Travel technology company Expedia surpassed earnings and revenue estimates last quarter amid a surge in bookings.
Earnings per share were up 58% to US$3.78, above Zacks estimates of $3.46. Revenue increased 11% to $3.55 billion, beating estimates by 4.22%.
“We delivered a strong finish to a great year and expect our positive momentum to continue in 2026,” said CEO Ariane Gorin.
"Our fourth quarter results exceeded both top and bottom-line expectations, reflecting disciplined execution of our strategic priorities in a healthy demand environment with double-digit growth in bookings and revenue.”
Booked room nights rose 9% to 94.0 million, while booked air tickets were up 2% to 12.8 million.
Gross bookings climbed 11% to $27.00 billion, with lodging bookings rising 13% and non-lodging bookings increasing 4%.
Revenue from non-United States points of sale surged 17% to $1.51 billion. U.S. revenue grew 7% to $2.04 billion.
The company’s guidance for 2026’s first quarter includes gross bookings of $34.6-35.2 billion and revenue of $3.32-3.37 billion, above estimates of $3.28 billion in revenue. Across the year, it expects gross bookings of $127-129 billion and revenue of $15.6-16.0 billion.
Rival Airbnb also reported earnings today, and similarly beat FactSet’s earnings per share, revenue, and bookings estimates.
Expedia’s shares are down 19.7% year-to-date, and Airbnb’s have fallen by 12.8% due to investor fears about artificial intelligence denting demand.
Expedia (NASDAQ: EXPE) shares closed 2.7% lower at $227.24 before reporting earnings, and had fallen 3.6% after-hours by 9:15 AEDT (10:15 pm GMT). Its market capitalisation is $27.84 billion.
