Core Insights - Expedia Group Inc reported first-quarter revenue of $2.99 billion, a 3% increase year-over-year, but fell short of the consensus estimate of $3.01 billion [1] - The revenue growth was driven by B2B and Advertising segments, which increased by 14% and 20% year-over-year, respectively [1] - The company reported earnings per share of 40 cents, exceeding the consensus estimate of 29 cents per share [2] - Booked room nights rose by 6% year-over-year, despite softened travel demand in the U.S., while lodging gross bookings increased by 5% [2] - Total gross bookings were up 4% year-over-year in the first quarter [2] - CEO Ariane Gorin stated that the company achieved bookings and revenue within guidance despite weaker demand, and anticipates margin expansion and revenue growth in the future [3] Stock Performance - Expedia's stock declined by 6.88% to $157.36 in after-hours trading, with a 52-week trading range of $107.25 to $207.73 [4]

[Financial and Operational Highlights](index=1&type=section&id=Financial%20and%20Operational%20Highlights) Expedia Group's first quarter 2025 results met top-line guidance with 4% growth in gross bookings and 3% in revenue year-over-year, surpassing bottom-line expectations with a 16% increase in Adjusted EBITDA and expanding margins | Metric | Q1 2025 | Q1 2024 | Δ Y/Y | | :--- | :--- | :--- | :--- | | Gross bookings | $31,451M | $30,164M | 4% | | Revenue | $2,988M | $2,889M | 3% | | Operating loss | $(70)M | $(110)M | (36)% | | Net loss attributable to Expedia Group, Inc. | $(200)M | $(135)M | 49% | | Adjusted EBITDA* | $296M | $255M | 16% | | Adjusted EPS* | $0.40 | $0.21 | 90% | | Free cash flow* | $2,756M | $2,702M | 2% | - CEO Ariane Gorin stated that despite weaker than expected demand in the US, the company achieved its guidance, drove bottom-line growth, and is committed to continuing margin expansion while growing its top-line[3](index=3&type=chunk) - Key growth drivers in Q1 included a **6% increase in booked room nights**, a **14% rise in B2B gross bookings**, and a **20% growth in the Advertising business revenue**[7](index=7&type=chunk) - The company repurchased approximately **1.7 million shares for $330 million** and paid a quarterly dividend of **$0.40 per share** during the first quarter[7](index=7&type=chunk) [Detailed Financial and Operating Metrics](index=3&type=section&id=Detailed%20Financial%20and%20Operating%20Metrics) This section provides a detailed quarterly breakdown of key operating metrics and financial performance by business segment, highlighting an 8% growth in Merchant gross bookings and a 14% increase in B2B segment revenue [Trended Metrics](index=3&type=section&id=Trended%20Metrics) Q1 2025 operating metrics show a 6% year-over-year increase in booked room nights and a 4% rise in booked air tickets, though the Average Daily Rate (ADR) declined by 1% | Operating Metric | Q1 2025 | Q1 2024 | Y/Y Growth | | :--- | :--- | :--- | :--- | | Booked room nights (millions) | 107.7 | 101.2 | 6% | | Average Daily Rate (ADR) Booked | $213.9 | $216.5 | (1)% | | Booked air tickets (millions) | 14.8 | 14.2 | 4% | | Gross Bookings by Business Model | Q1 2025 ($M) | Q1 2024 ($M) | Y/Y Growth | | :--- | :--- | :--- | :--- | | Agency | $13,239 | $13,301 | 0% | | Merchant | $18,212 | $16,863 | 8% | | **Total** | **$31,451** | **$30,164** | **4%** | | Revenue by Product | Q1 2025 ($M) | Q1 2024 ($M) | Y/Y Growth | | :--- | :--- | :--- | :--- | | Lodging | $2,289 | $2,228 | 3% | | Air | $107 | $115 | (7)% | | Advertising and media - EG | $174 | $145 | 20% | [Segment Performance](index=5&type=section&id=Segment%20Performance) The B2B segment was the primary growth driver in Q1 2025, with gross bookings up 14% and revenue increasing 14% year-over-year, while the B2C segment saw modest 1% growth in gross bookings but a 2% decline in revenue | Performance by Segment (Q1 2025 vs Q1 2024) | B2C | B2B | | :--- | :--- | :--- | | Gross Bookings Growth | 1% | 14% | | Revenue Growth | (2)% | 14% | | Adjusted EBITDA Growth | 0% | 26% | - Direct selling and marketing expenses as a percentage of gross bookings remained stable for the B2C segment at **4.9%** but increased for the B2B segment[19](index=19&type=chunk) - The B2B segment demonstrated improved profitability with its Adjusted EBITDA margin expanding by **219 basis points to 22.8%**, while the B2C segment's margin saw a modest **20 basis point increase to 11.1%**[19](index=19&type=chunk) [Consolidated Financial Statements (GAAP)](index=6&type=section&id=Consolidated%20Financial%20Statements%20(GAAP)) The GAAP-based consolidated financial statements detail the company's financial position and performance, reporting Q1 2025 revenue of $2.99 billion, an operating loss of $70 million, and a net loss of $200 million [Consolidated Statements of Operations](index=6&type=section&id=Consolidated%20Statements%20of%20Operations) For Q1 2025, Expedia Group's revenue increased 3% YoY to $2.99 billion, recording an operating loss of $70 million, a 36% improvement, though net loss widened to $200 million primarily due to 'Other, net' expenses | Income Statement (in millions) | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Revenue | $2,988 | $2,889 | | Operating loss | $(70) | $(110) | | Net loss attributable to Expedia Group, Inc. | $(200) | $(135) | | Diluted loss per share | $(1.56) | $(0.99) | [Consolidated Balance Sheets](index=7&type=section&id=Consolidated%20Balance%20Sheets) As of March 31, 2025, Expedia Group held $5.7 billion in cash and cash equivalents and total assets of $26.1 billion, with total liabilities at $23.8 billion, including $12.9 billion in deferred merchant bookings | Balance Sheet (in millions) | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $5,715 | $4,183 | | Total current assets | $13,587 | $9,815 | | Total assets | $26,114 | $22,388 | | Deferred merchant bookings | $12,915 | $8,517 | | Total liabilities | $23,793 | $19,589 | | Total stockholders' equity | $2,321 | $2,799 | [Consolidated Statements of Cash Flows](index=8&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) In Q1 2025, the company generated $2.95 billion in cash from operating activities, largely driven by a $4.4 billion increase in deferred merchant bookings, while using $384 million in investing and $469 million in financing activities | Cash Flow (in millions) | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $2,952 | $2,879 | | Net cash used in investing activities | $(384) | $(240) | | Net cash used in financing activities | $(469) | $(631) | | Net increase in cash and equivalents | $2,160 | $1,961 | [Non-GAAP Financial Measures and Reconciliations](index=10&type=section&id=Non-GAAP%20Financial%20Measures%20and%20Reconciliations) This section defines non-GAAP metrics like Adjusted EBITDA and Free Cash Flow, presenting detailed reconciliations to GAAP, with Q1 2025 Adjusted EBITDA at $296 million and Free Cash Flow at $2.76 billion [Definitions of Non-GAAP Measures](index=10&type=section&id=Definitions%20of%20Non-GAAP%20Measures) The company uses non-GAAP measures like Adjusted EBITDA, Adjusted EBIT, Adjusted Net Income, and Free Cash Flow to evaluate business performance by excluding items such as stock-based compensation and restructuring charges - Management uses non-GAAP measures like Adjusted EBITDA to evaluate performance, believing they provide a more meaningful comparison of core operating results by excluding non-cash or unpredictable items such as stock-based compensation, restructuring, and acquisition impacts[35](index=35&type=chunk)[37](index=37&type=chunk) - Adjusted Net Income is used to represent combined results settled in cash, excluding items like stock-based compensation and amortization of intangibles, and is calculated using a long-term projected tax rate of **21.5% for 2025**[42](index=42&type=chunk)[46](index=46&type=chunk) - Free Cash Flow is defined as net cash from operating activities less capital expenditures and is considered useful for showing cash generated by core business operations before financing and certain investing activities[47](index=47&type=chunk) [Reconciliation of GAAP to Non-GAAP Measures](index=13&type=section&id=Reconciliation%20of%20GAAP%20to%20Non-GAAP%20Measures) This section provides detailed tables reconciling GAAP figures to non-GAAP metrics, showing Q1 2025 operating loss of $70 million reconciled to an Adjusted EBITDA of $296 million, and GAAP net loss of $200 million to an Adjusted Net Income of $53 million | Reconciliation to Adjusted EBITDA (Q1 2025, in millions) | Amount | | :--- | :--- | | Operating loss (GAAP) | $(70) | | Realized gain on revenue hedges | $23 | | Restructuring charges | $26 | | Stock-based compensation | $98 | | Amortization of intangible assets | $11 | | Depreciation | $208 | | **Adjusted EBITDA (Non-GAAP)** | **$296** | | Reconciliation to Adjusted Net Income & EPS (Q1 2025) | Amount | | :--- | :--- | | Net loss attributable to Expedia Group (GAAP) | $(200)M | | Adjustments (e.g., stock comp, amortization, investment loss) | +$273M | | Tax effects of adjustments | $(20)M | | **Adjusted net income (Non-GAAP)** | **$53M** | | **Adjusted EPS (Non-GAAP)** | **$0.40** | | Free Cash Flow Calculation (in millions) | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $2,952 | $2,879 | | Less: Total capital expenditures | $(196) | $(177) | | **Free cash flow** | **$2,756** | **$2,702** |

Core Viewpoint - Expedia Group (EXPE) is expected to report first-quarter 2025 results on May 8, with revenues estimated at $3.03 billion, reflecting a 4.76% increase year-over-year, and earnings per share projected at 42 cents, indicating a 100% increase from the previous year [1][4]. Financial Performance - The Zacks Consensus Estimate for EXPE's first-quarter 2025 revenues is $3.03 billion, a 4.76% increase from the prior year's quarter [1]. - The earnings consensus is 42 cents per share, revised down by 2 cents in the last 30 days, but still suggests a 100% increase year-over-year [1]. Historical Performance - EXPE has exceeded the Zacks Consensus Estimate for earnings in the last four quarters, with an average surprise of 45.86% [2]. Growth Factors - The company's performance is anticipated to be influenced by international demand, strategic investments, and cost discipline [4]. - Gross bookings are projected to grow by 4% to 6%, with revenue growth expected between 3% to 5%, excluding a two-point foreign exchange headwind and the Easter shift [5]. - Underlying growth, when excluding these factors, is expected to be between 7% to 9% [5]. Segment Performance - Vrbo is likely to continue its growth momentum, supported by expanded urban inventory and improved supply quality [6]. - Brand Expedia is expected to benefit from merchandising actions in air and package products, driving incremental bookings without additional marketing costs [6]. - The B2B segment, which accounted for 27% of total bookings in 2024, is expected to remain strong, particularly in the APAC region [7]. - Advertising revenues, which grew by 25% in the fourth quarter, are anticipated to continue being a significant contributor to top-line growth [8]. Profitability Metrics - Adjusted EBITDA margins for the first quarter are expected to remain flat to slightly up year-over-year, reflecting sustained overhead and marketing efficiency [9]. - Cost-saving actions taken in 2024 are expected to support profitability despite seasonal and foreign exchange pressures [9]. Earnings Outlook - According to the Zacks model, EXPE has a positive Earnings ESP of +14.86% and a Zacks Rank of 3, indicating a favorable outlook for an earnings beat [10].

Core Viewpoint - Analysts project that Expedia (EXPE) will report quarterly earnings of $0.42 per share, reflecting a 100% year-over-year increase, with revenues expected to reach $3.03 billion, a 4.8% increase from the same quarter last year [1]. Earnings Estimates - The consensus EPS estimate has been revised 4.9% lower over the last 30 days, indicating a reevaluation of initial estimates by analysts [2]. - Prior to earnings releases, revisions to earnings projections are crucial for predicting investor behavior, as empirical studies show a strong correlation between earnings estimate trends and short-term stock performance [3]. Revenue Projections - Analysts predict 'Revenue- B2B' will reach $924.59 million, marking an 11% increase year-over-year [5]. - 'Revenue by Service Type- Lodging' is expected to be $2.36 billion, reflecting a 6.1% year-over-year change [5]. - 'Revenue- Trivago' is projected at $74.76 million, indicating a 6.8% increase from the prior year [5]. - 'Revenue by Service Type- Air' is estimated at $114.41 million, suggesting a slight decline of 0.5% year-over-year [6]. - 'Revenue- Advertising, Media and other' is expected to reach $277.37 million, a 12.3% increase from the previous year [6]. - 'Revenue- International' is projected at $1.22 billion, reflecting an 11.3% increase year-over-year [7]. - 'Revenue- United States' is estimated at $1.85 billion, indicating a 3.3% year-over-year change [7]. Gross Bookings - Analysts forecast 'Gross bookings - Total' to reach $31.85 billion, compared to $30.16 billion from the previous year [7]. - 'Gross bookings - Merchant' is expected to be $18.83 billion, up from $16.86 billion year-over-year [8]. - 'Gross bookings - Agency' is projected at $13.81 billion, compared to $13.30 billion from the prior year [9]. Key Metrics - The consensus estimate for 'Stayed room nights/ Booked room nights' stands at 106, up from 101 year-over-year [8]. - 'Stayed Room Night /Booked room nights Growth' is expected to be 8.1%, compared to 7% in the same quarter last year [8]. Stock Performance - Over the past month, shares of Expedia have returned +14.1%, significantly outperforming the Zacks S&P 500 composite's +0.4% [9].

Core Viewpoint - Wall Street anticipates a year-over-year increase in earnings for Expedia, with a focus on how actual results compare to estimates, which could significantly impact stock price [1][2]. Earnings Expectations - Expedia is expected to report quarterly earnings of $0.42 per share, reflecting a year-over-year increase of +100% [3]. - Revenue is projected to be $3.03 billion, representing a 4.8% increase from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has been revised down by 4.85% over the last 30 days, indicating a reassessment by analysts [4]. - A positive Earnings ESP of +14.86% suggests analysts have recently become more optimistic about Expedia's earnings prospects [10][11]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive reading is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1, 2, or 3 [8]. - Expedia currently holds a Zacks Rank of 3, which, along with the positive Earnings ESP, suggests a likelihood of beating the consensus EPS estimate [11]. Historical Performance - In the last reported quarter, Expedia exceeded the expected earnings of $2.07 per share by delivering $2.39, resulting in a surprise of +15.46% [12]. - Over the past four quarters, Expedia has consistently beaten consensus EPS estimates [13]. Industry Comparison - In the Zacks Internet - Commerce industry, TripAdvisor is expected to report earnings of $0.05 per share, indicating a year-over-year decline of -58.3% [17]. - TripAdvisor's revenue is anticipated to be $389.03 million, down 1.5% from the previous year [17]. - The consensus EPS estimate for TripAdvisor has been revised down by 10% over the last 30 days, resulting in a negative Earnings ESP of -17.24% [18].

酒店方面也不遑多让。4月3日，万豪国际下跌7.4%，希尔顿酒店下挫6.2%，凯悦酒店下跌7.63%，洲际 酒店下跌5.22%。随后三天这些酒店巨头的股价还在持续下跌，凯悦酒店4月8日的收盘价比4月2日下跌 16.4%，同样的，洲际酒店4月8日的收盘价格较4月2日下跌13.7%，希尔顿下跌13%，万豪国际下跌 12.9%。 邮轮公司的反应更为激烈。4月3日，各大邮轮股价暴跌，挪威邮轮大跌16.36%，嘉年华游轮大跌 13.69%，皇家加勒比游轮下跌11.04%。 值得一提的是，美国总统特朗普上任至今的三个多月来，挪威邮轮股价下跌38.57%，嘉年华邮轮下跌 29.77%，皇家加勒比游轮已经是表现最好的邮轮公司，三个月来依旧跌了17.93%。酒店集团的情况也 不乐观，凯悦酒店在过去三个月下跌31.38%，万豪下跌20.57%，希尔顿酒店下跌14.89%。美国另一家 OTA巨头Expedia则下跌15.65%，爱彼迎下跌13.65%。 资本市场的剧烈反应，本质上是对旅游企业实际经营困境的提前映射。股价开始预警时，实体企业正面 临着成本与需求的双重挤压。 航空业首先要面临零部件成本攀升、燃油成本波动、国际航线需求萎缩 ...

Industry Overview - The tourism sector is experiencing a rebound, leading to increased opportunities for online travel booking and searching platforms in 2025 [1] - Competition remains high due to factors such as market accessibility, technological advancements, and price sensitivity, which lower entry barriers for new companies [1] Company Insights - The logistics sector has been a focus for nearly two decades, with significant experience in stock investing and macroeconomic analysis [1] - The company has diversified its investments across various industries and market capitalizations, including banking, telecommunications, logistics, and hotels [1] - The company has been active in both the ASEAN and US markets, with holdings in banks, hotels, shipping, and logistics companies [1]

Core Viewpoint - The article compares two Internet - Commerce stocks, Expedia (EXPE) and MercadoLibre (MELI), to determine which is more attractive to value investors [1]. Valuation Metrics - Both EXPE and MELI currently hold a Zacks Rank of 2 (Buy), indicating positive earnings estimate revisions and an improving earnings outlook for both companies [3]. - EXPE has a forward P/E ratio of 9.56, while MELI has a forward P/E of 38.76, suggesting that EXPE may be undervalued compared to MELI [5]. - The PEG ratio for EXPE is 0.52, indicating a favorable valuation when considering expected earnings growth, whereas MELI has a PEG ratio of 1.03 [5]. - EXPE's P/B ratio is 6.53, compared to MELI's P/B of 21.45, further supporting the notion that EXPE is more attractively valued [6]. Value Grades - Based on the valuation metrics, EXPE has a Value grade of B, while MELI has a Value grade of D, indicating that EXPE is currently the superior value option [6][7].

Core Viewpoint - Expedia's stock has experienced a decline of 6.6% over the past month, although it has outperformed the Zacks Retail-Wholesale sector and the Zacks Internet - Commerce industry, which saw declines of 7.6% and 9.4% respectively [1] Group 1: Financial Performance and Guidance - The company anticipates lower revenue growth of 3-5% for Q1 2025, compared to 8% growth in the same quarter last year [2] - The Zacks Consensus Estimate for Q1 2025 earnings is currently at 43 cents per share, a significant increase from 7 cents per share over the past 30 days, indicating year-over-year growth of 104.76% [3] - For 2025, Expedia expects revenue growth in the range of 4-6% year-over-year, with a consensus revenue estimate of $3.03 billion, reflecting a year-over-year increase of 4.87% [3] - The company has consistently beaten the Zacks Consensus Estimate for earnings in the past four quarters, with an average surprise of 45.86% [4] Group 2: Challenges and Competition - Expedia faces foreign exchange headwinds and lower bookings due to the Leap Year and Easter shift to April, along with a seasonal decline in travel demand impacting the broader market [5] - The company is under intense competitive pressure from rivals such as Booking Holdings, Tripadvisor, and Airbnb, which have expanded their offerings and improved their business models [6] Group 3: Strategic Initiatives - Expedia has planned several initiatives for 2025, including the integration of Generative AI technology to enhance personalization, optimize marketing, improve customer service, drive operational efficiency, and strengthen B2B partnerships [7] - The company is also partnering with Flex Pay to offer flexible payment options for cruise bookings in the U.S. and Canada, which is expected to increase bookings and conversion rates [8] Group 4: Investment Outlook - Despite strong travel demand and new initiatives, Expedia's weak Q1 2025 guidance, foreign exchange challenges, and intense competition suggest that holding the stock may be the best approach for now, as indicated by its Zacks Rank 3 (Hold) [9]

Core Insights - Expedia Group has partnered with Flex Pay to introduce flexible payment options for travelers booking cruises, allowing payments to be spread over 3 to 24 months [1][2][3] - The initiative aims to make travel more accessible and affordable, enabling travelers to manage their budgets effectively while enjoying cruise experiences [2][3] - Flex Pay has demonstrated success in increasing booking volume, conversion rates, and order value by 15-25% through its no-interest financing options [3] Company Overview - Expedia Group is a leading travel technology company that operates multiple brands including Expedia Cruises, Expedia.com, Travelocity.com, Orbitz.com, and Cheaptickets.com [1][2] - The company believes in the positive impact of travel and aims to provide memorable experiences while facilitating partner growth through innovative technology solutions [5] - Flex Pay, a Buy Now, Pay Later solution from Upgrade, has provided over $36 billion in responsible credit to more than 6 million customers since its inception in 2017 [4]