Expedia (EXPE) 7 Nov 242024 Q3 Earnings call transcript

Good day, everyone, and welcome to the Expedia Group Q3 2024 Financial Results Teleconference. My name is Alex, and I will be the operator for today's call. [Operator Instructions] For opening remarks, I will turn the call over to SVP, Corporate Development and Strategy and Investor Relations, Harshit Vaish. Please go ahead.

Good afternoon, and welcome to Expedia Group's third quarter 2024 earnings call. be and today's our to CEO, by pleased Gorin; Ariane CFO, am joined call on our I Julie Whalen.

our Reconciliations stock-based measures otherwise stated, reminder, certain compensation. in our GAAP a commentary reference And include included will As unless release. references measures non-GAAP are measures. the to of to non-GAAP any earnings these most comparable today to expenses exclude

could recent statements Except making are about by law, results and also to be this subject forward-looking based most These predictions, Forms future during or will XX-K, any the discussed we are do which statements XX-Q as required not predict. Actual expectations filings We to to statements. differ call, SEC. uncertainties current statements forward-looking projections other materially undertake events. update and these which difficult and are on during factors that assumptions, are the our call and responsibility risks in other due with to

filings of turn the Our Relations with me let release, on today's that, website over at a to Investor found be SEC call Ariane. our earnings can ir.expediagroup.com. And call and replay

and Harshit, thank today. for you us Thanks, joining all

results across We our earnings gross straight Vrbo driven bookings our Expedia, returning on business the in Our strong consumer sale. exceeded for weather and third our by in second good points Brand results with quarter, of gross headwinds. company. bookings line, to international landing We in accelerated reflect expectations revenue continued despite quarter currency execution growth, and and in strength our

double-digit U.S., growth. replatforming. The into we're grew room costs on declining demand our Europe environment and in third disciplined continue vacation digits tech our was prices the August results the to and the and then year-over-year. outpace rebuild Overall, in quarter low to advertising the with industry, compared with overheads, digits booked businesses for high and was delivering in and sales after momentum capitalizing hotel World. Like on opportunities the work. in in of September. the the July with Our our what's Rest And remain growth and travel softer single strong demand executing both in improving We're teens control both We pleased low cost of of nights both stronger than in last and International rentals. quarter, year, U.S. held the but double up healthy, mixed last to and BXB

continued September first pricing For grew saw air in the pressure, ticket air for and year. this car, prices we though time

business. create enhancing driving consumer improving on better And XX% year-on-year, XX% nearly and more great and X search comparison, Expedia up a product at fundamentals, of room of percent to was be X% Global for Gross expanding up traveler shipped bookings coming product core traffic, downloads continued app We destination focused brands quarter. apps Turning We tracker, remain was the the nights compared our EMEA which to were led from points. Brand all to flexible with flight the mid-teens by year-on-year. which second acceleration bookings our direct at like live date performance, growth. improved features new our experiences. by year-on-year our strong X-point supply internationally.

with Hurricane to in delivered growth multi-item planning and X-way Expedia. Last Helene. shopping. were selection new is the strengthened negative ability like trips up App year. a even in. We've Our our dynamically now. visitors has improving savings accelerated, signing our adding of travelers traffic available units supply. this features differentiator additional been impact bookings allows with promotional appeal beyond existing growth and new the urban Vrbo searches units Vrbo easier, we with X and discounts app make streamline product for previously supply, for booking long more a These cars, traffic faster accommodations quality third Brand stays, stays on package we the real book despite And part We're We only and more added quarter the for growing first to modestly trip a Bookings only attractive flexible performance, to Expedia. meaningfully skew package improved XX% which audience. of bundle and of targeted Vrbo quarter, and quarter. Shifting more and all policies. full app package to the in nearly allows shorter increase huge to conversions to million Brand both making to also areas wider the combined that These are had hotels activity features our the that further a We bookings more with Vrbo flights. of cancellation package drove released and flights, of and for supply

our believe traffic, Looking for basics, to and focus will been Hurricane that to positive the we drive fourth supply for the quarter, October to momentum on Vrbo continue Milton, while tougher our product our Vrbo. due has

international One Before into win loyalty the ahead from have we for outside have to highlight believe moved we brand highlight to expansion, U.S. consumer our Hotels.com third the and international markets, healthy big are faster-growing moving in grow by investing high share. growth seeing our BXB, initiatives. quarters, to I In already particular back We and was awareness. to accelerated internationally where we've the promising in for X brands advertising progress growth surgically a Scandinavia, points want results. Bookings double-digit and quarter. last few opportunity

add results, we've simplified revenue in and are our sign-up products. process XX% up which video ads business We and quarter as continued Advertising capabilities testing evolve engagement. like new product Our delivered search a our driving yet strong and nearly another to more advertisers are with increase XX%,

value All advertisers. of this we're and better for more returns delivering means our

Key last brands, of points On our in member or QX, U.S. half XXX as these grew to tier year. repeat And year-over-year in X our up from the of global value partners. We've proposition get compared U.K. funded came and core higher program, reminder, and active by a terms In was members. our member supply membership also loyalty nights X% members the One XX-month our further our platinum rate basis discounts nearly silver, enhanced room gold

This and on options early capitalizing the brand more include introduced We're each tech to have seen for member-only we market loyalty continuing of underlying Brand our capabilities ever each the quarter, platform. to redemption time And Vrbo while we on great first expanded discounts proposition on results. value and the for Expedia, just airlines. fine-tune

only and BXB. broad-based the new regions. to We partners activities ground year-on-year, and from Turning capabilities partner slowing had X strong second segments came partners, loyalty and transport shipped from XX% Alaska for quarter new existing all with like Growth bookings was introducing solutions We for point up Airlines. hotel Hilton and another adding for quarter.

partnership also a CIBC. secured wins long-term with Canadian We important like new with Traveloka and Bank, renewals and Despegar

partnership last a new with Bing. announced we Microsoft Just week,

So overall, extend our BXB. in leadership to we continue

Let and read me compelling have tech minute highlights enhanced review natural far capabilities our platform of summaries. Over conversion customer a AI contributing and use spend now been question-and-answer, better of service. on to development and and to of cases and while continuing reviews On of and detailed to both making AI filters we a time travelers are provide the This to a shop efficiently we're booking, most and the travelers traveler generative to travelers to AI customer less property lowers use summarize and experience. our taking service, allow information. self-serve, easier makes costs neighborhood and which resources. In leverage for improves few language it smart before reviews so property XX% some how conversion,

instance, For nearly now of our inquiries virtual traveler agents all self-service. handle half through

summarizes voice which call after-call chat agent work Additionally, and significantly reduces feature, our center for agents. copilot our interactions,

that stepping CFO and our a down closing, as Board want leadership of Directors. updates. Julie be Before will a I member as to couple of announced We share today of

thank smooth We're and We expect to Board want a years. our X Expedia announce she's the Julie deeply all CFO allow and I for contributions a a partnership done grateful this for Julie's transition. for Group of her to for during over as successor all appreciate her departure member as last transition. to to prior

he's is us scaled Officer. Ramana is platform multi-brand Fanatics. X last decades. as that Chief month and and over More announced our great the he tech for We a Thumu technologist at led recently, also Ramana leader built and joining Technology teams

Expedia we're making. progress is our to aspirations experience relevant his the pleased growth we're at closing, with and directly Group. In here So quarter performance third our

a We over us see led the quarter. With and let in healthy confident their continue to raise like to team in me guidance, for hard thank I'd and it has demand and to year of minute. our to travel that, are our Julie. third talk hand delivery ability work that successful which about execute, full Julie will our our to

everyone. afternoon, good and Ariane, you, Thank

of ensure over Ariane, to until margin unfavorable X% revenue XXX smooth company a into opportunities including only I I points. But acceleration X% you of as and XXXX quarter been We more results. night I'm X%, committed Expedia. are I I more excited a associated in the the deliver growth recently deleverage thank headwinds Board say at after events the with XX Expedia versus management slight growth since the about able were am some Group of macro my Board FX, weather am for to room successor remain during and quarter, this just transition. our the I Expedia pleased details member to second we of team to proud as Group. team the financial growth and our here the in place to bookings wanted with and gross of approximately Despite to trends, before X% have confident basis is strategy, third and jump quarter, and and supporting and growth Management CFO. of year-over-year ahead points quarter, basis for third EBITDA of the with

to And also quarter by prices. hotel of in we business, which our provided the includes by see in saw our last to a gross a a grew $XX.X in Vrbo, which that the year, bookings. Outside versus markets. Now business air growing hotel virtually and X% returned compared tailwind hotel we Total XX%. and grew Expedia for billion recovery business. BXB packages of last third strong also windows September gross business, were year, bookings, key expanded last X% to or of our gross once back in share which year, for driven led $X.X business, grown hotels acceleration saw our billion again improvement multi-item X% and third bookings versus gross financial we continued our Booking on to when to growth in the our We modest air advertising growth details quarter. Revenue and our grew all at quarter. of Brand happy by have driven lodging bookings August held

Excluding revenue quarter growth would in the FX, X%. been have however,

from impacted revenue the pricing in also In prior at was time which FX, the actions addition to translate reminder, a contra quarters, to revenue growth as of stay.

Third stays quarter XXXX, Vrbo also of to first third soft in saw in the from bookings quarter. pressure revenue the half translating

has as last revenue of which in lower a with to is as a from margin year, revenue As the or driven revenue well a quarter basis higher and longer lower XX booking and advertising versus was by Vrbo the million is by offset for for uplift $XXX XX as a was points our window leverage quarter stays. Total margin percentage reminder, revenue of all quarter year-over-year. largest year-over-year. drove lower revenue combined approximately $XX was third of bookings, points business. Cost basis air million the approximately the The which previously hotel versus sales growth, outperformance impacts X% summer Vrbo the growth business, mentioned

our last continue billion, see higher and $X.X was was marketing bookings, Sales third We of deleverage year. the a our up which deliver transactional initiatives our expense efficiencies. Direct business. and due partners growth the percentage strong in to marketing in ongoing versus quarter to gross commissions primarily from to XX% as sales BXB

previously, stated paid a are sales are commissions partners percentage our more business. have and our line expensive to in and BXB of our we As than as BXC direct marketing revenue

contractually paid are on are to the basis they state agreed percentages, and returns guaranteed immediate. generally because more upon a However,

BXC our and growth market improving into as our to in we drive Vrbo reinvested also back international markets business We deleverage saw some and expansion. global

driving million in by primarily to and rationalize Excluding in these actions people $XX or versus pleased We well as saw of points and This X%. driven and our strong committed expenses see head investments, quarter from to costs leverage. as expense to resulted business. Overhead product our of a our overall another XX we count, year P&L, strong control. marketing tech overhead basis last were across our of remain efficiencies reduced we're approximately BXC costs lower $XXX leverage leverage, and million, decrease

line, margin bottom approximately delivered effective was This due XX.X%, third slightly up billion, year-over-year. the X% basis than XX management. better quarter expected we with of $X.XX EBITDA which On points deleveraging was year-over-year our EBITDA an expense to of

EBIT includes points depreciation performance, quarter. million year-over-year EBIT far our $XXX XXX basis impact the with As which of of we amortization, margin as a in approximately compensation, of delivered third the stock-based XX%, and deleveraging

This quarter's increase the drove in results Chairman's Vice vesting our $XX of which a million onetime included accelerated former stock-based compensation. RSUs,

would quarter. basis year-over-year Excluding approximately EBIT this XX acceleration, leveraged have this points in

free year-to-date at Our up lower driven flow primarily year-over-year, cash higher EBITDA capital $X.X X% remained by robust billion, expenditures. and

credit We ended liquidity and cash quarter billion. of of $X.X driven $X.X the Moving line balance undrawn strong on to by billion of $X.X our our with balance sheet. revolving our of billion, unrestricted

of X.X%. Our debt remains at billion level cost $X.X an average approximately with

progress target ratio strong further ratio at make by towards Our Xx, growth. gross of reduced our driven our to ongoing X.Xx leverage continues gross EBITDA leverage a

enabled strong our $X.X or million position us addition, year-to-date. billion shares to repurchase cash In XX

our remains long-term of We continue our undervalued the and performance not to believe that stock reflect does expected business.

As on expect utilize and such, approximately power remaining authorization. repurchase we billion share the to we our stock our business continue strong to have of buy cash opportunistically, our back to $X.X generating

Moving our quarter for fourth the and year. outlook now to full

growth to revenue bookings earnings. gross business, more our in growth less X% a reminder, to to growth year. X% to for and our outlook bookings last as fourth We the is more expect of prior in contributes air The which quarter the and due versus to expectations to relative a favorable higher be range

we As international to we lean growth, with line and about investments and relatively point margins as revenue our bookings our to be in expect a markets. gross and into EBIT be we lower X expect will result, growth Vrbo EBITDA than marketing to last continue in year

we strong be Expedia to and growth to raising improved approximately are now expect well our strong now business third remains full as our year be our revenue fourth XXXX levels. approximately our we versus acceleration of are up from margins the guidance. versus improvement bookings quarter X% our expect prior results and year. In of on relative third EBITDA year, growth to last outlook, outlook, We Based now we prior BXB, versus year, our our EBIT with guidance pleased year full up point X Moving outlook. last quarter quarter gross to and and performance, flat X% And slightly at continued as growth outlook of last including an the our BXC closing, our Brand advertising.

give against opportunity execution position, combined strong confidence initiatives, growth shareholder long-term Our ongoing profitable our with our deliver our financial and returns. to in us growth

let full us the thank a these Before be associates and gives with deliver able beyond. And I the confidence quarter and and to third that, for deliver results, the our has ongoing to to questions. dedication me Expedia to want for enabled I us up results year call questions, open call extend their big support, our and for also you open to which partners

Deutsche Our for from today Instructions] of question Lee comes Horowitz Bank. first [Operator

deliver back big rates -- to that investment be the you. you get working marketing investments about on markets. I business? need expect, to international brands. at I on know year Maybe those ex presumably, to Vrbo leverage levels market you'll perhaps forward? you'd deliver and should not these your think for Vrbo marketing able bids aggregate back this go with can for to ability we before a is they're year remain how pleasure a common whole you invested. Do But guess marketing the level to leverage Julie,

in we commissions marketing a sales as I are BXB said, mean, line. that From and leverage perspective, Yes. obviously,

you seen international But those Vrbo business, line. does put pressure growth ex speak of in have So investments level we if their given and BXC markets, just a on that that leverage.

expect as businesses essentially, to be need leverage we forward. So to back able we to we we'll see to see get where those some get that them, going

maybe quarter up Any an it opportunity? media white if there? against Great. opportunity is Solutions driver Is the large driving framing expansion strong unpack it you acceleration what's clear Then the with What's is the business the Maybe pricing? you of growth this over what could Where then Is big really the of space? that Ariane, you're of see that? And out Media time? just understanding of your network? how just tougher comps. seeing the

business making have I prepared the the mentioned So sponsored a on like easier we're translates the then marketing partners done effective, the in quite growth, auction. At display sort which mentioned, things such more are are listing we into as as them, ads process, of and time, on same we've a lot remarks, ads like, bring sign-up On testing I both And the the even more of sponsored business. activities partners got and listings. especially a those of to that work the doing that to bit in we've video participating, pricing. more new

listing be a years big there to and in got think see overall other the big revenue we've I bit at as compare continues to quite percentage advertising our retail a on of So to opportunity and of can of to display. And if look a space the grow sort you white you on sponsored come. that that order in companies, some

comes question Fitzgerald. Deepak of next from Cantor Mathivanan Our

Maybe with I'll Vrbo. start

on to about think about grow how you for margins the I'm of business side required has you're not that that's on question, providers modest But XXXX. accommodations should the seeing accelerate maybe to growth, implications that and from and par required second the Now Ariane, to kind cost results the to ready kind rates for returned what there? And alternative maybe is discuss of get maybe comment we further business with if of sure the qualitatively the in some the we're -- further XXXX? then can growth

of a end say and Vrbo adding the been we had at in as the marketing to would a Vrbo Okay. people last And the supply. teams it. a have I year. months. in performing Well, lot the remarks, also my faster, such in on It Perhaps making year through so on of I it went work as have doing with start app couple drove great great the features, would migration this that's why of know, last Saban all black question, the a out; prepared described great product doing I year, slow this campaign Nick work was and conversion. sort saw we campaign call of this

we think the destinations. to to to that that's I continue continuing continuing internationally. about we're as Vrbo forward, supply formula that in we're would say urban we've more in going the that As marketing. need mentioned, having markets of expand new And you I in supply got some improve product, underpenetrated great and the

So we who's General what are Manager Vrbo, longer-term in, looking new we're have who's running a growth the at plans.

it help So thing, doing will that just vacation I'd Vrbo to Expedia. growth. And layered will opportunity in us concerted drive to right have work turn Expedia. a the also We've the confident servicing, where will on that for on help that company on going like to a formula we sell communications I'm of well will one on on so that add which on sell the we we're all And Brand vacation market well -- Brand basic on the is top is, rentals be effort big, us now work what rentals other rentals years sell vacation had Expedia. made haven't last few the much as then and as again, Vrbo all on the we

line. commentary And on the generally updates call that And not to be next and to give as both happen on going then cost see, But top would getting out you yes, biggest -- plays But going the that move is with year. Obviously, as we've we knows, very as plan will more revenue clearly, that call. and of continue the to this for marketing next forward line are line. just sales focused done everyone -- far progress cost top We'll on is I incredible line, bottom can we're line. of as made growth that. providing the and XXXX, I say overhead with the on into a for what play on we any bottom think as -- we're

repeat get seeing more they direct as be more we be, up to able businesses And product we've need in back the and, so where and to drive as and efficiencies to as therefore, optimized should more, drive starts behavior been Brand these marketing get Expedia. we to more,

next question Barclays. Trevor comes Our Young of from

rate. modest just was the July one, still First the quarter. the just around positive the throughout last quarter? to relative wasn't out at on speak Can cadence exit called think to the It increment Vrbo the quarter Was back actual some had positive growth clear whether to June Vrbo still in you of the And then I issues. positive weather for similarly October, start of you XQ? here

great we're But out Yes, that business we're you going comps, to think monthly the continuing is give to is if accelerate. I of sort will. thing that the not what is seeing

as you to -- quarter, say forward. I But from and create the mean when in some results. July, bumpiness things I incredible the saw we move business we acceleration out accelerate. certainly, that by hurricanes that of point of we saw impacted coming So that definitely are out would that

this cut or one anticipated maybe you into now been new when role. few maybe as for highlight X helpful. Ariane, stood surprises challenging you one more out had than things the Can into first maybe roughly a positive And X X months you. seat? that That's that and you're have you picture you bigger to things

Sure.

I and knew running the think because part private the I've those a and supply been business of the the I business quite -- for obviously label well advertising look, company BXB, the it knew part I've closer that's business, period management and last the X gotten that time. of the in to months. in much consumer been I've team the well, I The while

and much Hotels.com love X I would Expedia, is and say, big just for is brands, how positive there the On awareness Vrbo. passion and our

sort there So of that's sort much of how there. the just love is positive is surprise

it of to is the to what's appreciated really when on had and QX, directly seen platform, see work quite organization faster we've it's enabling quickly the from now all are been and On that's Hotels.com those customer again, our technology daily the done -- we've is how have QX improvements business the to at in and wonderful is the to way what the get to we me the what's that had that. like. that we're just the is, innovate needed value of and and brands Vrbo. And tougher to on the what connecting can that to -- well work proposition propositions, I into I and that in connecting brand into consumer think in QX the X look to product and identity our we I'm that I Expedia, us But been that confidence And the done brands appreciating that sort responding acceleration, real the future. platform themselves, what do the value and is gives the marketing do

Our Cunningham next from of Melius question Conor Research. comes

Vrbo. to add from Expedia rooms On X to the million move

for And is as than in Just forward that curious from urban there that outcome. then on something is more you're market think about that before? And what supply a move? focusing returns bit little drove you on the additional Vrbo, going any difference is

Thanks question. for the

a had is -- over And that So inventory from million to X them about units this the bit on these that's been inventory -- and we listed different we are Expedia, other had on we the that moved little Vrbo. took Vrbo.

be it's brand before. historically, UX said market that's after remarks, been them. But discovering the there's prepared beach than a I can mountain go to the at still shopping what's pattern true think -- for design, like. that's we'll been part the us be there, of we right has to allowed a in that the more grow looking out and tended has what's actually as grow. to us needed Vrbo and we on we've that that's we've where we've and seen to else and for stay urban, shorter of people also the that, So and And And in sort opportunities figure

have a it going whole want them. they're Again, and is apartments. different won't early there to that inventory. that and what come Vrbo, that supply In they're cash, that it's have full homes Key terms get they us is their understand looking of have they make One returns? part for that redeem we -- brand, the know shared spaces. days to do to sure can they'll They'll But fulfill we of They of exploring are people for Vrbo whatever ultimately, for in when the to

Okay. you Helpful. you just And talks curious little just just on then talked rate was you about touched competitor products. or attach about the a on travel unpack I that bit you you strategy up And that. is your -- other lot little obviously on but bit list? at -- of where a could lot more. Obviously, on, a priority And stack the it top the does up a that have going of where if think?

multiple DNA Brand is items multi core trip is of Brand in Selling business. of Expedia. line Thanks the the Expedia question. a for

car, activities, So that. air, hotel, of all cruise, is

same And packaging actual product attaching long you attach, when whether it's to and have so a history of time. the or the at able add another X doing we dynamic being with start

the would travel, package only I I the is but over of been always time, the at the and also on. It's also certainly we not design, something our dynamic strategy the highlighted that's in So in for Expedia. recommendations. in continue UX multi-item improved but core attach the the to say work growth

what's to by recommend category and item. traveler personalize by next best a being So thing also to able to the

It's of to would I is important by saying a guess it I conclude part core So Brand Expedia. just us.

comes question of Naved Riley. next B. from Our Khan

sort the from for this further Ariane, improvement you One Key what levels? sort last that's that point own year? program the So improvement users. drive are question. you shared a things versus control compare you repeat one that your of in stat about us rates kind So How XXX basis expectations launched when to with does of And of these

BXB, The it's seeing other I on growth. had maybe is one just -- really strong

us of the drive traction. continue that the a to sense it looks pipeline like give strong here, Just what can

Yes.

the summer in It's One of So I'd -- been it right? launched 'XX. on say Key, we

So we've so but members. prepared gold far. seeing shared our in room nights. tiered been of remarks. of everywhere, They're some so say member especially platinum the the my available travelers, pleased and but with stats I'd with pleased silver, the about XX% our results our that's of XX% we're we're I deals, that,

travelers also, new looking One on brands earning for as One Key key, cross-sell cash are last And other actually of to redeeming launched across shared I are quarter, net we We it Vrbo. their our on we're when Vrbo brands. XX% after the who

giving the we So that's great say didn't before. I'd is Key technology have us that finally, One capabilities we're seeing. And that

things cash us time promotional date, lot and So short purchases more which to work the of order has tune been value One that by we're geography. a brand expiry like Key in drive to by window. At to proposition gifting positives, to a there's the an continuing that of same in sort be allows

So that know we Vrbo Vrbo, shopping driving travelers, earn but we're of new for impact XQ still every example, I day. said is traveler the assessing on on decisions

making the our and good the Julie it. built, sure same is spend are the marketing that is revenue. configure it, the us And in that we interrogating spend the the like, the program, obviously, So Key and on as loyalty way technology contra way talked able program. our And to we tune allows through news the One it's we're in to do

So One Key. that's for would what say I

question the about BXB. On

quarter. business that travel agencies, corporate We has quarter at travel off-line only As agencies, travel agencies, XX% a we massive programs. the you growth, from BXB online down had have point X with loyalty can said, their own And another strong institutions work last financial market.

at true the set a grown it's last rate. quarters, elevated of So it's very

continue was that elevated it if of healthy that we've in business. the levels Asia rates, We be We believe seen. back. that to double-digit really will at this not coming even perhaps believe Some was

Mahaney Our next question ISI. comes from Mark Evercore of

to Riddick, California, Congrats of And love on is U.S. as quarter. We This situations speaking hear Mahaney. the just cetera? are broader Hawaii, these Austin actually or Mark out it do you of for market, one-off accommodations recent the if a basically coming alternative relates trend? on the would sort the your updates regulatory particularly to think thoughts et

to government we up, abreast make into consideration. obviously sure say of the that but just would those local I regulations. taking We're So with all we're work

to our following there's big the think always out not growth hotels But there like alternative economy potential. is believe the our impacting view we just like, for and accommodations, balance of there a market and contribution there's I the regulations. that's and the local for between a

Oppenheimer. question comes from of Kelly next Jed Our

You give mentioned and replatformed I program didn't the then of how that's integrating talk update Vrbo Can of U.K.? with Brand the performing loyalty you U.S. a Expedia. about you've on to us hear an Hotels.com. since with sort integrate outside mention Can And Vrbo you BXB? the opportunity

vacation we On have Thanks question. our using a Yes, Rentals, bigger few said, yes, are as who opportunity. we do have some Vacation on BXB, the rental we sure. are already and we think there's I rental -- for partners inventory. Expedia, inventory On vacation a

imagine, As selling is the on communication and you can on from the for between is vacation some Requirements traveler that there complexity example. owner, rentals, hotels. different

able travelers to be to our that sure partners it. owners. experience And to going great to to We we're traveler so hosts deliver and a we're and our BXB want testing make

So in that as long-term. I the an see do opportunity

BXB a the this top? But of opportunity for our real on that list us. this the after, going not. me ask at priorities is in business the long-term, is is you If Probably

terms has it strong And recognition QX by base. that change I'd this was customer a in large performance to loyalty but The was our a start reminding in migration, is by us international Hotels.com, very In our and brand returned brand this of impacted our was a growth. brand very stable, hasn't program that by pullback. and

into got Manager a and fresh set a going I'm excited in of really international, we to to place do the with new brand with at we've back is come. Now General who's he's about are what And benefiting. eyes, looking Hotels.com as the this in going quarters

Our next from of Kopelman Securities. question TD comes Kevin

in This for Jacob is Kevin.

share quarter-to-date in markets? consumer seeing your You international impact And you the on talk trends more regain you're give your hurricane color efforts October, and in can but what mentioned to brands? about across maybe

Yes. anything impact be thought I material, saw an in that definitely Milton. it's from but We Hurricane would not it originally. October would say that we But

business we So the out picture for election, came And cetera, hurricane things is if underlying than of et actually the the for take the like reality strong. are it better of things you the being in health seeing expectations. our the really that

fourth to excited we're So we've see those into quarter. entered the as

we're the looking order it. which brand said strength surgical in share, quite going in we being start regain international, And has and understanding market surgical. sorry, to We're being about to last brands then with then -- quarter, of we're marketing on as plan market-by-market, our there, full plan funnel but a

Post of Anthony next of Bank comes question America. from Our

But you take already. know it's wanted efficiencies marketing. big long-term? the into and I selling think been apologize, to you competitors? And that I is about of costs how you out, a BXB there. there contributor out there that over when think asked you back I can get versus are do But your

mean, I that is I opportunity us. say an Yes. would for that,

Ariane has interrogate that in to I said line. want think we the past every

at. delivering it we And we're efficiencies. And so something that is are looking

into think, And same we've said, the in as time you and investing we've seeing investment, particularly actually exclude Vrbo back if are Expedia. Brand we I markets. obviously, been that efficiencies, at international

to is this so more of on to behavior value encourages we traveler that about supply when to back as getting the our to we to to need be other able them have incredible direct. able flywheel they getting think that these time, an opportunity and back the optimizing efficiencies happens. to be, to deliver to the businesses And where of sort same be product, these sites that all return putting us more for repeat to At businesses the and and deliver be need we the together

is on are And it's start see starts we that leverage. some also when focused something But that laser when to happen to forward. going that we'll certainly of so

have questions. this time, At we further no

to further So remarks. I'll any Ariane CEO, call the for Gorin, turn over

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