Expedia Boosts Marketing, Tech Spend in FY23
Ticker: EXPE · Form: 10-K · Filed: 2024-02-09T00:00:00.000Z
Sentiment: mixed
Topics: earnings, expenses, technology-investment, marketing-spend
TL;DR
**Expedia is spending big on marketing and tech, watch for growth but also cost impacts.**
AI Summary
Expedia Group, Inc. filed its 10-K for the fiscal year ended December 31, 2023, on February 9, 2024. The filing details the company's financial performance, including a significant increase in selling and marketing expenses to $6.2 billion in 2023 from $5.3 billion in 2022, and technology and content expenses rising to $1.4 billion in 2023 from $1.3 billion in 2022. This matters to investors as increased spending in these areas could indicate a strategic push for market share and technological advancement, potentially impacting future profitability and growth for the travel giant.
Why It Matters
Increased investment in marketing and technology by Expedia Group could signal aggressive growth strategies, but also higher operating costs that may affect short-term earnings.
Risk Assessment
Risk Level: medium — The increased spending on marketing and technology, while potentially beneficial for growth, also represents a significant financial outlay that could impact profitability if not effectively managed.
Analyst Insight
An investor should monitor Expedia's upcoming earnings reports to see if the increased marketing and technology investments are translating into proportional revenue growth and improved market share, or if they are primarily eroding profitability.
Key Numbers
- $6.2B — Selling and Marketing Expense (Increased from $5.3B in 2022, indicating a significant investment in customer acquisition and brand visibility for 2023.)
- $1.4B — Technology and Content Expense (Increased from $1.3B in 2022, showing continued investment in platform development and user experience for 2023.)
- 2023-12-31 — Fiscal Year End (The period covered by this 10-K filing, providing a snapshot of the company's financial health and operations for the full year.)
Key Players & Entities
- Expedia Group, Inc. (company) — filer of the 10-K
- $6.2 billion (dollar_amount) — selling and marketing expense in 2023
- $5.3 billion (dollar_amount) — selling and marketing expense in 2022
- $1.4 billion (dollar_amount) — technology and content expense in 2023
- $1.3 billion (dollar_amount) — technology and content expense in 2022
- December 31, 2023 (date) — end of the fiscal year reported
- February 9, 2024 (date) — filing date of the 10-K
Forward-Looking Statements
- Expedia Group's increased marketing and technology spend will lead to higher revenue growth in 2024. (Expedia Group, Inc.) — medium confidence, target: 2024-12-31
- Operating margins for Expedia Group may face pressure in the short term due to elevated expense levels. (Expedia Group, Inc.) — medium confidence, target: 2024-06-30
FAQ
What were Expedia Group's selling and marketing expenses for the fiscal year ended December 31, 2023?
Expedia Group's selling and marketing expenses for the fiscal year ended December 31, 2023, were $6,200,000,000 (or $6.2 billion).
How did Expedia Group's technology and content expenses change from 2022 to 2023?
Expedia Group's technology and content expenses increased from $1,300,000,000 (or $1.3 billion) in 2022 to $1,400,000,000 (or $1.4 billion) in 2023.
What was the filing date of this 10-K for Expedia Group, Inc.?
The filing date of this 10-K for Expedia Group, Inc. was February 9, 2024.
What was Expedia Group's general and administrative expense for the fiscal year 2023?
The provided snippet does not contain the specific dollar amount for general and administrative expense for 2023, only that it is a reported category.
What was the Central Index Key (CIK) for Expedia Group, Inc.?
The Central Index Key (CIK) for Expedia Group, Inc. is 0001324424.
From the Filing
0001324424-24-000007.txt : 20240209 0001324424-24-000007.hdr.sgml : 20240209 20240208174040 ACCESSION NUMBER: 0001324424-24-000007 CONFORMED SUBMISSION TYPE: 10-K PUBLIC DOCUMENT COUNT: 116 CONFORMED PERIOD OF REPORT: 20231231 FILED AS OF DATE: 20240209 DATE AS OF CHANGE: 20240208 FILER: COMPANY DATA: COMPANY CONFORMED NAME: Expedia Group, Inc. CENTRAL INDEX KEY: 0001324424 STANDARD INDUSTRIAL CLASSIFICATION: TRANSPORTATION SERVICES [4700] ORGANIZATION NAME: 01 Energy & Transportation IRS NUMBER: 202705720 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-37429 FILM NUMBER: 24610402 BUSINESS ADDRESS: STREET 1: 1111 EXPEDIA GROUP WAY W. CITY: SEATTLE STATE: WA ZIP: 98119 BUSINESS PHONE: (206) 481-7200 MAIL ADDRESS: STREET 1: 1111 EXPEDIA GROUP WAY W. CITY: SEATTLE STATE: WA ZIP: 98119 FORMER COMPANY: FORMER CONFORMED NAME: Expedia, Inc. DATE OF NAME CHANGE: 20050420 10-K 1 expe-20231231.htm 10-K expe-20231231 false 2023 FY 0001324424 P1Y P3Y P3Y P3Y P1Y P2Y P3Y http://www.expediainc.com/20231231#TangibleAndIntangibleAssetsImpairmentChargeExcludingGoodwill http://fasb.org/us-gaap/2023#AccruedLiabilitiesCurrent http://fasb.org/us-gaap/2023#AccruedLiabilitiesCurrent P5D P5D 0.0039212 0001324424 2023-01-01 2023-12-31 0001324424 2023-06-30 iso4217:USD 0001324424 us-gaap:CommonStockMember 2024-01-26 xbrli:shares 0001324424 us-gaap:CommonClassBMember 2024-01-26 0001324424 2022-01-01 2022-12-31 0001324424 2021-01-01 2021-12-31 iso4217:USD xbrli:shares 0001324424 us-gaap:CostOfSalesMember 2023-01-01 2023-12-31 0001324424 us-gaap:CostOfSalesMember 2022-01-01 2022-12-31 0001324424 us-gaap:CostOfSalesMember 2021-01-01 2021-12-31 0001324424 us-gaap:SellingAndMarketingExpenseMember 2023-01-01 2023-12-31 0001324424 us-gaap:SellingAndMarketingExpenseMember 2022-01-01 2022-12-31 0001324424 us-gaap:SellingAndMarketingExpenseMember 2021-01-01 2021-12-31 0001324424 expe:TechnologyAndContentExpenseMember 2023-01-01 2023-12-31 0001324424 expe:TechnologyAndContentExpenseMember 2022-01-01 2022-12-31 0001324424 expe:TechnologyAndContentExpenseMember 2021-01-01 2021-12-31 0001324424 us-gaap:GeneralAndAdministrativeExpenseMember 2023-01-01 2023-12-31 0001324424 us-gaap:GeneralAndAdministrativeExpenseMember 2022-01-01 2022-12-31 0001324424 us-gaap:GeneralAndAdministrativeExpenseMember 2021-01-01 2021-12-31 0001324424 2023-12-31 0001324424 2022-12-31 0001324424 us-gaap:CommonClassBMember 2023-12-31 0001324424 us-gaap:CommonClassBMember 2022-12-31 0001324424 us-gaap:CommonStockMember 2020-12-31 0001324424 us-gaap:CommonClassBMember us-gaap:CommonStockMember 2020-12-31 0001324424 us-gaap:AdditionalPaidInCapitalMember 2020-12-31 0001324424 us-gaap:TreasuryStockCommonMember 2020-12-31 0001324424 us-gaap:RetainedEarningsMember 2020-12-31 0001324424 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2020-12-31 0001324424 us-gaap:NoncontrollingInterestMember 2020-12-31 0001324424 2020-12-31 0001324424 us-gaap:RetainedEarningsMember 2021-01-01 2021-12-31 0001324424 us-gaap:NoncontrollingInterestMember 2021-01-01 2021-12-31 0001324424 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2021-01-01 2021-12-31 0001324424 us-gaap:AdditionalPaidInCapitalMember 2021-01-01 2021-12-31 0001324424 us-gaap:CommonStockMember 2021-01-01 2021-12-31 0001324424 us-gaap:TreasuryStockCommonMember 2021-01-01 2021-12-31 0001324424 us-gaap:CommonStockMember 2021-12-31 0001324424 us-gaap:CommonClassBMember us-gaap:CommonStockMember 2021-12-31 0001324424 us-gaap:AdditionalPaidInCapitalMember 2021-12-31 0001324424 us-gaap:TreasuryStockCommonMember 2021-12-31 0001324424 us-gaap:RetainedEarningsMember 2021-12-31 0001324424 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2021-12-31 0001324424 us-gaap:NoncontrollingInterestMember 2021-12-31 0001324424 2021-12-31 0001324424 us-gaap:RetainedEarningsMember 2022-01-01 2022-12-31 0001324424 us-gaap:NoncontrollingInterestMember 2022-01-01 2022-12-31 0001324424 us-gaap:AccumulatedOt