Expedia (EXPE.US) rose more than 9% in the pre-market trading. The company reported better-than-expected Q2 results, but warned of a gloomy travel demand.
Expedia(EXPE.US), an online travel company, reported Q2 2024 revenue of $3.558 billion, up 6% YoY, slightly above the consensus estimate of $3.53 billion; operating income of $451 million, up 2%; adjusted net income of $469 million, up 10%; adjusted EPS of $3.51, above the consensus estimate of $3.18. Adjusted EBITDA of $786 million, up 5%. Total bookings of $28.837 billion, up 6%.
Despite beating expectations in Q2, Expedia executives were cautious on the outlook for travel demand during the earnings call, in line with other travel industry players. CEO Ariane Gorin said, "We saw a more challenging macro environment and a softening of travel demand." She added that it had already impacted Q3 performance.
Looking ahead, Expedia expects Q3 total bookings and revenue to grow 3%-5%; expects Q3 EBITDA and EBIT margin to decline about 100bp. The company also expects full-year total bookings growth to be in the low to mid-single digit range.
As of the time of writing, Expedia is up more than 9% in pre-market trading on Friday.