Expedia Group announced financial results today for the second quarter ended June 30, 2018.
* Gross bookings increased USD 3.1 billion or 13% year-over-year to USD 25.9 billion. Revenue increased 11% year-over-year to USD 2.9 billion.
* Operating income and Adjusted EBITDA for Core OTA grew 19% and 16% year-over-year, respectively. Operating income and Adjusted EBITDA for HomeAway increased 106% and 98% year-over-year, respectively.
* Total stayed lodging room nights grew 12% year-over-year, while stayed property nights for HomeAway increased 33% year-over-year.
* Expedia Group's global lodging portfolio increased to more than 750,000 properties available as of June 30, 2018, including over 195,000 integrated HomeAway listings. HomeAway now offers more than 1.7 million online bookable listings.
* Year to date, Expedia Group repurchased 4.0 million shares for USD 451 million.
* Adjusted EBITDA was $463 million in the second quarter of 2018, an increase of 18% compared to the second quarter of 2017. Adjusted EBITDA excluding trivago was $483 million, an increase of 24% compared to the second quarter of 2017.
Gross Bookings & Revenue
Total gross bookings increased 13%, driven primarily by growth in Brand Expedia, HomeAway, Hotels.com and Expedia Partner Solutions. Domestic gross bookings increased 10% and international gross bookings increased 19%. International gross bookings totaled USD 9.7 billion and accounted for 37% of worldwide bookings, compared with 36% in the second quarter of 2017.
Revenue increased 11%, driven primarily by growth in Brand Expedia, Hotels.com, HomeAway and Expedia Partner Solutions. Domestic revenue increased 12% and international revenue increased 11%. International revenue equaled USD 1.2 billion, representing 43% of worldwide revenue, compared to 44% in the second quarter of 2017. Total revenue excluding trivago was USD 2.7 billion, an increase of 14% compared to the second quarter of 2017.
Product & Services Detail
Lodging accounted for 69%, advertising and media accounted for 10%, air accounted for 8% and other revenue accounted for the remaining 13%.
Lodging revenue, which includes hotel and HomeAway revenue, increased 14% in the second quarter of 2018 driven by growth in HomeAway, Hotels.com, Expedia Partner Solutions and Brand Expedia. Room nights stayed increased 12% while revenue per room night increased 2% in the second quarter of 2018.
Air revenue increased 10% in the second quarter of 2018 on a 6% increase in air tickets sold as well as a 4% increase in revenue per ticket.
Advertising and media revenue decreased 9% in the second quarter of 2018 due to a decline in local currency revenue at trivago, partly offset by a positive impact from foreign exchange and continued growth at Expedia Group Media Solutions. Other revenue increased 16% in the second quarter of 2018 primarily reflecting growth in the travel insurance product.
As of June 30, 2018, Expedia Group’s global lodging portfolio consisted of more than 750,000 properties, including more than 195,000 integrated HomeAway listings. HomeAway offers more than 1.7 million online bookable listings.
Expedia Group’s nearly 70 million loyalty members redeemed a total value of USD 1.5 billion in hotel rooms across the Brand Expedia, Hotels.com and Orbitz loyalty programs over the past three years.
Trivago continued to invest in its alternative accommodation listings, increasing the supply available on its platform to over 800,000 units as of June 30, 2018. In total, trivago offers access to more than 2.5 million accommodations.
HomeAway now offers more than 800,000 instantly bookable listings.
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