Expedia Group (EXPE) Q4 2024 earnings summary

Executive summary

• Q4 2024 exceeded expectations with double-digit growth in room nights, gross bookings, and revenue, driven by strong execution and robust travel demand; both B2C and B2B bookings growth accelerated sequentially.

• Consumer bookings accelerated to 9% in Q4, with all core brands showing growth; B2B bookings surged 24% sequentially.

• Net income for Q4 grew 124% year-over-year, and adjusted EBITDA increased 21% with margin expansion.

• International demand outpaced the U.S., especially in APAC and Europe, supporting both B2B and consumer business expansion.

• Strategic priorities for 2025 include delivering more value to travelers, targeted investments for growth, continued margin expansion, and AI as a key enabler.

Financial highlights

• Q4 gross bookings reached $24.4B, up 13% year-over-year; lodging bookings up 12%, hotel business up 14%.

• Q4 revenue was $3.2B, up 10%, led by 21% growth in B2B; gross margin nearly 90%, up 125 bps.

• Q4 net income $299M (124% YoY growth); diluted EPS $2.20 (139% YoY); adjusted EPS $2.39 (39% YoY).

• Full-year 2024 gross bookings were $111B (+7%), revenue nearly $14B (+7%), and EBITDA margin 21.4% (+60 bps).

• Free cash flow for 2024 was $2.33B, up 26% year-over-year.

Outlook and guidance

• Q1 2025 gross bookings growth expected at 4%-6%, revenue growth at 3%-5%, with FX and Easter timing as headwinds.

• Full-year 2025 guidance: gross bookings and revenue growth of 4%-6%, EBITDA margin expansion of 50 bps, and continued share repurchases.

• Quarterly dividend reinstated at $0.40/share starting March 2025 (~1% yield), signaling commitment to shareholder returns.