Booking Holdings Inc (BKNG)
Current ratio
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 17,034,000 | 18,479,000 | 19,349,000 | 17,632,000 | 15,798,000 | 12,410,000 | 14,924,000 | 12,875,000 | 13,145,000 | 14,352,000 | 13,789,000 | 14,108,000 | 12,206,000 | 12,583,000 | 11,453,000 | 9,260,000 | 9,833,000 | 10,056,000 | 10,020,000 | 7,077,000 |
| Total current liabilities | US$ in thousands | 13,330,000 | 12,832,000 | 12,481,000 | 11,070,000 | 8,474,000 | 8,543,000 | 10,282,000 | 7,478,000 | 6,246,000 | 5,779,000 | 6,724,000 | 6,468,000 | 3,425,000 | 3,968,000 | 3,909,000 | 4,136,000 | 5,366,000 | 5,528,000 | 6,349,000 | 5,576,000 |
| Current ratio | 1.28 | 1.44 | 1.55 | 1.59 | 1.86 | 1.45 | 1.45 | 1.72 | 2.10 | 2.48 | 2.05 | 2.18 | 3.56 | 3.17 | 2.93 | 2.24 | 1.83 | 1.82 | 1.58 | 1.27 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $17,034,000K ÷ $13,330,000K
= 1.28
The current ratio of Booking Holdings Inc has shown some fluctuations over the past eight quarters, ranging from a low of 1.28 in Q4 2023 to a high of 1.86 in Q4 2022. The current ratio measures the company's ability to meet its short-term obligations with its current assets, with a ratio above 1 indicating that the company has more current assets than current liabilities.
The downward trend in the current ratio from Q4 2022 to Q4 2023 is a potential cause for concern as it suggests that Booking Holdings Inc may be facing challenges in managing its short-term obligations. A lower current ratio may indicate liquidity issues or difficulty in converting current assets into cash to meet immediate financial needs.
It is essential to further investigate the reasons behind the declining current ratio to determine if it is due to changes in the company's operations, management of working capital, or other external factors. Management may need to reassess their current asset and liability management strategies to ensure the company's financial health and ability to fulfill its obligations in the short term.
Peer comparison
Dec 31, 2023