Sabre (SABR) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue rose 4% year-over-year to $712 million, with Normalized Adjusted EBITDA up 19% to $151 million and positive free cash flow generated.

• Net loss from continuing operations improved to $36 million from $201 million in Q2 2025, reflecting better operating performance.

• Full-year 2026 guidance for Pro Forma Adjusted EBITDA and Free Cash Flow was raised, with revenue and air distribution bookings outlook reaffirmed.

• Corporate travel demand remained resilient, offsetting leisure softness, and Marketplace, hotel, and payment segments all grew year-on-year.

• Sale of Hospitality Solutions business completed in July 2025, with proceeds used to pay down debt and results now presented as discontinued operations.

Financial highlights

• Q2 2026 revenue was $712 million (+4% YoY), with Marketplace revenue up 6% and hotel-related revenue up 11%.

• Normalized Adjusted EBITDA reached $151 million (+19% YoY, margin 21.2%), and Adjusted EBITDA was $143 million (+21% YoY).

• Free cash flow for Q2 was $10 million, a turnaround from negative $240 million in Q2 2025; cash balance at quarter end was $697 million.

• Net loss attributable to common stockholders improved to $36 million from $256 million in Q2 2025.

• Gross margin was 57.1%, at the high end of guidance.

Outlook and guidance

• Full-year 2026 guidance raised for Pro Forma Adjusted EBITDA (~$600 million, +12% YoY) and Free Cash Flow (~-$65 million), with revenue and air distribution bookings growth reaffirmed.

• Q3 and Q4 2026 Pro Forma Adjusted EBITDA expected at ~$155 million and ~$125 million, respectively.

• Full-year operating cash flow expected at ~$25 million, with capex of ~$90 million.

• No major debt maturities until 2029 after the 2026 Exchangeable Notes and Securitization Facility mature.

• 2027 expected to see mid-single-digit revenue growth, continued Adjusted EBITDA growth, and full-year positive Free Cash Flow.