Global Business Travel's Q2 2025: Contradictions Surface on Macroeconomic Trends, Investment Strategies, and Travel Recovery

Macroeconomic conditions and customer behavior, investment strategy and priority, expectations for business travel recovery are the key contradictions discussed in Global Business Travel's latest 2025Q2 earnings call.



Revenue and Earnings Growth:
- American Express Global Business Travel (GBTG) reported adjust EBITDA of over $500 million for the past 12 months.
- The growth was driven by increased demand for their software and services, which resulted in continued share gains and a high customer retention rate.

Q2 Financial Performance:
- Total transaction volume was up 1% in Q2, with TTV growing 3% due to transaction growth, higher average ticket prices, and favorable FX impact.
- Revenue was up 1% to reach $631 million, surpassing the guidance midpoint.
- Adjusted EBITDA grew 4% to $133 million, with a margin expansion of 70 basis points year-over-year.

CWT Acquisition and Synergies:
- The company expects to complete the CWT acquisition in Q3, anticipating $155 million in net synergies over a 3-year period.
- The acquisition is valued at $540 million and is expected to bring a 10% stake in the combined company to CWT shareholders.

Expansion and Efficiency Gains:
- Adjusted operating expenses were flat, with a focus on efficiencies and cost savings in operational areas and product management.
- The company plans additional share repurchases, signaling confidence in future growth, with a 10b5-1 stock repurchase plan activated upon the trading window opening.

Transaction Growth Recovery:
- After a decline in April due to macroeconomic uncertainty, transaction growth rebounded to 2% in May and June.
- Corporate and SME customer segments showed improvement, with global multinational customers up 3% and SMEs up 2%, driven by stability in domestic air routes and acceleration in hotel transactions.