Expedia Group Inc. (EXPE) experienced a significant surge in share value following the release of its third-quarter earnings report. The online travel company exceeded market expectations, citing the unwavering demand for travel. The company reported a profit of $425 million, or $2.87 per share, in the third quarter, compared to $482 million, or $2.98 per share, in the same period last year. After adjusting for one-time items, Expedia’s earnings per share reached $5.41. Furthermore, the company witnessed a remarkable 9% increase in revenue, reaching $3.9 billion for the quarter, setting a new record for any quarter.
Strong Results Reflecting Resilient Travel Demand
Expedia’s impressive third-quarter performance, characterized by record-breaking revenue and profitability, surpassed its own guidance. These results demonstrate the resilience of travel demand and the successful execution of the company’s strategic initiatives. Commenting on the positive outcome, Chief Executive Peter Kern stated, “Our strong third-quarter results with record revenue and profitability came in ahead of our guidance and reflect the resilience of travel demand and continued improvements stemming from the execution of our strategy.”
Positive Guidance and Share Buyback Program
In addition to its outstanding financial performance, Expedia reaffirmed its full-year guidance of achieving double-digit growth along with margin expansion. This outlook reinforces the company’s confidence in its ability to sustain its positive momentum moving forward. Furthermore, Expedia announced a new share buyback program worth $5 billion, indicating its commitment to enhancing shareholder value.
Expedia’s robust earnings report showcases its ability to capitalize on the enduring demand for travel. With a focus on strategic execution and the implementation of innovative initiatives, Expedia is well-positioned for continued growth and success in the online travel industry.