Sep 30, 2020

Expedia Q3 2020 Earnings Report

Expedia Group's financial results were announced for Q3 2020, showing a significant impact from the ongoing pandemic but also improved financials due to increased travel and cost initiatives.

Key Takeaways

Expedia Group's Q3 2020 results reflect the impact of COVID-19 on travel demand, with a 58% decrease in revenue compared to Q3 2019. However, increased travel during the quarter and cost-saving measures led to improved financial results compared to the previous quarter. The company is focused on long-term strategic priorities, including driving efficiency and evolving tech and data platforms.

Travel demand was significantly impacted by the virus, but increased travel and cost initiatives improved financial results.

Vrbo experienced year-over-year growth in bookings, benefiting lodging bookings.

The company is focused on long-term strategic priorities, including driving efficiency and evolving tech and data platforms.

Expedia Group reached a multi-year agreement with Mastercard to improve payment transaction efficiency.

Total Revenue
$1.5B
Previous year: $3.56B
-57.7%
EPS
-$0.24
Previous year: $3.37
-107.1%
Gross Bookings
$8.63B
Previous year: $26.9B
-67.9%
Room nights
48.8M
Previous year: 116.5M
-58.1%
Adjusted EBITDA
$304M
Previous year: $912M
-66.7%
Gross Profit
$1.13B
Previous year: $2.99B
-62.2%
Cash and Equivalents
$4.35B
Previous year: $3.8B
+14.6%
Free Cash Flow
-$995M
Previous year: -$1.15B
-13.6%
Total Assets
$19.7B
Previous year: $21.4B
-8.0%

Expedia

Expedia

Expedia Revenue by Segment

Expedia Revenue by Geographic Location

Forward Guidance

The travel industry and the world still face a prolonged and bumpy path to recovery, with increasing COVID-19 cases and uncertainty around vaccine and therapeutic timelines.

Challenges Ahead

  • Prolonged and bumpy path to recovery for the travel industry.
  • Increasing COVID-19 cases.
  • Uncertainty around vaccine and therapeutic timelines.

Revenue & Expenses

Visualization of income flow from segment revenue to net income