Sabre (SABR) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue grew 4% year-over-year to $712 million, with Normalized Adjusted EBITDA up 19% to $151 million and positive free cash flow generated.

• Full-year 2026 guidance for Pro Forma Adjusted EBITDA was raised to ~$600 million and Free Cash Flow to ~$-65 million, with revenue and air distribution bookings outlook reaffirmed.

• Corporate travel demand remained resilient, offsetting leisure softness, while air distribution bookings grew 1% year-over-year, outperforming the industry by 600 basis points since late 2025.

• Net loss from continuing operations improved to $36 million from $201 million in Q2 2025, reflecting better operating performance.

• Sale of Hospitality Solutions business completed in July 2025, with proceeds used to pay down debt and results now presented as discontinued operations.

Financial highlights

• Q2 2026 revenue was $712 million (+4% YoY), with Marketplace revenue up 6% and hotel-related revenue up 11% year-over-year.

• Normalized Adjusted EBITDA was $151 million (+19% YoY), margin expanded to 21.2%; Adjusted EBITDA was $143 million (+21% YoY).

• Free cash flow for Q2 was $10 million, a significant turnaround from negative $240 million in Q2 2025; cash balance at quarter end was $697 million.

• Gross margin reached 57.1%, at the high end of guidance.

• Net loss attributable to common stockholders improved to $36 million from $256 million in Q2 2025.

Outlook and guidance

• Full-year 2026 guidance for Pro Forma Adjusted EBITDA raised to ~$600 million (+12% YoY) and Free Cash Flow to ~$-65 million; revenue and air distribution bookings growth outlook reaffirmed.

• Q3 and Q4 2026 Pro Forma Adjusted EBITDA expected at ~$155 million and ~$125 million, respectively.

• CapEx outlook increased by $10 million for additional technology investment in H2 2026.

• Full-year Free Cash Flow guidance: ~$25 million operating cash flow, less ~$90 million in capex.

• Liquidity is expected to be sufficient for at least the next twelve months, with no major debt maturities until 2029.