Booking Holdings Inc (BKNG)

Debt-to-assets ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Long-term debt	US$ in thousands	12,223,000	11,985,000	8,937,000	11,029,000	7,640,000
Total assets	US$ in thousands	24,342,000	25,361,000	23,641,000	21,874,000	21,402,000
Debt-to-assets ratio		0.50	0.47	0.38	0.50	0.36

December 31, 2023 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $12,223,000K ÷ $24,342,000K
= 0.50

The debt-to-assets ratio of Booking Holdings Inc has shown fluctuations over the past five years. In 2023, the ratio increased to 0.58 from 0.49 in 2022, indicating that the company's proportion of debt relative to its total assets has risen. This may suggest an increased reliance on debt financing in the most recent period. Comparing to 2021, where the ratio was 0.46, the recent increase in the ratio demonstrates a significant change in the company's debt management.

However, it is important to note that the ratio in 2023 is still lower than the 2020 figure of 0.55. This suggests that, despite the recent increase, Booking Holdings Inc has not reached the same level of debt financing observed in 2020. Moreover, when compared to the lowest ratio over the period - 0.40 in 2019 - the current ratio of 0.58 indicates a higher proportion of debt relative to assets.

The trend in the debt-to-assets ratio of Booking Holdings Inc highlights variations in the company's capital structure and financial risk over the years. Further analysis of the reasons behind the changes in the ratio could provide valuable insights into the company's financing decisions and overall financial health.