- Expedia’s first quarter retail revenue came in line with estimates at $1.99 billion, marking an increase of 3.4% year over year.
- The company’s B2B revenue exceeded estimates, reaching $833 million. This is a 25% increase compared to the same period last year.
- Trivago, a subsidiary of Expedia, however, reported a 7.9% drop in revenue at $70 million, falling below estimates.
- In contrast, the lodging revenue posted a 9.8% growth at $2.23 billion, surpassing estimates.
- Air revenue also saw a boost, reporting $115 million, a 1.8% increase year over year, beating estimates.
- The adjusted Ebitda was reported at $255 million, a significant increase of 38% year over year, far outstripping the estimate of $175.2 million.
- However, due to a drag from Vrbo and a slower rate of acceleration in the B2C sector, Expedia lowered their full year guidance to mid to high single digit top line growth. The company also expect margins to align with those of the previous year.
- Despite this, confidence remains high amongst Expedia’s team as they believe the groundwork they’ve laid on their platform will position them to achieve even stronger growth.
- Market sentiments towards Expedia remain mixed with 16 buys, 19 holds and 1 sell.
Expedia Group, Inc. on Smartkarma
Analysts at Baptista Research on Smartkarma have provided insightful coverage on Expedia Group, Inc. One report, titled “Expedia Group: Boosting European Travel with New Partnerships! – Major Drivers,” highlights the company’s solid performance in Q4 2023. Despite challenges and changes, Expedia Group met its guidance, with the lodging business showing strong growth in hotel gross bookings. While air bookings were softer due to reduced ticket prices, Baptista Research conducted an independent valuation using a Discounted Cash Flow (DCF) methodology.
In another report, “Expedia Group Inc.: Pioneering Travel with AI and Machine Learning Marvels! – Major Drivers,” Baptista Research applauds Expedia Group, Inc. for exceeding expectations in the previous quarter. Despite challenges like the Maui fires impacting the Vrbo business and global turmoil affecting travel, the company delivered impressive revenue and EBITDA growth. The report also emphasizes the B2C business’s momentum, with substantial year-over-year revenue growth in Q3.
A look at Expedia Group, Inc. Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 1 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 2.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Expedia Group, Inc. has shown a strong outlook for long-term growth, scoring high in areas such as Growth and Resilience according to Smartkarma Smart Scores. With a Growth score of 4, the company is positioned well for future expansion and development. In terms of Resilience, scoring a 3, Expedia Group, Inc. demonstrates the ability to withstand market fluctuations and challenges, ensuring a stable performance over time.
Although the company doesn’t score as high in areas like Value and Dividend, with scores of 2 and 1 respectively, its Momentum score of 3 indicates a steady pace of positive performance. Expedia Group, Inc. provides online travel services for both leisure and business travelers, offering a variety of booking options for airlines, hotels, and car rentals, making it a significant player in the online travel industry.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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