Expedia Q2 revenue up 6% YoY, total bookings increase 5%; full-year revenue now projected to grow 3%-5%, exceeding previous forecast of 2%-4%.

Expedia Q2 revenue up 6% YoY, total bookings increase 5%; full-year revenue now projected to grow 3%-5%, exceeding previous forecast of 2%-4%.

Expedia Group reported strong second-quarter (Q2) results, with revenue up 6% year-over-year (YoY) to $3.79 billion, and total bookings increasing 5% to $30.4 billion. The company's adjusted earnings per share (EPS) of $4.24 comfortably beat analyst expectations of $3.96, indicating robust performance across key segments.

The growth was driven by significant increases in the B2B and advertising segments, which saw revenue grow by 15% and 19%, respectively. Booked room nights increased by 7%, primarily due to strong international performance, particularly in Asia, where growth was nearly 30% [1].

Despite softer U.S. travel demand, Expedia Group's performance was notable. The company attributed the U.S. market's muted performance to shorter booking windows and higher cancellations. However, since the beginning of July, there has been an uptick in overall travel demand, particularly in the U.S. [2].

Expedia Group's CEO, Ariane Gorin, highlighted the company's strategic priorities and progress in delivering these results. The company's brands, supply, and technology continue to be key drivers in helping travelers create memorable experiences and partners grow their businesses [1].

In light of the strong first-half performance and current trends, Expedia Group raised its annual guidance. The company now expects gross bookings and revenue growth for 2025 to be between 3% to 5%, compared to its previous forecast of 2% to 4%. For the third quarter, the company forecasts gross bookings growth of 5% to 7% and revenue growth of 4% to 6% [3].

Expedia Group's shares surged nearly 16% after the announcement, reflecting investor confidence in the company's ability to navigate a dynamic environment and capitalize on growth opportunities [3]. Historical backtesting from 2022 to the present reveals that when EXPE beats earnings expectations, the stock has a 70% win rate over three days, with 60% of positions remaining positive at 10 and 30 days.

References:
[1] https://www.phocuswire.com/expedia-group-q2-2025
[2] https://www.businesstimes.com.sg/companies-markets/expedia-raises-gross-bookings-revenue-growth-forecasts-amid-us-travel-demand-recovery
[3] https://www.investing.com/news/earnings/expedia-shares-soar-16-after-beating-expectations-raising-guidance-93CH-4178222