Booking Holdings Inc (BKNG)
Pretax margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 7,292,000 | 5,481,000 | 3,923,000 | 1,465,000 | 567,000 |
| Revenue | US$ in thousands | 23,739,000 | 21,365,000 | 17,090,000 | 10,958,000 | 6,796,000 |
| Pretax margin | 30.72% | 25.65% | 22.95% | 13.37% | 8.34% |
December 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $7,292,000K ÷ $23,739,000K
= 30.72%
The pre-tax margin of Booking Holdings Inc has exhibited a remarkable upward trend over the past five years. Starting at 8.34% on December 31, 2020, the pretax margin steadily increased to 13.37% by December 31, 2021. Subsequently, the trend accelerated with significant jumps to 22.95% on December 31, 2022, 25.65% on December 31, 2023, and finally reaching an impressive 30.72% by December 31, 2024. This consistent growth in pretax margin reflects the company's improving profitability and efficiency in generating earnings before taxes relative to its total revenue. It indicates effective cost management, operational performance, and potentially increasing economies of scale within the business.
Peer comparison
Dec 31, 2024