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Expedia Group shares fell more than 8% in after-hours trading on May 8, 2025, after the company reported first-quarter revenue below analyst expectations and pointed to weaker-than-expected U.S. travel demand. The quarter was mixed: earnings per share beat expectations, and gross bookings rose year over year. The reported share move was an after-hours reaction at that time, not a statement about Expedia’s current share price.
Why did Expedia shares fall?
The immediate trigger was a revenue miss alongside the company’s comments about softer U.S. demand. GeekWire reported first-quarter revenue of $2.98 billion, up 3% year over year, compared with an analyst estimate of $3.01 billion. Expedia reported earnings per share of $0.40, which was above expectations. The results therefore combined a modest revenue shortfall with an EPS beat; they were not a decline in revenue. GeekWire reported the results and after-hours market reaction on May 8, 2025.
Investors also heard that demand was weaker than expected in the United States. That geographic qualification matters: the figures reported for the quarter do not show that all travel demand or every Expedia business channel was shrinking.
What happened to bookings?
Gross bookings reached $31.4 billion, up 4% year over year, according to GeekWire. Growth differed by business channel:
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| Measure | First-quarter 2025 result |
|---|---|
| Gross bookings | $31.4 billion, up 4% year over year |
| B2C bookings | Up 1% year over year |
| B2B bookings | Up 14% year over year |
Those figures help explain why “weaker U.S. travel demand” should not be read as a broad contraction across Expedia’s entire business: total bookings increased, with B2B growing faster than B2C. They do not, by themselves, identify how much of each channel’s growth came from particular destinations.
What did Expedia say about U.S.-bound travel?
The Associated Press reported that Expedia CFO Scott Schenkel said U.S.-bound bookings from Canada fell nearly 30% during January–March 2025. That statistic is specific to bookings from Canada to the United States in that period; it is not a measure of all Expedia bookings or all international travel. The Associated Press described the comments on May 9, 2025.
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CEO Ariane Gorin described the broader pattern in company commentary quoted by the AP: “We’re still continuing to see pressure on travel into the U.S., but we’ve also seen some rebalancing.” Her statement referred to continued pressure on travel into the United States alongside some shift toward other destinations. It was a description of conditions discussed at the time, not a forecast of demand today.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.How to interpret the 8% headline
The more-than-8% figure referred to Expedia shares’ move in after-hours trading following the May 8, 2025 earnings report. It is not the regular-session closing move, and it does not indicate where the stock trades now. The earnings reaction reflected a specific combination: revenue came in below the cited estimate, EPS exceeded expectations, bookings grew, and management highlighted softer U.S. demand. Those facts explain the reported event without implying a lasting share-price trend or an investment conclusion.
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