Expedia (EXPE) Q3 2021 Earnings Call Transcript

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Expedia (NASDAQ:EXPE)
Q3 2021 Earnings Call
Nov 04, 2021, 4:30 p.m. ET

Contents:

• Prepared Remarks
• Questions and Answers
• Call Participants

Prepared Remarks:

Operator

Good day, everyone, and welcome to the Expedia Group Q3 2021 financial result teleconference. My name is Johnny, and I’ll be the operator for today’s call. [Operator instructions] For opening remarks, I will turn the call over to SVP and CFO, retail, Patrick Thompson. Please go ahead.

Patrick Thompson — Senior Vice President, Corporate Finance

Good afternoon, and welcome to Expedia Group’s financial results conference call for the third quarter ended September 30, 2021. I’m pleased to be joined on the call today by our CEO, Peter Kern; and our CFO, Eric Hart. The following discussions, including responses to your questions, reflect management’s views as of today, November 4, 2021, only. We do not undertake any obligation to update or revise this information.

As always, some of the statements made on today’s call are forward-looking, typically preceded by words such as we plan, we expect, we believe, we anticipate, we are optimistic, we’re confident that, or similar statements. Please refer to today’s earnings release and the company’s filings with the SEC for information about factors which could cause our actual results to differ materially from these forward-looking statements. You will find reconciliations of non-GAAP measures to the most comparable GAAP measures discussed today in our earnings release, which is posted on the company’s investor relations website at ir.expediagroup.com. And I encourage you to periodically visit our IR website for other important content.

Unless otherwise stated, all references to cost of revenue, selling and marketing expense, general and administrative expense, and technology and content expense exclude stock-based compensation. And all comparisons on this call will be against our results for the comparable period of 2019. And with that, let me turn the call over to Peter.

Peter Kern — Chief Executive Officer

Thanks, Pat. Thank you all for joining us today. Eric and I will make some brief comments and then, of course, take questions. Let me begin by saying we’re very pleased with the quarter we had in Q3, nearly matching our adjusted net income and EBITDA from 2019.

But I would add that, but for delta, this would have been our most profitable quarter ever, and I think it’s a tremendous milestone for the company to be here while we are still in the throes of COVID and still coming out. And a testament, really, to the work we’ve done to simplify the company, to focus on technology, and to run the business more efficiently. And with that performance and what we’re seeing in the market, we have the confidence to further pay down our preferred stock, which we did a few weeks ago as you would have noted and which, of course, is not a big milestone for us in putting COVID behind…