Booking Holdings and Airbnb, which may impact market share[74][75]. - The company competes with search engines like Google, which may disintermediate online travel agencies and increase traffic acquisition costs[77][78]. - Travel suppliers are increasingly offering favorable terms for direct bookings, which could reduce the company's revenue from third-party bookings[76]. - The company is a leading player in the global B2B travel space, focusing on increasing wallet share with existing customers and winning new contracts[51]. Technology and Innovation - The company migrated both Hotels.com and Vrbo onto a unified front-end stack in 2023, enhancing test-and-learn capacity and feature release velocity[22]. - The company’s technology investments aim to improve customer experience and increase efficiency in contact centers[33]. - The company is engaged in a multi-year effort to migrate to new technology platforms, which may be time-consuming and expensive, potentially impacting customer relationships and operations[158]. - Proprietary technology has been developed to assist suppliers in managing and marketing their offerings, including direct connect technology for real-time updates[45]. - The company relies on sophisticated information technologies for operations, and failure to maintain or improve these systems could adversely affect its business[155]. Strategic Initiatives - The One Key loyalty program was launched in the United States and the United Kingdom, allowing cross-earning and cross-redeeming of rewards across multiple brands[32]. - A unified global rewards platform called One Key was launched in the United States in 2023 and will launch in the United Kingdom in 2024, enhancing customer loyalty programs[41]. - The company has accelerated investments in global market expansion beyond core markets in 2024[25]. - Marketing efforts are focused on three core consumer brands: Expedia, Hotels.com, and Vrbo, with a holistic approach to optimize traveler acquisition costs[40]. - The company shifted to a platform operating model in 2020 to reduce complexity and improve operational efficiency[20]. Regulatory and Compliance Risks - The company is subject to evolving regulations in the travel industry, including compliance with short-term rental laws and data protection regulations[59]. - The company is subject to various regulatory risks that could adversely affect its alternative accommodations business, including potential fines for noncompliance[132]. - The company may incur significant costs associated with compliance obligations related to new regulations affecting the alternative accommodation industry[135]. - The company is subject to inquiries and legal proceedings from regulatory bodies regarding compliance with economic sanctions and consumer protection laws, which could adversely affect its financial condition[143]. - The company is actively addressing regulatory concerns regarding the presentation of information on its consumer-facing websites[204]. Human Resources and Governance - As of December 31, 2024, the company has a workforce of 16,500 employees, with approximately 50% in technology roles[64]. - The company aims for 50% of leadership roles to be occupied by women by the end of 2025 and 25% of U.S. external hires to come from racially and ethnically underrepresented groups[66]. - The governance agreement limits the voting power of Class B Shares held by Diller-related persons to 20% for certain extraordinary transactions after Mr. Diller's departure[68]. - Mr. Diller's ownership interests and voting power may influence significant corporate actions, potentially discouraging beneficial mergers or takeovers for Expedia Group stockholders[172]. - The company has faced challenges in retaining key personnel, which could adversely affect its ability to execute and innovate[123]. Legal and Litigation Matters - The company has faced multiple lawsuits regarding compliance with local tax statutes, including a case in Clark County, Nevada, where common law claims were not dismissed[192]. - HomeAway is involved in litigation in South Carolina, with claims for damages and accounting, and has reached a tentative settlement in Texas[193]. - Ongoing investigations by national competition authorities in Europe relate to contractual provisions with accommodation providers, particularly concerning parity clauses[202]. - The company has voluntarily waived certain parity clauses in Europe, leading to the closure of most investigations by national competition authorities[202]. - Ongoing legal proceedings involve claims related to tax collection failures by online travel companies, which may result in monetary and injunctive relief[191]. Financial Management and Investments - The company held cash in bank depository accounts of approximately $3.8 billion and money market funds and term deposits of approximately $192 million[128]. - The company had total investments in short-term and long-term investments amounting to $502 million, including U.S. treasury securities and corporate debt securities[128]. - The company is exposed to foreign exchange risk, particularly related to fluctuations in currencies such as the Euro, British pound, and Japanese yen, which may negatively impact cash flows[129]. - The ability to raise financing is significantly affected by capital and credit market conditions, which are unpredictable and may increase the cost of capital[98]. - The company faces significant credit risk and potential payment delays with non-financial contract counterparties, which may be exacerbated by economic downturns[128]. Cybersecurity and Risk Management - The company’s cybersecurity risk management program is based on industry standards and includes governance, risk assessment, technical safeguards, and incident response strategies[183]. - The company has not experienced material adverse effects from cybersecurity threats to date, but future incidents could impact its business strategy and financial condition[184]. - The company maintains insurance coverage for cybersecurity incidents, reflecting its commitment to managing potential risks[183]. - The company is subject to evolving privacy regulations, which could impose significant compliance burdens and result in penalties for non-compliance[168]. - The company’s cybersecurity governance includes oversight from the Board and Audit Committee, ensuring regular updates on cybersecurity initiatives and risks[185]. Environmental, Social, and Governance (ESG) Considerations - Increased focus on ESG responsibilities may lead to additional costs and risks, potentially impacting the company's reputation and financial results[174]. - Climate change poses direct and indirect risks to the company's operations, including disruptions from severe weather and shifts in consumer preferences[177]. - The company is subject to evolving stakeholder expectations regarding ESG practices, which may present operational and reputational risks[176].

The online travel agency reported strong growth and improved profitability.Expedia Group (EXPE 1.67%), a major online travel agency operator, outperformed analysts' expectations with the fourth-quarter report it released on Feb. 6. The company's adjusted earnings per share (EPS) of $2.39 outpacing the forecast of $2.09 by 14.4%. Revenues rose to $3.184 billion, exceeding the anticipated $3.070 billion. This strong performance was attributed to higher demand in the travel sector. Overall, the quarter was pos ...