Expedia Group Reports $2.988 Billion Revenue with Increased Net Loss in Q1 2025

Expedia Group, Inc. reported a revenue of $2.988 billion for the first quarter of 2025, marking a 3% increase from $2.889 billion in the same period of 2024. The company's net loss attributable to shareholders was $200 million, compared to a loss of $135 million in the prior year. This resulted in a loss per share of $1.56, up from $0.99 in the first quarter of 2024. The increase in revenue was primarily driven by growth in the B2B segment, which saw a 14% rise in revenue, while the B2C segment experienced a slight decline of 2%.

In terms of operational metrics, Expedia's gross bookings rose by 4% year-over-year to $31.451 billion, with room nights booked increasing by 6%. However, the average daily rates (ADRs) decreased by 1%. The company reported a total of 3.5 million lodging properties available globally, with Vrbo contributing over 2.5 million alternative accommodation listings. The overall engagement in the lodging sector remains strong, although the company noted a softening in travel demand, particularly in the U.S.

Strategically, Expedia has been focusing on enhancing its technology and product offerings. The company has unified its technology infrastructure across its B2C brands, which is expected to improve operational efficiency and customer experience. Additionally, Expedia launched the One Key loyalty program, allowing customers to earn and redeem rewards across its various brands. The company also executed a significant restructuring plan, incurring $26 million in related charges during the quarter, as it aims to recalibrate resources following a major organizational transformation.

On the financial front, Expedia's cash and cash equivalents increased to $5.715 billion as of March 31, 2025, up from $4.183 billion at the end of 2024. The company also issued $1 billion in senior unsecured notes at a 5.4% interest rate, which will mature in 2035, while redeeming $1 billion of 6.25% notes due in May 2025. The company’s total debt stood at $6.211 billion, slightly down from $6.266 billion at the end of the previous year.

Looking ahead, Expedia anticipates continued challenges in the travel market due to macroeconomic pressures and potential regulatory changes. The company remains focused on leveraging its technology and expanding its market presence, particularly in emerging markets, while navigating the competitive landscape of the online travel industry. The outlook for the remainder of 2025 suggests a cautious approach, with expectations of further restructuring costs and a commitment to enhancing operational efficiencies.