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Jun 30, 2020
Sabre Q2 2020 Earnings Report
Reported a significant decrease in revenue and net income due to the COVID-19 pandemic, but implemented cost-saving actions and business realignment to position for future growth.
Key Takeaways
Sabre's Q2 2020 results were significantly impacted by the COVID-19 pandemic, with a 91.7% decrease in revenue compared to Q2 2019. The company reported a net loss of $444 million, but implemented cost-saving measures and business realignment to mitigate the impact and position for future growth. They also saw positive net air bookings in June and commercial strength in Hospitality Solutions.
Announced business realignment combining airline and agency-focused businesses for better customer experience and cost efficiency.
Signed new commercial agreements and key renewals despite COVID-19 impact.
Completed integration of Sabre infrastructure with Google Cloud platform.
Recognized significant technology cost savings from cloud migration progress.
Revenue by Segment
Forward Guidance
Given the magnitude and uncertainty related to the COVID-19 pandemic and its economic effects, on March 20, 2020, Sabre withdrew its February 26, 2020 guidance and has not given further guidance at this time.
Positive Outlook
- Continue to take the cost actions necessary in this difficult environment
- Signed contract extension with DXC that provides significant savings over its multi-year term
- Remain committed to expectation for approximately $275 million in 2020 cost savings
- Working aggressively to position ourselves for growth post-COVID-19
Historical Earnings Impact
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Avg. Return Before/After Earnings
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