NYSE$GBTG

Global Business Travel Group I · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

American Express Global Business Travel reported strong revenue growth and positive year-to-date cash generation.

American Express Global Business Travel reported a strong Q3 2023 with a 17% increase in revenue and a 135% increase in Adjusted EBITDA compared to Q3 2022. The company also generated positive free cash flow and lowered its leverage ratio. They are reiterating their full-year 2023 revenue and Adjusted EBITDA guidance ranges and now expect positive Free Cash Flow for the full year.

  • Revenue increased by 17% compared to Q3 2022.
  • Adjusted EBITDA grew by 135% versus Q3 2022.
  • Free Cash Flow was positive on a year-to-date basis, exceeding expectations.
  • The company lowered its leverage ratio to 2.7x.

Headline financials

Total Revenue

$571M

Previous: $488M+17.0%
EPS (adj)

-$0.02

Previous: -$0.43+95.3%
Adjusted EBITDA margin

17.0%

No prior period
Capital Expenditures

-$87M

Previous: -$73M-19.2%
Free Cash Flow

-$95M

Previous: -$146M+34.9%
Net Income

-$8M

Previous: -$73M+89.0%
Operating Income

-$4M

Previous: -$45M+91.1%
Gross Profit

-$11M

Previous: -$6M-83.3%
Cash & Equivalents

$432M

Previous: $312M+38.5%
Total Assets

$3.88B

Previous: $3.7B+4.9%
R&D Expense

$101M

No prior period
Stock-Based Comp

$19M

Previous: $15M+26.7%

Revenue & EPS history

GBTG · Revenue · Quarterly

$571M

Q3 2023+17%vs Q3 2022
Beat estimate in 8 of 14 quarters(57%)
ActualEstimate

Revenue by segment

GBTG · $571M total across 2 segments · Q3 2023

  • Travel revenue
    $455M+17.9%
  • Products & services
    $116M+9.4%

Forward guidance

The company expects to be at the higher end of its revenue guidance range and closer to the midpoint of its Adjusted EBITDA guidance range. They now expect to deliver positive Free Cash Flow for full-year 2023, ahead of previous expectations.

Tailwinds

  • Revenue: $535M – $550M
  • Revenue Growth (Year-over-Year): 2% – 4%
  • Adjusted EBITDA: $75M – $85M
  • Adjusted EBITDA Margin: 14% – 15%
  • Free Cash Flow: Positive

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 13 quarterly earnings reports · overlaid with Q3 2023

Historical avgQ3 2023

+0.0%

Avg return

Earnings day

-2.7%

Avg return

5 days after

+4.1%

Avg return

30 days after

30%

6 / 20 earnings

Positive

+16.7%

Q2 2024

Best reaction

-10.4%

Q1 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.6%-1.2%-1.2%
Q4 2025+1.4%-3.1%-3.8%
Q3 2025-3.8%-9.8%-1.0%
Q1 2025-10.4%-15.4%-5.7%
Q4 2024-5.9%-6.3%-14.6%
Q3 2024+0.7%+7.6%+23.0%
Q2 2024+16.7%+9.8%+17.1%
Q1 2024-4.3%-4.0%+5.9%
Q4 2023-0.5%-1.6%+5.3%
Q3 2023+2.4%-2.0%+10.7%
Q2 2023+7.5%+6.3%-13.3%
Q1 2023+9.0%+8.7%+39.5%
Q4 2022-10.0%-12.3%-4.3%
Q3 2022-0.2%-14.0%-0.2%
Q2 2022
Q1 2022-0.2%
Q4 2021+0.0%
Q4 2020-0.3%
Q3 2021-0.1%
Q2 2021+0.0%
Q1 2021-0.8%
Q3 2020

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