Expedia Group (EXPE) Q4 2025 earnings summary

Executive summary

• Q4 and full year 2025 exceeded guidance, with 11% year-over-year growth in bookings and revenue, driven by strong international and U.S. demand and robust B2B and B2C segment performance.

• Adjusted EBITDA margin expanded by nearly four points to 23.9%, and room nights booked grew 9% year-over-year in Q4.

• Record free cash flow for 2025 reached $3.11 billion, with a strong cash position of $5.7 billion at year-end.

• Share repurchases totaled 9 million shares for $1.7 billion in 2025, and the quarterly dividend was raised by 20% to $0.48 per share.

• Strategic priorities included delivering more value to travelers, investing in growth, and driving operating efficiencies.

Financial highlights

• Q4 2025 gross bookings reached $27.0 billion, up 11% year-over-year; revenue was $3.55 billion, also up 11% year-over-year.

• Adjusted EBITDA for Q4 was $848 million (up 32% year-over-year), with a margin of 23.9%.

• Adjusted EPS for Q4 was $3.78, up 58% year-over-year, outpacing EBITDA growth due to share repurchases and a lower tax rate.

• Free cash flow for the year was $3.11 billion, up 34% year-over-year.

• Q4 operating income rose 94% year-over-year to $420 million.

Outlook and guidance

• Q1 2026 guidance: gross bookings of $34.6–$35.2 billion (up 10–12%), revenue of $3.32–$3.37 billion (up 11–13%), and EBITDA margin up three to four points.

• Full-year 2026 guidance: gross bookings of $127–$129 billion (up 6–8%), revenue of $15.6–$16.0 billion (up 6–9%), and EBITDA margin expansion of 1–1.25 percentage points.

• Guidance reflects strong momentum but remains cautious due to macroeconomic uncertainty.

• Quarterly dividend raised to $0.48 per share, payable March 26, 2026.