Expedia shares surge 7% as Q4 earnings beat expectations

Published 06/02/2025, 22:08
Expedia shares surge 7% as Q4 earnings beat expectations

SEATTLE - Expedia Group, Inc. (NASDAQ:EXPE) reported fourth-quarter earnings that surpassed analyst estimates, sending its shares up 7% in after-hours trading.

The online travel company’s performance was driven by strong travel demand and growth across its core consumer brands and B2B business.

Expedia reported adjusted earnings per share of $2.39, beating the analyst consensus of $2.02 by $0.37. Revenue for the quarter came in at $3.18 billion, exceeding the expected $3.07 billion and marking a 10% increase YoY. The company’s total gross bookings grew 13% YoY in Q4.

Room nights booked increased by 12% YoY in the fourth quarter, while lodging gross bookings rose 12%, with hotel bookings up 14%. Both B2C and B2B bookings growth accelerated 5 percentage points sequentially in Q4, reaching 9% and 24% respectively.

"Our fourth quarter results exceeded our expectations and reflect continued strong execution and better-than-expected travel demand," said Ariane Gorin, CEO of Expedia Group. "All three of our core consumer brands achieved bookings growth and we further accelerated growth in our B2B business."

The company’s adjusted EBITDA increased 21% with a 175 basis point margin expansion, while adjusted EBIT rose 50% with a 282 basis point margin improvement.

Expedia also announced the reinstatement of its quarterly dividend, declaring a $0.40 per share payout starting in March 2025. This move, along with the repurchase of over 12 million shares for $1.6 billion in 2024, underscores the company’s commitment to shareholder returns.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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