By Anshuman Tripathy and Aishwarya Jain
Feb 12 (Reuters) - Online travel platform Expedia forecast 2026 gross bookings and revenue above Wall Street expectations on Thursday, betting on strong demand from business clients.
The Vrbo-parent expects gross bookings to be in the range of $127 billion to $129 billion for the year, higher than analysts' average estimate of $125.95 billion, according to data compiled by LSEG.
The business-to-business segment, which includes customers such as airlines, offline
travel agents, financial institutions, has benefited from the addition of new clients.
During the fourth quarter, the company had a record number of active travel agencies using its platform for bookings, CEO Ariane Gorin said in an interview with Reuters.
The agent loyalty program, which allows independent agents to partner with Expedia and earn commissions on trips booked on the platform, has also buoyed the business.
During the fourth quarter, gross booking in its B2B division jumped 24%, compared to 5% in its direct-to-consumer unit.
Online travel agencies are also getting a lift from cost-conscious travelers seeking value through deals and discounts.
"We had 70% more partners participating on our Black Friday sales than we have ever had" Gorin said, adding 30% of Expedia's fourth-quarter bookings came from inventory that included deals.
Expedia also expects annual revenue to be in the $15.6 billion to $16 billion range, the midpoint of which is higher than analysts' estimate of $15.69 billion
The Hotels.com-parent's adjusted profit of $3.78 per share for the fourth quarter ended December 31, was up from $2.39 per share a year earlier.
Total revenue rose 11.4% to $3.54 billion.
(Reporting by Anshuman Tripathy and Aishwarya Jain in Bengaluru; Editing by Sriraj Kalluvila)
