Stock Analysis on Net

Expedia Group Inc. (NASDAQ:EXPE)

This company has been moved to the archive! The financial data has not been updated since May 3, 2022.

Analysis of Goodwill and Intangible Assets

Microsoft Excel

Goodwill and Intangible Asset Disclosure

Expedia Group Inc., balance sheet: goodwill and intangible assets

US$ in millions

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Goodwill 7,171 7,380 8,127 8,120 8,229
Intangible assets with indefinite lives 1,166 1,183 1,284 1,400 1,479
Customer relationships 565 638 658 659 665
Supplier relationships 626 661 651 650 655
Domain names 164 173 183 159 132
Other 1,016 1,075 1,092 994 984
Intangible assets with definite lives, cost 2,371 2,547 2,584 2,462 2,436
Accumulated amortization (2,144) (2,215) (2,064) (1,870) (1,606)
Intangible assets with definite lives, net 227 332 520 592 830
Intangible assets, net 1,393 1,515 1,804 1,992 2,309
Goodwill and intangible assets, net 8,564 8,895 9,931 10,112 10,537

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

Item Description The company
Goodwill Amount after accumulated impairment loss of an asset representing future economic benefits arising from other assets acquired in a business combination that are not individually identified and separately recognized. Expedia Group Inc. goodwill decreased from 2019 to 2020 and from 2020 to 2021.
Intangible assets, net Sum of the carrying amounts of all intangible assets, excluding goodwill, as of the balance sheet date, net of accumulated amortization and impairment charges. Expedia Group Inc. intangible assets, net decreased from 2019 to 2020 and from 2020 to 2021.
Goodwill and intangible assets, net Sum of the carrying amounts of all intangible assets, including goodwill, as of the balance sheet date, net of accumulated amortization and impairment charges. Expedia Group Inc. goodwill and intangible assets, net decreased from 2019 to 2020 and from 2020 to 2021.

Adjustments to Financial Statements: Removal of Goodwill

Expedia Group Inc., adjustments to financial statements

US$ in millions

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Adjustment to Total Assets
Total assets (as reported) 21,548 18,690 21,416 18,033 18,516
Less: Goodwill 7,171 7,380 8,127 8,120 8,229
Total assets (adjusted) 14,377 11,310 13,289 9,913 10,287
Adjustment to Total Expedia Group, Inc. Stockholders’ Equity
Total Expedia Group, Inc. stockholders’ equity (as reported) 2,057 2,532 3,967 4,104 4,522
Less: Goodwill 7,171 7,380 8,127 8,120 8,229
Total Expedia Group, Inc. stockholders’ equity (adjusted) (5,114) (4,848) (4,160) (4,016) (3,707)
Adjustment to Net Income (loss) Attributable To Expedia Group, Inc.
Net income (loss) attributable to Expedia Group, Inc. (as reported) 12 (2,612) 565 406 378
Add: Goodwill impairment charges 14 799 86
Net income (loss) attributable to Expedia Group, Inc. (adjusted) 26 (1,813) 565 492 378

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).


Expedia Group Inc., Financial Data: Reported vs. Adjusted


Adjusted Financial Ratios: Removal of Goodwill (Summary)

Expedia Group Inc., adjusted financial ratios

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Net Profit Margin
Reported net profit margin 0.14% -50.24% 4.68% 3.62% 3.76%
Adjusted net profit margin 0.30% -34.87% 4.68% 4.38% 3.76%
Total Asset Turnover
Reported total asset turnover 0.40 0.28 0.56 0.62 0.54
Adjusted total asset turnover 0.60 0.46 0.91 1.13 0.98
Financial Leverage
Reported financial leverage 10.48 7.38 5.40 4.39 4.09
Adjusted financial leverage
Return on Equity (ROE)
Reported ROE 0.58% -103.16% 14.24% 9.89% 8.36%
Adjusted ROE
Return on Assets (ROA)
Reported ROA 0.06% -13.98% 2.64% 2.25% 2.04%
Adjusted ROA 0.18% -16.03% 4.25% 4.96% 3.67%

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

Financial ratio Description The company
Adjusted net profit margin An indicator of profitability, calculated as adjusted net income divided by revenue. Expedia Group Inc. adjusted net profit margin ratio deteriorated from 2019 to 2020 but then improved from 2020 to 2021 not reaching 2019 level.
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. Expedia Group Inc. adjusted total asset turnover ratio deteriorated from 2019 to 2020 but then slightly improved from 2020 to 2021.
Adjusted ROA A profitability ratio calculated as adjusted net income divided by adjusted total assets. Expedia Group Inc. adjusted ROA deteriorated from 2019 to 2020 but then improved from 2020 to 2021 not reaching 2019 level.

Expedia Group Inc., Financial Ratios: Reported vs. Adjusted


Adjusted Net Profit Margin

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
As Reported
Selected Financial Data (US$ in millions)
Net income (loss) attributable to Expedia Group, Inc. 12 (2,612) 565 406 378
Revenue 8,598 5,199 12,067 11,223 10,060
Profitability Ratio
Net profit margin1 0.14% -50.24% 4.68% 3.62% 3.76%
Adjusted for Goodwill
Selected Financial Data (US$ in millions)
Adjusted net income (loss) attributable to Expedia Group, Inc. 26 (1,813) 565 492 378
Revenue 8,598 5,199 12,067 11,223 10,060
Profitability Ratio
Adjusted net profit margin2 0.30% -34.87% 4.68% 4.38% 3.76%

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

2021 Calculations

1 Net profit margin = 100 × Net income (loss) attributable to Expedia Group, Inc. ÷ Revenue
= 100 × 12 ÷ 8,598 = 0.14%

2 Adjusted net profit margin = 100 × Adjusted net income (loss) attributable to Expedia Group, Inc. ÷ Revenue
= 100 × 26 ÷ 8,598 = 0.30%

Profitability ratio Description The company
Adjusted net profit margin An indicator of profitability, calculated as adjusted net income divided by revenue. Expedia Group Inc. adjusted net profit margin ratio deteriorated from 2019 to 2020 but then improved from 2020 to 2021 not reaching 2019 level.

Adjusted Total Asset Turnover

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
As Reported
Selected Financial Data (US$ in millions)
Revenue 8,598 5,199 12,067 11,223 10,060
Total assets 21,548 18,690 21,416 18,033 18,516
Activity Ratio
Total asset turnover1 0.40 0.28 0.56 0.62 0.54
Adjusted for Goodwill
Selected Financial Data (US$ in millions)
Revenue 8,598 5,199 12,067 11,223 10,060
Adjusted total assets 14,377 11,310 13,289 9,913 10,287
Activity Ratio
Adjusted total asset turnover2 0.60 0.46 0.91 1.13 0.98

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

2021 Calculations

1 Total asset turnover = Revenue ÷ Total assets
= 8,598 ÷ 21,548 = 0.40

2 Adjusted total asset turnover = Revenue ÷ Adjusted total assets
= 8,598 ÷ 14,377 = 0.60

Activity ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. Expedia Group Inc. adjusted total asset turnover ratio deteriorated from 2019 to 2020 but then slightly improved from 2020 to 2021.

Adjusted Financial Leverage

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
As Reported
Selected Financial Data (US$ in millions)
Total assets 21,548 18,690 21,416 18,033 18,516
Total Expedia Group, Inc. stockholders’ equity 2,057 2,532 3,967 4,104 4,522
Solvency Ratio
Financial leverage1 10.48 7.38 5.40 4.39 4.09
Adjusted for Goodwill
Selected Financial Data (US$ in millions)
Adjusted total assets 14,377 11,310 13,289 9,913 10,287
Adjusted total Expedia Group, Inc. stockholders’ equity (5,114) (4,848) (4,160) (4,016) (3,707)
Solvency Ratio
Adjusted financial leverage2

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

2021 Calculations

1 Financial leverage = Total assets ÷ Total Expedia Group, Inc. stockholders’ equity
= 21,548 ÷ 2,057 = 10.48

2 Adjusted financial leverage = Adjusted total assets ÷ Adjusted total Expedia Group, Inc. stockholders’ equity
= 14,377 ÷ -5,114 =


Adjusted Return on Equity (ROE)

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
As Reported
Selected Financial Data (US$ in millions)
Net income (loss) attributable to Expedia Group, Inc. 12 (2,612) 565 406 378
Total Expedia Group, Inc. stockholders’ equity 2,057 2,532 3,967 4,104 4,522
Profitability Ratio
ROE1 0.58% -103.16% 14.24% 9.89% 8.36%
Adjusted for Goodwill
Selected Financial Data (US$ in millions)
Adjusted net income (loss) attributable to Expedia Group, Inc. 26 (1,813) 565 492 378
Adjusted total Expedia Group, Inc. stockholders’ equity (5,114) (4,848) (4,160) (4,016) (3,707)
Profitability Ratio
Adjusted ROE2

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

2021 Calculations

1 ROE = 100 × Net income (loss) attributable to Expedia Group, Inc. ÷ Total Expedia Group, Inc. stockholders’ equity
= 100 × 12 ÷ 2,057 = 0.58%

2 Adjusted ROE = 100 × Adjusted net income (loss) attributable to Expedia Group, Inc. ÷ Adjusted total Expedia Group, Inc. stockholders’ equity
= 100 × 26 ÷ -5,114 =


Adjusted Return on Assets (ROA)

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
As Reported
Selected Financial Data (US$ in millions)
Net income (loss) attributable to Expedia Group, Inc. 12 (2,612) 565 406 378
Total assets 21,548 18,690 21,416 18,033 18,516
Profitability Ratio
ROA1 0.06% -13.98% 2.64% 2.25% 2.04%
Adjusted for Goodwill
Selected Financial Data (US$ in millions)
Adjusted net income (loss) attributable to Expedia Group, Inc. 26 (1,813) 565 492 378
Adjusted total assets 14,377 11,310 13,289 9,913 10,287
Profitability Ratio
Adjusted ROA2 0.18% -16.03% 4.25% 4.96% 3.67%

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

2021 Calculations

1 ROA = 100 × Net income (loss) attributable to Expedia Group, Inc. ÷ Total assets
= 100 × 12 ÷ 21,548 = 0.06%

2 Adjusted ROA = 100 × Adjusted net income (loss) attributable to Expedia Group, Inc. ÷ Adjusted total assets
= 100 × 26 ÷ 14,377 = 0.18%

Profitability ratio Description The company
Adjusted ROA A profitability ratio calculated as adjusted net income divided by adjusted total assets. Expedia Group Inc. adjusted ROA deteriorated from 2019 to 2020 but then improved from 2020 to 2021 not reaching 2019 level.