What were the key takeaways from Expedia's earnings call?

What is the market's earnings forecast for Expedia next quarter?

What does Expedia do and what are its main business segments?

What factors drove the changes in Expedia's revenue and profit?

What guidance did Expedia's management provide for the next earnings period?

What is the revenue and EPS growth rate for Expedia year over year?

What is Expedia's gross profit margin?

Did Expedia beat or miss consensus estimates last quarter?

- **Q3 Growth Milestones**: 12% bookings growth, 9% revenue rise, and 2-point EBITDA margin expansion. U.S. room nights grew fastest in 3 years, APAC bookings +20%.
- **B2B Dominance**: 26% bookings growth (17th straight quarter), driven by Rapid API and ARC Travel. B2B revenue up 18%.
- **AI-Driven Efficiency**: Virtual agents resolve 50% of customer queries, improving service costs. Traveler personalization boosts attach rates.
- **Brand Recovery**: Vrbo bookings +20% on promotions, Hotels.com fastest growth in 2 years. Expedia leads with record attach rates.
- **Q4 Outlook**: 6-8% growth expected, with 2-point EBITDA margin expansion. Share buybacks continue at $1.8 billion pace.

**【CEO Summary】**
- **Q3 2025 Results**: Bookings grew 12%, revenue rose 9%, with EBITDA margin expanding by over 2 points. U.S. room nights saw the fastest growth in 3 years, while APAC bookings surged over 20%.
- **Strategic Priorities**: 
  - **Delivering Value to Travelers**: AI-driven personalization in Expedia, Vrbo, and Hotels.com improved attach rates and loyalty engagement. Vrbo introduced member deals, while Hotels.com launched Save Your Way.
  - **Investing in Growth**: B2B bookings jumped 26% (17th consecutive quarter of double-digit growth), driven by Rapid API and ARC Travel. Advertising revenue increased 16%.
  - **Operating Efficiency**: Marketing productivity improved for 4 consecutive quarters, with B2C EBITDA margin reaching 41%.

**【CFO Financial Highlights】**
- **Revenue Performance**: Gross bookings hit $30.7 billion (+12%), with $4.4 billion in revenue (+9%). B2B revenue grew 18%, outpacing bookings due to book-to-stay timing.
- **Profitability**: Adjusted EBITDA of $1.4 billion (+23% YoY), with margins up 2 points. Free cash flow on a trailing 12-month basis was $3 billion.
- **Guidance Update**: Q4 2025 bookings and revenue growth expected at 6-8%, with full-year EBITDA margin expansion of 2 points. Share buybacks remain a priority, with $1.8 billion remaining in the program.

**【Q&A Highlights】**
- **B2B Growth**: 26% bookings growth driven by Rapid API and ARC Travel. Expansion into car rentals and insurance seen as future opportunities.
- **AI Impact**: AI enhances traveler experiences (e.g., Vrbo's property recommendations) and internal efficiency (e.g., 50% of customer service queries resolved by virtual agents).
- **Vrbo & Hotels.com Recovery**: Vrbo bookings up 20% on promotional rates, Hotels.com growth fastest in 2 years with Save Your Way. Expedia remains largest brand with record attach rates.
- **U.S. Market Dynamics**: October demand strong, but Q4 growth tempered by lapping 2024's 6-point bookings acceleration. Monitoring U.S. government shutdown risks.


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