Key Highlights

  • B2B bookings rose 19% to USD 11.1 billion, B2C gained 7% to USD 22.9 billion, and total gross bookings grew 11% to USD 34.0 billion in the third quarter.
  • Revenue grew 12% to USD 4.94 billion, while adjusted EBITDA of USD 1.69 billion (up 17%) carried a 34.2% margin, and diluted EPS reached USD 8.42, a 15% advance.
  • For the final quarter, the company projects bookings of USD 27.9 billion to USD 28.4 billion, a 3.3% to 5.2% increase and a steep deceleration from the third quarter's 11%.
  • The full-year bookings forecast was lifted, now spanning USD 131.4 billion to USD 131.9 billion, up from a previous band of USD 129.5 billion to USD 130.8 billion; one evening wrap put the stock nearly 13% lower, unchecked against a close.

Third-Quarter Beat Built on B2B Strength

Figures for the third quarter came out on November 4, 2026 from Expedia Group (NASDAQ:EXPE). Gross bookings reached USD 34.0 billion, an 11% rise, while Revenue of USD 4.94 billion increased 12%, and Net Income attributable to the company reached USD 1.03 billion, up 7%. Outside reporting put bookings 4% above consensus and EBITDA 9% above its estimate. Negative free Cash Flow of USD 1.40 billion compares with a negative USD 686 million a year before. The company bought roughly 2 million shares for USD 576 million and closed September with USD 5.04 billion in cash and equivalents. B2B represented about one third of gross bookings, a calculated figure. The adjusted EBITDA Margin widened by 135 basis points, landing at 34.2%.

Fourth-Quarter Bookings Guide Versus the Raised Annual Forecast

The final quarter's revenue outlook spans USD 3.69 billion to USD 3.75 billion, representing growth of 4.0% to 5.7%, and adjusted EBITDA should land between USD 830 million and USD 880 million. Bookings growth of 3.3% to 5.2% stands against the third quarter's 11%, a slowdown of roughly six to eight points, which is a calculated gap. One market wrap attributes the weaker outlook to softer travel Demand and heavier investment, but the release does not confirm that explanation. Despite that, the full-year forecast increased, with revenue now seen at USD 16.37 billion to USD 16.43 billion and margin expansion of 1.8 to 2.0 points. Earlier, the bookings guide sat at USD 129.5 billion to USD 130.8 billion and the margin target at 1.5 to 1.75 points.

Share Reaction Uncertainty and What Bookings Must Deliver

One evening market wrap put the stock nearly 13% lower, whereas other coverage referred only to a slip, which makes the magnitude approximate. The company leans toward B2C, which grew 7%, while B2B, at 19%, is the faster-growing piece. Risks include softer demand, higher spending, wider negative free cash flow and reliance on the final quarter for full-year results. The key test is whether final-quarter bookings fall within the USD 27.9 billion to USD 28.4 billion band. Revenue, EBITDA and bookings all rose by double digits, so the reaction is about the pace ahead rather than the quarter just reported.

Where Things Stand

The reported drop is tied to the fourth-quarter outlook, which points to bookings growth of 3.3% to 5.2% against 11% in the third quarter, even though the quarter came in ahead of published estimates and full-year guidance rose. Margins held at 34.2%, but free cash flow was negative USD 1.40 billion, a wider gap than a year earlier, and the release extract did not explain the reason. Following items to track: final-quarter bookings, how margins develop, and whether B2C trends shift.