Booking Holdings Inc (BKNG)
Profitability ratios
Return on sales
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 97.86% | 97.03% | 97.04% | 96.90% | 96.89% | 96.83% | 96.75% | 96.60% | 96.45% | 96.35% | 96.00% | 95.28% | 94.53% | 88.87% | 80.23% | 69.61% | 69.94% | 53.89% | 63.45% | 70.41% |
| Operating profit margin | 31.83% | 27.92% | 28.39% | 28.07% | 27.32% | 31.85% | 31.29% | 29.59% | 29.85% | 28.74% | 27.56% | 23.83% | 22.78% | 16.22% | -2.86% | -11.21% | -9.28% | 7.80% | 24.33% | 30.86% |
| Pretax margin | 30.72% | 26.63% | 28.66% | 27.79% | 25.65% | 31.61% | 28.69% | 27.93% | 22.95% | 20.52% | 14.20% | 7.15% | 13.37% | 9.70% | 10.60% | 17.90% | 8.34% | 19.58% | 28.95% | 29.40% |
| Net profit margin | 24.78% | 21.85% | 22.46% | 21.81% | 20.07% | 25.70% | 23.04% | 22.14% | 17.89% | 15.24% | 10.54% | 4.16% | 10.63% | 4.15% | 5.77% | 12.44% | 0.87% | 15.68% | 22.52% | 23.43% |
Booking Holdings Inc has shown a consistent improvement in its profitability ratios over the years. The gross profit margin has significantly increased from 70.41% in March 2020 to 97.86% in December 2024, indicating a strong ability to control production costs and generate profit from its core business activities.
The operating profit margin has also shown a positive trend, recovering from negative figures in late 2020 to reaching 31.83% by December 2024. This suggests an enhanced efficiency in managing operating expenses and a more profitable operation.
The pretax margin reflects the company's ability to generate profit before taxes, showing an increasing trend from 8.34% in December 2020 to 30.72% by December 2024. This improvement signifies better operational performance and cost management.
The net profit margin, which indicates the company's bottom-line profitability, has also improved consistently from 0.87% in December 2020 to 24.78% in December 2024. This indicates Booking Holdings Inc's ability to effectively manage expenses and generate higher profits relative to its revenue.
Overall, the company's profitability ratios demonstrate a positive trajectory, highlighting increasing operational efficiency, cost management, and overall financial performance over the years.
Return on investment
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 27.27% | 23.00% | 22.28% | 22.28% | 23.98% | 25.63% | 22.78% | 21.34% | 20.12% | 20.87% | 16.48% | 13.32% | 10.56% | 6.41% | -0.86% | -2.68% | -2.88% | 3.13% | 13.15% | 25.08% |
| Return on assets (ROA) | 21.23% | 18.00% | 17.62% | 17.31% | 17.62% | 20.68% | 16.78% | 15.96% | 12.06% | 11.06% | 6.30% | 2.32% | 4.93% | 1.64% | 1.73% | 2.97% | 0.27% | 6.30% | 12.17% | 19.04% |
| Return on total capital | — | — | — | — | — | — | — | 520.67% | 155.07% | 98.31% | 59.42% | 27.40% | 29.12% | 22.56% | 23.67% | 29.43% | 18.88% | 35.68% | 81.32% | 109.36% |
| Return on equity (ROE) | — | — | — | — | — | — | — | 374.67% | 109.92% | 66.51% | 38.58% | 11.89% | 18.86% | 6.89% | 8.62% | 14.76% | 1.21% | 28.39% | 63.62% | 88.68% |
Booking Holdings Inc's profitability ratios demonstrate some fluctuations over the years but generally show a positive trend.
The Operating return on assets (Operating ROA) has shown a steady increase from March 31, 2020, with a significant peak at 25.63% on September 30, 2023, before slightly decreasing to 23.98% on December 31, 2023. It then increased again and stood at 27.27% on December 31, 2024. This indicates that the company's operating income generated from its assets has been improving over time.
The Return on assets (ROA) has also shown a similar trend, with a noticeable rise from March 31, 2020, reaching its peak at 21.23% on December 31, 2024. This ratio reflects the overall profitability of the company in generating earnings from its assets.
Return on total capital peaked at an exceptional 520.67% on March 31, 2023, indicating the company's ability to generate significant returns compared to the total capital employed. This ratio also demonstrates a fluctuating trend, showing a decrease in subsequent periods.
Return on equity (ROE) displays a similar pattern to return on assets, with a noticeable growth in profitability from March 31, 2020, peaking at 109.92% on December 31, 2022. This ratio indicates how efficiently the company is utilizing its equity to generate profits for shareholders.
Overall, the profitability ratios of Booking Holdings Inc demonstrate positive growth over the years, with some fluctuations, showcasing the company's ability to generate returns on its assets, total capital, and equity. Redistributions within the company's capital structure and asset base may have affected these ratios, leading to the observed variations.