The prolonged government shutdown is suppressing federal and military travel, and that's affecting Sabre's booking volume.
Sabre president and CEO Kurt Ekert discussed the impact of the shutdown during the company's Q3 earnings call Wednesday. October air distribution bookings fell about 3 percentage points year over year, and Ekert expects that impact to continue in the fourth quarter.
Ekert noted that military and civilian government bookings are a significant component of Sabre's business. In 2024, he said they were around 4% of Sabre's global air distribution volume.
Ekert said if the shutdown ends in the fourth quarter, normalcy should return in the first quarter of 2026.
The third quarter was a good one for Sabre, with total distribution bookings up 3% year over year and air distribution bookings up more than 2%. Sabre rebounded from some softness in air bookings in July. September was strong, with air bookings up 7%. Hotel distribution bookings were up 6% in the quarter.
Revenue in the third quarter increased 3%, to $715 million. Net income totaled $48 million, compared to a loss of $62 million in last year's Q3.