Expedia Group Seems Unable To Reach The Promised Land
Expedia EXPE has missed analysts' expectations both when it comes to revenue and earnings per share. But Diller and Kern who are running the boat now vowed to execute $300 million to $500 million cost cuts during 2020 along with pledging double-digit adjusted EBITDA growth. And Wall Street and investors loved it as its share price rose 10 percent in after-hours trading on Thursday.
Fourth Quarter And FY2019
As for the quarter, revenue did manage to expand 8 percent to $2.63 billion but adjusted EPS dropped 1 percent to $1.24. When it comes to fiscal year 2019, revenues amounted to $12 billion in revenue in 2019 which is up 8 percent, resulting in profits of $565 million.
Expedia Group Chairman Barry Diller and Vice Chairman Peter Kern, who are now running the show and retooling the giant online travel company, admitted that the last few months have been a fair bit of wasted energy and calories going at things" that may not have delivered Expedia "to the promised land."