Key Takeaways SABR stock fell nearly 35.7% after Q2 earnings, revenues and EBITDA missed prior guidance.Q2 revenues declined 1% to $687.2M, below estimates, due to weak air bookings.FY25 revenue and EBITDA outlook cut sharply, with FCF now seen at $100-$140M vs. $200M+ forecasted earlier.Sabre Corporation (SABR) shares dropped nearly 35.7% on Thursday after the company reported weaker-than-expected second-quarter 2025 results. The company missed every guidance management had provided previously.Sabre report ...

Sabre (SABR) Q2 2025 Earnings Call August 07, 2025 09:00 AM ET Speaker0Good morning and welcome to the Sabre Second Quarter twenty twenty five Earnings Conference Call. My name is Sean and I will be your operator. As a reminder, please note today's call is being recorded. I will now turn the call over to the Senior Vice President, Investor Relations and Treasurer, Brian Evans. Please go ahead, sir.Speaker1Good morning, and welcome to our second quarter twenty twenty five earnings call. This morning, we issu ...

Q2 2025 Earnings Report 7 August 2025 ©2025 Sabre GLBL Inc. All rights reserved. 1 Forward-looking statements Forward-looking Statements Certain statements herein are forward-looking statements about trends, future events, uncertainties and our plans and expectations of what may happen in the future. Any statements that are not historical or current facts are forward-looking statements. In many cases, you can identify forward-looking statements by terms such as "outlook," "pro forma," "profile," "momentum," ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2025 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 Sabre Corporation (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organization) Delaware 001-36422 20-8647322 (Commission File Number) (I.R.S. Em ...

Core Insights - Sabre Corporation announced its financial results for the second quarter of 2025, which are available on its Investor Relations webpage and the SEC's website [1] - A live webcast for the first quarter 2025 earnings conference call is scheduled, where management will discuss financial results and future outlook [2] - Sabre is a leading technology company in the travel industry, providing solutions for airlines, hoteliers, and agencies globally [3] Company Overview - Sabre Corporation is headquartered in Southlake, Texas, and operates in over 160 countries, focusing on technology solutions for the travel sector [3] - The company aims to address complex challenges in travel by leveraging speed, scale, and insights [3] Investor Communication - Important investor information is routinely posted on Sabre's Investor Relations section, LinkedIn, and X account, ensuring compliance with disclosure obligations [4]

Sabre Q2 2025 Earnings Release [Performance Overview](index=1&type=section&id=Performance%20Overview) Sabre's second quarter of 2025 was marked by significant strategic actions, including the $1.1 billion sale of its Hospitality Solutions business to reduce leverage, while achieving a strong 6 percentage point year-over-year improvement in operating margin despite weaker air distribution bookings Key Highlights Q2 2025 Financial Highlights | Metric | Value | Change (YoY) | | :--- | :--- | :--- | | Revenue | $687 million | -1% | | Operating Income | $89 million | +$40 million | | Operating Margin | 13% | +6 p.p. | | Net Loss Attributable to Common Stockholders | $256 million | Increased from $70M loss | | Adjusted EBITDA | $118 million | +7% | | Normalized Adjusted EBITDA | $127 million | +6% | - Closed the sale of its Hospitality Solutions business for **$1.1 billion** in July 2025[2](index=2&type=chunk) - Repaid over **$1 billion** of debt, including **~$825 million** from the Hospitality Solutions sale proceeds, and refinanced **$1.325 billion** of debt to extend maturities to 2030[2](index=2&type=chunk) - Signed new agency agreements, including with Christopherson Business Travel, demonstrating continued commercial momentum in air distribution[2](index=2&type=chunk) Management Commentary - CEO Kurt Ekert acknowledged that Q2 results were impacted by weaker-than-anticipated air distribution bookings, which offset gains from growth strategies, leading to an updated full-year outlook[3](index=3&type=chunk) - Management stated the current volume pressure is considered **"transitory"** and reaffirmed its focus on two strategic priorities: reducing leverage and driving sustainable growth through innovation[3](index=3&type=chunk)[4](index=4&type=chunk) [Financial Results](index=2&type=section&id=Financial%20Results) Sabre's Q2 2025 revenue decreased 1% to $687 million, but operating income surged 83% to $89 million due to cost reductions, though net loss widened to $256 million primarily from debt extinguishment and higher taxes, resulting in negative $240 million Free Cash Flow Consolidated Financial Performance Q2 2025 vs Q2 2024 Financial Performance (in thousands, except EPS) | Metric | Q2 2025 | Q2 2024 | % Change | | :--- | :--- | :--- | :--- | | Total Revenue | $687,149 | $695,050 | (1)% | | Operating Income | $89,134 | $48,722 | 83% | | Net loss attributable to common stockholders | $(256,364) | $(69,760) | (267)% | | Diluted net loss per share (EPS) | $(0.51) | $(0.18) | (183)% | | Adjusted EBITDA | $118,255 | $110,335 | 7% | - The increase in net loss was primarily driven by an **$85 million** loss on the extinguishment of debt from refinancing activities and an **$85 million** increase in the provision for income taxes from continuing operations[8](index=8&type=chunk) - The improvement in operating income was driven by lower labor costs from prior cost reduction plans, reduced technology expenses from cloud migrations, and a decrease in tax litigation reserves[6](index=6&type=chunk) Segment Performance Q2 2025 Segment Revenue | Segment | Q2 2025 Revenue | Change (YoY) | Reason for Change | | :--- | :--- | :--- | :--- | | Distribution | $546 million | -1% | Decrease in air distribution bookings, partly offset by higher hotel bookings | | IT Solutions | $141 million | -2% | Impact of previously disclosed de-migrated carriers, partly offset by higher license fees | - Total bookings, net of cancellations, were **90 million**, a **1% decrease** from Q2 2024[7](index=7&type=chunk) Cash Flow Analysis - Free Cash Flow was negative **$240 million** in Q2 2025, a significant decrease from positive **$7 million** in Q2 2024[10](index=10&type=chunk) - The negative Free Cash Flow includes a **$227 million** payment-in-kind interest payment recorded to cash flow from operations due to refinancing activity, with pro forma Free Cash Flow, excluding this, being negative **$2 million**[10](index=10&type=chunk) Q2 2025 Cash Flow Summary (vs Q2 2024, in millions) | Cash Flow Item | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Cash used in operating activities | $(218) | $26 (provided by) | | Cash used in investing activities | $(23) | $(19) | | Cash provided by financing activities | $21 | $(24) (used in) | [Business and Financial Pro Forma Financial Outlook](index=5&type=section&id=Business%20and%20Financial%20Pro%20Forma%20Financial%20Outlook) Sabre provides a pro forma financial outlook for Q3 and full-year 2025, adjusting for the Hospitality Solutions sale, with guidance across three air distribution volume scenarios projecting full-year Pro Forma Adjusted EBITDA between $530 million and $570 million and Pro Forma Free Cash Flow between $100 million and $140 million Pro Forma Basis Explanation - The outlook is provided on a pro forma basis to give effect to the sale of the Hospitality Solutions business, which is now classified as a discontinued operation[13](index=13&type=chunk) - Pro forma adjustments remove costs previously allocated to Hospitality Solutions and exclude the impact of a **$227 million** payment-in-kind interest payment from pro forma Free Cash Flow to enhance comparability of the company's go-forward operations[13](index=13&type=chunk)[15](index=15&type=chunk) Q3 and Full-Year 2025 Scenarios Q3 2025 Pro Forma Financial Outlook Scenarios | Air Distribution Volume (YoY Growth) | 2% | 4% | 6% | | :--- | :--- | :--- | :--- | | Revenue Growth | Low single digit | Low single digit | Mid single digit | | Pro Forma Adjusted EBITDA (in millions) | ~$140 (+15% YoY) | ~$145 (+19% YoY) | ~$150 (+23% YoY) | | Pro Forma Free Cash Flow (in millions) | ~$40 | ~$45 | ~$50 | Full Year 2025 Pro Forma Financial Outlook Scenarios | Air Distribution Volume (YoY Growth) | 0.5% | 2% | 3.5% | | :--- | :--- | :--- | :--- | | Revenue Growth | Flat | Low single digit | Low single digit | | Pro Forma Adjusted EBITDA (in millions) | ~$530 (+9% YoY) | ~$550 (+13% YoY) | ~$570 (+18% YoY) | | Pro Forma Free Cash Flow (in millions) | ~$100 | ~$120 | ~$140 | - The company expects its end-of-year 2025 cash balance to be greater than **$750 million**[17](index=17&type=chunk) [Consolidated Financial Statements (Unaudited)](index=12&type=section&id=Consolidated%20Financial%20Statements%20(Unaudited)) This section presents Sabre Corporation's unaudited consolidated financial statements, including the Statement of Operations showing a $256.5 million net loss for Q2 2025, a Balance Sheet with $4.42 billion in total assets, and a Statement of Cash Flows detailing a $298.4 million net decrease in cash for the first six months of 2025 Consolidated Statements of Operations Statement of Operations Highlights - Three Months Ended June 30 (in thousands) | Line Item | 2025 | 2024 | | :--- | :--- | :--- | | Revenue | $687,149 | $695,050 | | Operating income | $89,134 | $48,722 | | Loss from continuing operations | $(201,018) | $(69,731) | | Loss from discontinued operations, net of tax | $(55,514) | $246 (income) | | Net loss | $(256,532) | $(69,485) | Consolidated Balance Sheets Balance Sheet Highlights (in thousands) | Line Item | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $426,118 | $724,479 | | Total current assets | $952,558 | $1,163,218 | | Total assets | $4,419,145 | $4,634,929 | | Long-term debt | $4,997,092 | $4,834,776 | | Total liabilities | $6,111,560 (calculated) | $6,226,598 (calculated) | | Total stockholders' deficit | $(1,804,310) | $(1,604,699) | Consolidated Statements of Cash Flows Cash Flow Highlights - Six Months Ended June 30 (in thousands) | Activity | 2025 | 2024 | | :--- | :--- | :--- | | Cash used in operating activities | $(281,841) | $(29,856) | | Cash used in investing activities | $(30,083) | $(45,850) | | Cash provided by financing activities | $34,500 | $54,124 | | Decrease in cash, cash equivalents and restricted cash | $(298,375) | $(35,592) | [Non-GAAP Financial Measures & Reconciliations](index=15&type=section&id=Non-GAAP%20Financial%20Measures%20%26%20Reconciliations) This section defines and reconciles non-GAAP financial measures like Adjusted EBITDA, Adjusted Net Loss, and Free Cash Flow, which management uses to monitor core operations by excluding specific items, with Q2 2025 Adjusted EBITDA reconciled to $118.3 million Definitions of Non-GAAP Measures - Adjusted EBITDA is defined as loss from continuing operations adjusted for items including D&A, interest expense, stock-based compensation, and restructuring costs[42](index=42&type=chunk) - Normalized Adjusted EBITDA is Adjusted EBITDA further adjusted for estimated costs historically allocated to the sold Hospitality Solutions business[43](index=43&type=chunk) - Free Cash Flow is defined as cash used in operating activities less cash used for additions to property and equipment[45](index=45&type=chunk) Reconciliation of Net Loss to Adjusted EBITDA Reconciliation to Adjusted EBITDA - Q2 2025 (in thousands) | Line Item | Q2 2025 | | :--- | :--- | | Loss from continuing operations | $(201,018) | | Adjustments: | | | Depreciation and amortization | $25,482 | | Interest expense, net | $111,244 | | Loss on extinguishment of debt | $85,182 | | Stock-based compensation | $11,290 | | Provision for income taxes | $91,262 | | Other adjustments | $(5,187) | | **Adjusted EBITDA** | **$118,255** | Reconciliation of Free Cash Flow Free Cash Flow Reconciliation - Q2 2025 (in thousands) | Line Item | Q2 2025 | | :--- | :--- | | Cash used in operating activities | $(217,881) | | Additions to property and equipment | $(22,279) | | **Free Cash Flow** | **$(240,160)** |

Group 1 - Sabre Corporation will host a live webcast for its Q2 2025 earnings conference call on August 7, 2025, at 9:00 a.m. ET [1] - The management will discuss financial results and provide insights on the forward outlook during the webcast, which is expected to last approximately one hour [1] - A replay of the event will be available on Sabre's website for at least 90 days following the event [1] Group 2 - Sabre Corporation is a leading technology company focused on the travel industry, providing solutions for airlines, hoteliers, and travel agencies [2] - The company is headquartered in Southlake, Texas, and serves customers in over 160 countries globally [2] - Sabre aims to empower its partners by leveraging speed, scale, and insights to build advanced technology for travel [2] Group 3 - Important investor information is routinely posted on Sabre's Investor Relations section of its website, LinkedIn account, and X account [3] - The company intends to use these platforms for disclosing material, non-public information and complying with disclosure obligations under Regulation FD [3] - Investors are encouraged to monitor these channels along with press releases, SEC filings, and public conference calls for updates [3]

Core Insights - Sabre Corporation has entered into a multi-year agreement with Christopherson Business Travel, establishing Sabre as Christopherson's primary technology partner, aimed at modernizing travel retailing through AI-powered solutions [1][4] - Christopherson Business Travel, ranked 30th on Travel Weekly's 2025 Power List, focuses on smart growth and operational discipline, enhancing client service and technology [2][8] - The partnership will leverage Sabre's content aggregation and automation capabilities to improve Christopherson's travel management platform, Andavo, enhancing operational efficiency and traveler engagement [3][5] Company Overview - Sabre Corporation is a leading technology provider in the travel industry, serving customers in over 160 countries and focusing on building advanced technology solutions for airlines, hoteliers, and travel agencies [6][7] - Christopherson Business Travel, established in 1953, is a certified woman-owned company that specializes in corporate travel management, serving more than 1,000 organizations with tailored travel programs [8] Technology and Solutions - Christopherson will utilize a suite of Sabre solutions, including Sabre Red 360 for customizable shopping, Sabre APIs for secure content retrieval, and automated services for post-booking management [3][5] - The partnership emphasizes the need for a platform that can integrate multi-source content and automate workflows, enhancing operational control and adaptability to client needs [4][5] - Sabre's cloud-native infrastructure and AI-driven capabilities are designed to simplify operations and enhance service delivery for Christopherson [4][5]

Group 1: Momentum Investing Overview - Momentum investing deviates from the traditional strategy of "buying low and selling high," focusing instead on "buying high and selling higher" to achieve quicker profits [1] - Fast-moving trending stocks can be challenging to enter at the right time, as they may lose momentum if future growth does not justify their inflated valuations [2] Group 2: Investment Strategy - A safer investment approach involves targeting bargain stocks that exhibit recent price momentum, utilizing tools like the Zacks Momentum Style Score to identify promising candidates [3] - Sabre (SABR) is highlighted as a strong candidate, having experienced a 10% price increase over the past four weeks, indicating growing investor interest [4] Group 3: Sabre (SABR) Performance - SABR has shown significant momentum, with a 57.6% price increase over the past 12 weeks and a beta of 1.43, suggesting it moves 43% more than the market [5] - The stock has a Momentum Score of B, indicating a favorable entry point for investors looking to capitalize on its momentum [6] Group 4: Earnings Estimates and Valuation - SABR's upward trend in earnings estimate revisions has earned it a Zacks Rank 2 (Buy), which is associated with strong momentum effects as analysts raise earnings estimates [7] - The stock is currently trading at a Price-to-Sales ratio of 0.41, suggesting it is undervalued, as investors pay only 41 cents for each dollar of sales [7] Group 5: Additional Opportunities - Besides SABR, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, presenting further investment opportunities [8] - Investors can explore over 45 Zacks Premium Screens tailored to different investing styles to identify potential winning stocks [9]

Core Viewpoint - Sabre Corporation announced early tender results for cash tender offers by its subsidiary Sabre GLBL Inc., with an aggregate purchase price exceeding $336.375 million, leading to the acceptance of certain securities and the expiration of withdrawal rights [1][3][6]. Tender Offer Details - The tender offers will expire on June 17, 2025, and were initiated under the terms set forth in the Offer to Purchase dated May 20, 2025 [2][6]. - As of the Early Tender Deadline on June 3, 2025, a significant amount of securities was validly tendered, with withdrawal rights expiring at that time [3][6]. - The aggregate principal amount of securities tendered includes 8.625% Senior Secured Notes due 2027, which exceeded the maximum tender amount, resulting in a pro-rata acceptance for these notes [7][8]. Securities Information - The tendered securities include: - 8.625% Senior Secured Notes due 2027 with an amount tendered of $563.327 million and an acceptance percentage of 85.77% [4]. - 7.375% Senior Secured Notes due 2025 with an amount tendered of $22.559 million and an acceptance percentage of 96.43% [4]. - 11.250% Senior Secured Notes due 2027 with an amount tendered of $31.986 million and an acceptance percentage of 69.82% [4]. - The total consideration for the accepted 8.625% Notes includes an early tender premium of $50 per $1,000 principal amount [8]. Payment and Conditions - Payment for the accepted securities is expected to occur on June 4, 2025, subject to the satisfaction or waiver of conditions outlined in the Offer to Purchase [6][10]. - Sabre GLBL reserves the right to terminate or amend the tender offers, including extending deadlines or adjusting the maximum aggregate purchase price [9][10].