Online travel firm Expedia raises annual forecasts on resilient demand
EXPE•Expedia raised its annual gross bookings forecast to $131.4 billion-$131.9 billion and revenue forecast to $16.37 billion-$16.43 billion. Third-quarter adjusted profit was $9.39 per share, while its fourth-quarter revenue forecast midpoint of $3.72 billion was below analysts’ $3.74 billion estimate.
1. Annual forecasts raised
Expedia lifted its full-year gross bookings forecast to $131.4 billion-$131.9 billion, from $129.5 billion-$130.8 billion, and its annual revenue forecast to $16.37 billion-$16.43 billion, from $16.05 billion-$16.22 billion. Analysts had expected annual gross bookings of $130.22 billion.
2. Quarterly results and outlook
Third-quarter adjusted profit was $9.39 per share, above analysts’ $8.89 estimate, and revenue rose about 12% to $4.94 billion, topping estimates of $4.74 billion. Expedia forecast fourth-quarter revenue of $3.69 billion-$3.75 billion, with the midpoint below analysts’ $3.74 billion estimate. CEO Ariane Gorin cited the US midterm elections and unrest in the Middle East and Europe as factors behind the moderation in that forecast.
