Expedia Group Soars with Strong Earnings and Reinstated Dividend

Expedia Group (EXPE, Financial) is experiencing a significant surge, with shares up 17%, following impressive earnings, accelerated revenue growth, and a reinstated dividend after a five-year break. Since Ariane Gorin took over as CEO in May last year, EXPE’s stock has risen over 80%, reflecting strong operational execution and increasing travel demand.

Key Highlights:

• Travel demand exceeded EXPE’s expectations in Q4, with booked room nights up 12% year-over-year, a 3-point increase from the previous quarter. Total gross bookings rose by 13% in Q4, compared to a 7% rise last quarter.
• EXPE’s consumer business bookings grew by 9% in Q4, up 5 points from Q3, driven by growth across all banners. Vrbo, EXPE’s competitor to Airbnb (ABNB, Financial), gained momentum in 2024. EXPE plans further improvements for Vrbo in 2025.
• Hotels.com returned to bookings growth, with international markets outpacing the U.S.
• EXPE’s B2B and advertising businesses were standout performers in Q4, with 24% and…