01—Abstract
Summary
Summary of the 10-Q filed May 9, 2025. Cited figures are marked; the original filing is the authoritative source.
Expedia Group, Inc. (EXPE) reported a net loss of $200 milliona for the first quarter of 2025, a widening from the $135 million net loss in the same period of 2024.
Revenue increased by 3% year-over-year to $2.99 billionb, driven by a 14% increase in the B2B segment and a 22% rise in trivago's advertising revenue. However, the B2C segment saw a 2% decline in revenue. Despite the top-line growth, the company experienced increased selling and marketing expenses, up 6% year-over-year, impacting profitability.
The company also noted a significant impact from a $156 millionc loss on minority equity investments, which heavily contributed to the net loss. Expedia Group has reinstated its quarterly dividend and continued its share repurchase program, underscoring a focus on returning capital to shareholders. Financially, Expedia Group ended the quarter with a strong cash position of $7.73 billion in cash, cash equivalents, and restricted cash, an increase from $5.57 billion at the end of 2024.
This was bolstered by a new $1 billiond senior notes issuance, partially offset by the redemption of $1 billion in older notes. The company managed its debt effectively, with long-term debt excluding current maturities decreasing to $4.47 billion from $5.22 billion.
Management highlighted efforts to optimize technology spending and streamline operations, including restructuring charges, aiming for long-term efficiency. Investors should monitor travel demand trends, competitive pressures, and the impact of macroeconomic factors on future performance.
02—Key points
Key Highlights
- Expedia Group reported a 3% increase in total revenue to $2.99 billion for Q1 2025, driven by strong performance in the B2B segment and trivago.
- The company incurred a net loss of $200 million in Q1 2025, a widening from the $135 million net loss in Q1 2024, significantly impacted by a $156 million loss on minority equity investments.
- B2C segment revenue declined by 2% year-over-year, while B2B revenue grew by 14% and trivago's advertising revenue increased by 22%.
- Selling and marketing expenses increased by 6% to $1.76 billion, reflecting increased B2B partner commissions and marketing spend at B2C brands.
- Expedia Group reinstated its quarterly dividend ($0.40 per share) and continued its share repurchase program, buying back $330 million in Q1 2025.
- Cash, cash equivalents, and restricted cash increased to $7.73 billion as of March 31, 2025, supported by a new $1 billion debt issuance.
- The company incurred $26 million in restructuring and related reorganization charges in Q1 2025, with an expectation of approximately $40 million more in the remainder of the year.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-QQ1 FY2025filed May 9, 2025Financial Statements
Q1 FY2025 against Q1 FY2024
| Line item | Q1 FY2025Q1 FY2024 | Change |
|---|---|---|
| Revenue | $2.99B$2.89B | +3.4% |
| Operating Income | -$70.00M-$110.00M | +36.4% |
| Net Income | -$200.00M-$135.00M | −48.1% |
| EPS (Basic) | $-1.56$-0.99 | −57.6% |
| EPS (Diluted) | $-1.56$-0.99 | −57.6% |
| Shares Outstanding (Basic) | 128.64M135.50M | −5.1% |
| Shares Outstanding (Diluted) | 128.64M135.50M | −5.1% |
05—Questions
Frequently Asked Questions
What was Expedia Group's profitability in the first quarter of 2025?
Expedia Group reported a net loss of $200 million for the three months ended March 31, 2025. This is a wider loss compared to the $135 million net loss reported in the same period of 2024. The net loss was significantly impacted by a $156 million loss recognized on minority equity investments.
How did Expedia Group's revenue perform in Q1 2025 compared to Q1 2024?
Total revenue increased by 3% to $2.99 billion in the first quarter of 2025, up from $2.89 billion in the first quarter of 2024. This growth was primarily driven by the B2B segment (up 14%) and the trivago segment (up 22%), while the B2C segment experienced a 2% decline in revenue.
What is the company's current cash position and debt management strategy?
Expedia Group ended the quarter with a strong liquidity position, reporting $7.73 billion in cash, cash equivalents, and restricted cash. This was supported by a new $1 billion senior notes issuance in February 2025, which helped finance the redemption of $1 billion in older senior notes. Long-term debt, excluding current maturities, decreased to $4.47 billion as of March 31, 2025.
Has Expedia Group resumed returning capital to shareholders?
Yes, Expedia Group reinstated its quarterly common stock dividend in the first quarter of 2025, paying $0.40 per share. Additionally, the company continued its share repurchase program, repurchasing $330 million worth of common stock during the quarter, with approximately $2.9 billion remaining authorized under its current program.
06—Continue