Q1 23 EPS

$-0.20

MISS 400.00%

Est. $-0.04

Q1 23 Revenue

$2.67B

BEAT +0.23%

Est. $2.66B

vs S&P Since Q1 23

+101.8%

BEATING MARKET

EXPE +179.5% vs S&P +77.7%

Market Reaction

Did EXPE Beat Earnings? Q1 2023 Results

Expedia Group posted a mixed first quarter, delivering a narrow revenue beat while falling well short of profit expectations as elevated marketing costs weighed on the bottom line. The online travel company reported Q1 2023 revenue of $2.67 billion, … Read more Expedia Group posted a mixed first quarter, delivering a narrow revenue beat while falling well short of profit expectations as elevated marketing costs weighed on the bottom line. The online travel company reported Q1 2023 revenue of $2.67 billion, up 18.5% year-over-year and just ahead of the $2.66 billion consensus estimate, but adjusted EPS came in at -$0.20, missing the -$0.04 analyst forecast by 400.00% as selling and marketing expenses climbed to $1.67 billion from $1.34 billion a year earlier. The top-line strength was anchored by a 20% surge in total gross bookings to $29.40 billion, with lodging gross bookings reaching $21.05 billion and booked room nights rising 23% to 94.5 million, fueled by accelerating international travel, urban market recovery, and renewed demand from Asia. The company's B2B segment was a clear standout, with revenue jumping 55% to $668.00 million as its partner network expanded. Adjusted EBITDA grew 7% to $185.00 million, though the margin slipped slightly to 6.9%, reflecting the heavier investment in customer acquisition during the quarter.

Key Takeaways

  • Strong travel demand driven by increasing international travel and major city travel
  • Reopening in Asia boosting demand
  • Record lodging gross bookings of $21.1 billion
  • B2B revenue growth of 55% driven by expanding partner base and existing partner growth
  • Continued strength in app usage and loyalty member counts
  • Booked room nights up 23% year-over-year to 94.5 million
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EXPE YoY Financials

Q1 2023 vs Q1 2022, source: SEC Filings

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EXPE Revenue by Segment

With YoY comparisons, source: SEC Filings

Q4 22 Q1 26
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EXPE Revenue by Geography

With YoY comparisons, source: SEC Filings

Q4 22 Q1 26

“The first quarter saw strong travel demand driven by increasing international travel, major city travel, and the reopening in Asia. We invested into that demand driving record lodging bookings and continued strength in app usage and loyalty member counts. We also saw strong growth in B2B driven by an expanding partner base and growth from our existing partners. Our performance was enhanced by greater testing velocity and accelerating deployment of AI and ML, including our recent integration of ChatGPT into our iOS experience.”

— Peter Kern, Q1 2023 Earnings Press Release