Expedia Group, Inc. (EXPE) · Nov 4, 2026 · Earnings
Beat — Adjusted EPS $9.39 vs ~$8.77 consensus
Expedia Group’s Q3 earnings beat expectations, margins expanded and full-year guidance rose, led by accelerating B2B bookings and revenue.
Expedia entered this quarter as a travel marketplace trying to make its B2B platform the faster-growing engine, while adding AI tools and broader distribution capabilities for partners. Its B2B unit serves tens of thousands of partners and has been positioned as a broader travel-technology platform, not just a wholesale lodging channel.
The quarter cleared both the company’s guide and published consensus. Revenue reached $4.938 billion and adjusted EPS was $9.39, versus a published consensus near $4.73 billion and $8.77 per share. Adjusted EBITDA rose 17% to $1.689 billion, while adjusted EBITDA margin expanded to 34.2% from 32.9% a year earlier. 〔0〕
| Metric | Q3 2026 | Q3 2025 | Consensus / prior guide |
|---|---|---|---|
| Revenue (Financial Highlights) | $4.938B | $4.412B | ~$4.73B |
| Adjusted EPS (Adjusted EPS reconciliation) | $9.39 | $7.57 | ~$8.77 |
| Adjusted EBITDA margin (Adjusted EBITDA reconciliation) | 34.2% | 32.9% | — |
| B2B gross bookings (Segment results) | $11.146B | $9.384B | — |
| B2B revenue (Segment results) | $1.708B | $1.392B | — |
| Free cash flow (Free Cash Flow reconciliation) | $(1.399)B | $(0.686)B | — |
| FY26 gross bookings guide (Guidance) | $131.4B–$131.9B | — | $129.5B–$130.8B |
| FY26 revenue guide (Guidance) | $16.37B–$16.43B | — | $16.05B–$16.22B |
B2B is the clearest strategic validation. B2B gross bookings grew 19% and revenue 23%, materially faster than B2C’s 7% bookings and 6% revenue growth. That supports Expedia’s effort to build a scalable partner-distribution platform, although B2B adjusted EBITDA margin fell to 27.5% from 28.9% as partner mix and acquisition consolidation weighed on profitability.
The guidance raise makes the beat more consequential than a routine seasonal upside. Full-year gross bookings guidance moved from $129.5–$130.8 billion to $131.4–$131.9 billion, revenue guidance from $16.05–$16.22 billion to $16.37–$16.43 billion, and expected adjusted EBITDA margin expansion from 1.5–1.75 points to 1.8–2.0 points.
Cash conversion is the main blemish. Third-quarter operating cash flow was negative $1.157 billion and free cash flow negative $1.399 billion, both worse than the prior-year quarter, even though nine-month free cash flow remained positive at $3.627 billion. That does not overturn the operating result, but it tempers how cleanly the earnings beat translates into near-term cash generation.
Bottom line: Expedia strengthened its existing recovery-and-execution story: it beat on revenue and adjusted earnings, expanded margins, and raised the year’s outlook. The important incremental signal is that B2B—not just consumer travel demand—is carrying more of the growth, with cash flow and B2B margin still needing monitoring.
Q4 2026 earnings report
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