Austin Riddick

Austin Riddick from Evercore ISI inquired about the potential vulnerability of FirstDib's organic traffic, which constitutes over 70% of total traffic, to the increasing prevalence of AI-driven search results and chat interfaces.

Answer

CEO David Rosenblatt acknowledged that AI and chatbots will likely have a significant long-term impact on traffic. However, he clarified that to date, the company has not observed any material impact on its organic search traffic or key search terms, but confirmed it remains an area of active surveillance.

Austin Riddick of Evercore inquired about the primary levers, outside of macroeconomic factors, that could drive adjusted EBITDA toward profitability and how the company balances these measures with growth investments.

Answer

CFO Thomas Etergino stated that the key to achieving breakeven and positive adjusted EBITDA is sustained revenue and GMV growth. He emphasized that the company remains disciplined on expenses and has structured its 2025 cost base to deliver operating margin leverage at mid-single-digit revenue growth.

Speaking for Mark Mahaney, Austin Riddick asked for Expedia's perspective on the U.S. alternative accommodations market, particularly concerning recent regulatory changes in states like California and Hawaii, and whether these are isolated incidents or a broader trend.

Answer

CEO Ariane Gorin stated that the company actively works with local governments to balance regulatory compliance with the economic contributions of travel. She affirmed that these regulatory developments do not change the company's view of its long-term growth potential in the alternative accommodations market.