Booking Holdings Inc (BKNG)

Activity ratios

Short-term

Turnover ratios

	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Inventory turnover	—	16.55	12.64	15.94	20.64	15.18	17.76	20.16	17.75	16.78	19.54	19.17	18.91	—	—	—	—	—	—	—
Receivables turnover	6.98	6.26	7.05	9.52	8.09	7.28	6.82	8.11	8.37	7.49	7.89	14.05	18.07	12.66	30.53	—	11.95	8.36	7.48	9.68
Payables turnover	2.78	3.73	5.05	4.90	3.93	4.36	3.90	5.30	4.52	4.51	6.31	9.62	8.67	5.44	8.34	5.24	2.84	2.69	2.59	3.44
Working capital turnover	5.77	3.65	2.82	2.77	2.33	4.14	3.16	2.32	1.59	1.07	1.02	0.74	0.77	1.03	1.50	2.83	3.37	3.30	4.02	9.62

The activity ratios for Booking Holdings Inc provide insights into how efficiently the company manages its assets and liabilities.

1. Receivables Turnover: This ratio indicates how many times a company collects its accounts receivable during a period. Booking Holdings Inc's receivables turnover has fluctuated over the quarters, ranging from 5.98 to 8.87. A higher turnover ratio suggests that the company is collecting its receivables more efficiently.

2. Payables Turnover: The payables turnover ratio shows how many times a company pays off its accounts payable in a given period. The data shows that Booking Holdings Inc has a payables turnover of 0.00 across all quarters. This may indicate that the company is not actively managing its accounts payable turnover, or it may have a different payment arrangement with its suppliers.

3. Working Capital Turnover: This ratio measures how efficiently a company is using its working capital to generate sales. Booking Holdings Inc's working capital turnover has varied between 2.32 and 5.77. A higher turnover ratio indicates that the company is effectively utilizing its working capital to support its operations and generate revenue.

Overall, the analysis of Booking Holdings Inc's activity ratios suggests that the company is managing its receivables efficiently, but its management of payables and working capital could be further evaluated to optimize operational efficiency and profitability.

Average number of days

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Days of inventory on hand (DOH)	days	—	22.05	28.88	22.89	17.69	24.05	20.55	18.10	20.57	21.75	18.68	19.04	19.30	—	—	—	—	—	—	—
Days of sales outstanding (DSO)	days	52.33	58.26	51.80	38.32	45.13	50.16	53.56	45.01	43.60	48.72	46.27	25.97	20.19	28.84	11.95	—	30.55	43.68	48.83	37.70
Number of days of payables	days	131.08	97.94	72.22	74.52	92.97	83.74	93.56	68.93	80.75	80.91	57.83	37.94	42.10	67.10	43.79	69.72	128.70	135.81	140.82	106.01

The analysis of Booking Holdings Inc's activity ratios reveals that the company's Days of Inventory on Hand (DOH) data is not available across all quarters, indicating a lack of information regarding the average number of days it takes for the company to sell its inventory.

In terms of Days of Sales Outstanding (DSO), the company shows variability in collecting its accounts receivable. DSO ranged from 41.13 days in Q1 2023 to 60.99 days in Q3 2023, with an average of 51.42 days during the period analyzed. This indicates that Booking Holdings Inc took, on average, around 51 days to collect payments from its customers in the given quarters.

The information regarding the Number of Days of Payables is not provided for any quarter, making it challenging to assess the company's efficiency in paying its suppliers.

Overall, the analysis of these activity ratios suggests that Booking Holdings Inc should focus on managing its accounts receivable efficiently to reduce its DSO and improve cash flows. Additionally, more information on inventory management and payables is needed for a comprehensive assessment of the company's working capital efficiency.

Long-term

	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Fixed asset turnover	27.25	28.14	26.42	26.00	25.55	18.23	17.07	14.82	13.33	12.09	9.60	7.70	8.99	11.96	15.35	20.16	20.41	21.16	20.60	20.77
Total asset turnover	0.88	0.80	0.73	0.72	0.67	0.73	0.60	0.56	0.46	0.39	0.30	0.24	0.31	0.40	0.54	0.81	0.70	0.70	0.69	0.65

The fixed asset turnover ratio for Booking Holdings Inc has shown a consistent upward trend over the past eight quarters, indicating the company's ability to generate revenue from its fixed assets efficiently. The ratio signifies that for Q4 2023, the company generated $27.25 in revenue for every dollar invested in fixed assets.

On the other hand, the total asset turnover ratio has displayed some fluctuations but generally has been increasing over the same period. This ratio reflects the company's overall efficiency in generating revenue from all its assets. For Q4 2023, the total asset turnover ratio stood at 0.88, indicating that the company generated $0.88 in revenue for every dollar invested in total assets.

Both ratios indicate that Booking Holdings Inc has been effectively utilizing its assets to drive revenue growth. The increasing trend in these ratios suggests improved operational efficiency and effective management of assets, which could be a positive sign for investors and stakeholders.