Travel giants show positive results

Demonstrating the unstoppable consumer appetite for travel, the online sector grew in the third quarter of 2025, posting financials that really surprised analysts. Despite some ongoing global challenges – economic uncertainty and inflation, among others – major players such as Expedia Group, Booking Holdings, and Airbnb each reported significant growth in key segments. It has shown continued strong interest for both leisure and business travel. Covering the early summer months from July to September, these results suggested that a sector is not just improving but is starting to look positive.

Expedia Group: Significant successes in both B2B and B2C

Expedia Group, one of the travel giants, had an impressive start to the earnings season, actually beating profit and revenue estimates. The online travel agency raked in $4.4 billion in revenue, a comfortable 9% year-over-year increase. This growth was thanks to two related forces: business-to-business (B2B) sales rose 26%, reflecting a significant recovery in corporate travel, while business-to-consumer (B2C) bookings increased 7%, as leisure travelers sought to expand.

Taking a closer look, Expedia’s gross bookings—the total value of processed travel reservations—reached $30.7 billion, a 12% increase over last year. Overnight stays booked increased by 11%, indicating that travelers are opting for longer, more involved trips. On the profitability side, adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) rose 16% to $1.4 billion, showing effectiveness even with rising costs.

According to Expedia’s CEO, Erin Goren, this success was due to “strategic investments in technology and partnerships”, which improved the booking process and expanded their market. The company is now focusing on the holiday season, with its results positioning Expedia as a leader.

Booking Holdings: Summer demand leads to bookings

Similar to Expedia’s positive results, Booking Holdings – which includes Booking.com and Kayak, among others – reported results that pleased Wall Street. The travel giant’s gross bookings reached $49.7 billion, a 14% year-over-year increase, as a significant number of travelers booked accommodations around the world during the critical summer months.

Interestingly, room nights (used to represent overnight stays) grew by 8%, particularly in Europe and Asia-Pacific, where significant demand from recent years has finally been released. The company achieved this despite major economic headwinds such as volatile currency fluctuations and geopolitical pressures, but a diversified booking portfolio ultimately proved valuable.

Executives at the company are optimistic about the rest of the year, citing “healthy global travel trends” as a benefit. Booking’s focus on easy-to-use innovations, such as AI personalization, helps set it apart, ensuring relatively smooth travel even under potentially difficult conditions.

Airbnb: Global markets and flexible payment options are growing

Airbnb, always known for doing things differently, completed a positive trend with a quarter that combined significant international expansion with continued gains in the United States. Revenue rose 10% to $4.1 billion, while gross bookings rose 14% to $22.9 billion — the most for any Q3 in the company’s history. Nights and experiences booked (a metric that includes stays and additional activities) increased by 9%, showing how travelers want to combine relaxation and adventure.

Net income remained flat at $1.4 billion, in line with last year, as the platform increased marketing spend. However, the real story is in global growth, with India showing consistent success. New user registrations increased significantly by 50%, driven by the growing middle class and Airbnb’s localization strategies.

In the United States, Airbnb responded to economic concerns by introducing a “book now, pay later” option, allowing guests to spread payments over time. This is especially true for those concerned about inflation.

The travel sector continues to recover, seemingly recession-proof, with domestic travel remaining surprisingly strong thanks to platforms such as Airbnb. This is largely due to strategies aimed at reducing concerns about competence. In fact, CEO Brian Chesky characterized the latest performance as a “major step” toward a more sustainable model. The company, in addition, is actively expanding long-term housing options and special “experience” offers.

The future of travel giants: a bright horizon

Overall, financial reports suggest continued growth in the travel industry – averaging 10% to 14%. Booking and accommodation prices are high. Advantage, in most cases, is to maintain a strong position. At the same time, there is a significant shift towards international travel destinations. Demand is particularly strong in places like India. These developments can be taken together to suggest that the recovery will not end anytime soon.

Looking ahead, companies seem to remain cautiously optimistic. Expedia, Booking, and Airbnb are well positioned, although awareness of factors such as interest rates continues, which may apply some downward pressure. However, it seems that the sector is poised for further growth. It is worth noting that the human desire to explore the world seems to be taking a toll on economic stagnation.