Summary
Expedia Group, Inc. reported a strong financial performance for the second quarter and first half of 2026. Revenue increased by 14% year-over-year for both periods, reaching $4.32 billion and $7.74 billion respectively. This growth was primarily driven by a 13% increase in lodging revenue, fueled by higher ADRs and room nights, and a significant 48% surge in trivago advertising revenue. The B2B segment also showed robust growth, with gross bookings up 21% for the quarter and 22% year-to-date, contributing to a 23% revenue increase in Q2 and 24% for the first half. Profitability saw a substantial improvement, with operating income rising by 65% in the quarter and 153% year-to-date. Net income attributable to Expedia Group, Inc. more than doubled year-over-year for both periods, reaching $878 million for the quarter and $872 million for the first half. This translated into a significant increase in diluted Earnings Per Share (EPS), which rose to $7.16 for the quarter and $7.05 year-to-date. The company also demonstrated strong cash flow generation, with operating cash flow increasing by $1.34 billion year-over-year for the first six months. Expedia continued its commitment to returning capital to shareholders through share repurchases and dividends, with $5.7 billion remaining authorized under its repurchase programs.
Key Highlights
- 1Total revenue grew 14% to $4.32 billion for the three months ended June 30, 2026, and 14% to $7.74 billion for the six months ended June 30, 2026, compared to the prior year periods.
- 2Lodging revenue increased by 13% for both the three and six month periods, driven by higher ADRs and increased room nights.
- 3trivago's third-party advertising revenue saw a substantial 48% increase for both the three and six month periods.
- 4Operating income significantly increased by 65% to $800 million for the quarter and 153% to $1,051 million for the six months, demonstrating strong profitability.
- 5Net income attributable to Expedia Group, Inc. rose dramatically to $878 million for the quarter and $872 million for the six months, reflecting the strong operational performance.
- 6Diluted EPS improved significantly to $7.16 for the quarter and $7.05 for the six months, up from $2.48 and $0.96 respectively in the prior year.
- 7Net cash provided by operating activities increased by $1.34 billion for the six months ended June 30, 2026, to $5.41 billion, indicating robust cash generation.