Expedia Forecasts Lower Bookings on Conflict Impact
Expedia expects lower bookings as regional conflicts impact demand. The firm still beat first-quarter estimates with revenue rising to 3.43 billion dollars.
EXPEDIA GROUP INC forecast second-quarter gross bookings between $32.5 billion and $33.1 billion, missing the $33 billion analyst midpoint. Shares fell 6% in late evening trading following the announcement. Geopolitical volatility and travel advisories are weighing on global demand recovery.
### Middle East Conflict Drags on Global Bookings The conflict in the Middle East reduced gross bookings and room nights by 2%, according to CEO Ariane Gorin. While the region represents 2% of total business, the impact triggered cancellations across Europe and Asia throughout March. Gorin acknowledged the disruption: "In March, we did see the impact of the conflict in the Middle East. While the Middle East is only about 2% of our business, we saw cancellations across Europe and Asia." She added that cancellations subsided by April, "but certainly that was an impact."
