Sabre integrates LATAM Airlines NDC content

SOUTHLAKE, Texas - Sabre Corporation (NASDAQ:SABR), a prominent travel technology firm with impressive recent market performance showing a 61% return over the past year, has announced the integration of LATAM Airlines (NYSE:LTM) Group’s New Distribution Capability (NDC) content into its global travel marketplace. The company, which maintains strong gross profit margins of 59%, continues to expand its service offerings despite operating with significant debt. This development, effective today, broadens the scope for travel agencies worldwide to access the full range of LATAM’s offerings in real time, encompassing six passenger carriers within the LATAM group. According to InvestingPro analysis, Sabre’s strategic initiatives come at a crucial time, with analysts projecting a return to profitability in 2025. For deeper insights into Sabre’s financial health and growth prospects, investors can access comprehensive Pro Research Reports, available exclusively on InvestingPro.

Tomas Covarrubias, Senior Vice President of Revenue, Sales, & Distribution at LATAM Airlines Group, emphasized the airline’s dedication to enhancing traveler experiences and the value of partnering with Sabre to extend product availability to travel agencies. He expressed enthusiasm for continued innovation and the advancement of travel distribution.

Sabre’s NDC model aims to provide travel agencies with expanded content access while maintaining compatibility with their existing operational procedures. For airlines, the benefits include increased interoperability, scalability, and flexibility, which supports their reach and customer experience management.

Kathy Morgan, Sabre’s Senior Vice President, Product Management – Distribution Experience, highlighted the company’s ongoing efforts to modernize the travel industry and improve the travel experience through robust and flexible solutions. The partnership with LATAM underscores Sabre’s commitment to delivering diverse content and expertise necessary for travel agencies to prosper in a multi-source content environment.

With LATAM’s inclusion, Sabre’s marketplace now features NDC content from 34 airlines, marking a significant milestone in the company’s growth and service offerings.

Sabre Corporation is recognized for tackling major challenges and seizing significant opportunities in the travel sector, providing advanced technology solutions that empower various travel industry partners. Based in Southlake, Texas, and with a global presence in over 160 countries, Sabre continues to focus on the retail, distribution, and fulfillment of travel.

LATAM Airlines Group, the largest airline conglomerate in Latin America, serves more than 140 destinations across 25 countries, focusing on high-quality service, innovation, sustainability, and connectivity to maintain its leadership in the Latin American aviation market. With Sabre’s current market capitalization of $1.66 billion and an overall financial health score rated as FAIR by InvestingPro, this partnership represents a significant opportunity for both companies. InvestingPro subscribers have access to over 10 additional key insights and metrics about Sabre’s financial position and growth potential.

This news is based on a press release statement.

In other recent news, Sabre Corporation reported fourth-quarter earnings that surpassed analyst expectations, posting an adjusted earnings per share of -$0.08, which was better than the anticipated -$0.10. However, the company’s revenue for the quarter fell short of projections, coming in at $714.72 million compared to the expected $719.14 million. Despite the revenue miss, Sabre provided a positive outlook for 2025, with expectations of high single-digit year-over-year revenue growth and adjusted EBITDA exceeding $700 million.

Mizuho (NYSE:MFG) Securities responded to Sabre’s performance by raising its price target for the company’s shares to $4.00 from $3.50, maintaining a Neutral rating. Similarly, Cantor Fitzgerald kept a Neutral stance with a consistent price target of $4.00, noting steady growth in Sabre’s Travel and Hospitality Solutions segments. Both firms acknowledged Sabre’s progress in expanding its market share and technological advancements.

Sabre’s management has decided to maintain its fiscal year 2025 EBITDA guidance at over $700 million, despite temporary elevated expenses. Analysts from Mizuho suggested that the company’s guidance might be conservative, while Cantor’s analyst highlighted Sabre’s ongoing product initiatives and cost-saving efforts. Investors are closely watching Sabre’s financial journey and strategic initiatives as it positions itself for growth in the travel technology sector.

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