Expedia Q3 2026: B2B surge drives beat and guidance raise
As seen on the 24/7 Wall St. homepage on November 4, 2026.
Expedia raised full-year guidance on revenue, gross bookings and margin after B2B gross bookings jumped 19%. Fourth-quarter guidance still implies a slowdown.
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Expedia posted adjusted earnings per share of $9.39 for the third quarter of 2026, beating expectations and extending its streak of beating analyst EPS expectations to seven consecutive quarters. Revenue reached $4.94 billion, also above what analysts had projected.
The standout driver was the B2B segment, where gross bookings surged 19% to $11.15 billion, lifted by elevated marketing activity from large partners and favorable foreign exchange. The consumer-facing B2C segment grew revenue 6%, and air revenue fell 7% as booked air tickets declined 6%, marking one of the few soft spots in an otherwise strong report.
Encouraged by the momentum, Expedia raised its full-year 2026 guidance across all three key measures. The company now targets full-year revenue growth of 11% to 12%, lifted gross bookings guidance to imply roughly 10% growth, and raised its adjusted EBITDA margin expansion target to 1.8 to 2.0 percentage points.
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The fourth-quarter outlook is more measured. Expedia guided Q4 gross bookings growth to 3.3% to 5.2% and revenue growth to 4.0% to 5.7%. That deceleration from the third quarter's pace is the primary caveat investors will be weighing against an otherwise strong earnings report.
During the quarter Expedia repurchased approximately 2 million shares for $576 million, a buyback pace that meaningfully reduced the adjusted weighted average share count and contributed to adjusted EPS growth of 24%. The company also declared a quarterly cash dividend of $0.48 per share, payable December 10 to shareholders of record on November 18.
Mentioned: EXPE