Expedia Group Inc (NASDAQ:EXPE, ETR:E3X1) shares jumped over 11% in extended trading as the travel group’s expectation-beating second-quarter results appeared to overshadow warnings on demand.
Revenue and profits came in higher than consensus expectations for the three months to June, though Expedia did warn of “softening” travel demand in the months ahead.
Adjusted earnings per share climbed 21% to US$3.51 over the quarter and sat higher than market forecasts of US$3.18, results showed on Thursday.
Revenue of US$3.56 billion was up 6% on a year earlier and also beat expectations for US$3.53 billion.
Expedia also reported an increase in hotel bookings and the highest growth in total room nights since the start of 2023.
Shares in Expedia climbed 11.5% to US$131.50 on the back of the results, with markets appearing unfazed by warnings for the rest of the year.
According to Expedia, the company saw “a more challenging macro environment and a softening in travel demand” throughout July.
This led the company to revise expectations downwards, with chief financial officer Julie Whalen noting full-year bookings and revenue growth was now expected at 4% and 6% respectively and at the low end of its previous guidance.