On November 6, 2019, after the market close, Expedia issued a press release for its third quarter financial results disclosing a 22% decrease in net income year over year. Following this news, the price of Expedia shares fell over 27%.
Then, on December 4, 2019, the Company announced the resignation of both its Chief Executive Officer and its Chief Financial Officer. Regarding these resignations, Barry Diller, Chairman of the Board, stated “Ultimately, senior management and the Board disagreed on strategy. Earlier this year, Expedia embarked on an ambitious reorganization plan with the goal of bringing our brands and technology together in a more efficient way. This reorganization, while sound in concept, resulted in a material loss of focus on our current operations, leading to disappointing third quarter results and a lackluster near-term outlook.”