Revenue Acceleration
Revenue grew 14.7% year-over-year to $3.43B in Q1 2026, up from $2.99B in Q1 2025, reflecting robust demand recovery and continued momentum across Expedia's travel booking platforms.
Source: 10-Q Income Statement
Computed from published fixed rules, not a model's judgement — though one input, the count of high-severity risks, comes from the AI analysis below.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
Expedia Group delivered strong Q1 2026 results with revenue surging 14.7% YoY to $3.43B and operating income swinging to a $251M profit from a $70M loss, though net income remained slightly negative at -$6M due to below-the-line charges.
Revenue
$3.43B
+14.66% YoY
EPS (Diluted)
-$0.05
+96.79% YoY
Operating Income
$251M
+458.57% YoY
Source: SEC XBRL
Expedia Group (EXPE) reported Q1 FY2026 revenue of $3.43B, up 14.7% year over year. Operating margin was 7.3%, against -2.3% a year earlier. Operating cash flow was $3.93B, up 33.2% year over year. EXPE's fiscal Q1 FY2026 corresponds to calendar Q1 2026.
Last 4 quarters: 4 beats
| Quarter | Actual EPS (USD) | Consensus (USD) | Result |
|---|---|---|---|
| Jun 2026 | 5.76 | 5.34 | Beat +7.9% |
| Mar 2026 | 1.95 | 1.38 | Beat +40.9% |
| Dec 2025 | 3.78 | 3.42 | Beat +10.4% |
| Sep 2025 | 7.57 | 7.06 | Beat +7.3% |
Compiled by AI from this SEC filing
Revenue grew 14.7% year-over-year to $3.43B in Q1 2026, up from $2.99B in Q1 2025, reflecting robust demand recovery and continued momentum across Expedia's travel booking platforms.
Source: 10-Q Income Statement
Operating income swung from a -$70M loss in Q1 2025 to a $251M profit in Q1 2026, representing a 458.6% improvement and an operating margin expansion of approximately 970 basis points to 7.3%.
Source: 10-Q Income Statement
Operating cash flow surged 33.2% YoY to $3.93B, significantly outpacing revenue growth and demonstrating strong cash conversion, while free cash flow (operating cash flow minus investing cash flow of -$440M) came in at approximately $3.49B.
Source: 10-Q Cash Flow Statement
Financing cash outflows reached -$2.65B in Q1 2026 versus -$469M in Q1 2025, driven by a 105.2% increase in share buybacks to $788M, signaling management's confidence in the business and commitment to returning capital to shareholders.
Source: 10-Q Cash Flow Statement
Long-term debt declined 28.0% YoY to $4.47B from $6.21B, improving the company's balance sheet leverage profile despite stockholders' equity declining 46.3% to $576M, partly reflecting the impact of buybacks reducing book equity.
Source: 10-Q Balance Sheet
Compiled by AI from this SEC filing · 2 high, 2 medium, 1 low
Stockholders' equity fell 46.3% YoY to just $576M, driven in part by aggressive share repurchases reducing book value. If this trend continues, Expedia could approach negative equity territory, which may concern lenders and counterparties.
Source: 10-Q Balance Sheet
Expedia's current ratio stands at 0.73, meaning current liabilities of $19.36B significantly exceed current assets of $14.15B. While this is partly structural due to merchant model deferred revenue and traveler deposits, it represents a meaningful short-term liquidity risk if market conditions deteriorate.
Source: 10-Q Balance Sheet
Despite a strong operating income of $251M, net income remained negative at -$6M, indicating material below-the-line costs such as interest expense, taxes, or non-operating charges that are consuming operating profits. This disconnect between operating and net performance warrants monitoring.
Source: 10-Q Income Statement
Financing cash outflows of -$2.65B in a single quarter, including $788M in buybacks, represent a significant acceleration from prior year levels. Sustaining this pace could strain liquidity, particularly given the already sub-1.0 current ratio.
Source: 10-Q Cash Flow Statement
Cash and equivalents declined 3.1% YoY to $5.54B despite strong operating cash flow, as capital was deployed toward buybacks and debt repayment. A continued decline in cash reserves could limit financial flexibility in a downturn.
Source: 10-Q Balance Sheet
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue $B | 3.43 $B | 2.99 $B | +14.66% |
Operating Income $M | 251.00 $M | -70.00 $M | +458.57% |
Net Income $M | -6.00 $M | -200.00 $M | +97.00% |
EPS (Basic) $ | -0.05 $ | -1.56 $ | +96.79% |
EPS (Diluted) $ | -0.05 $ | -1.56 $ | +96.79% |
Answers draw on this SEC filing and the data on this page
Expedia Group's Q2 FY2026 results were marked by strong B2B and trivago segment growth, partially offsetting slower B2C expansion.
Expedia Group delivered strong FY2025 results with revenue growing 7.6% to $14.7B and operating income surging 41.8% to $1.87B, driven by improved operating leverage and robust travel demand, while generating $3.88B in operating cash flow.
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