Booking Holdings Inc. (BKNG) Q3 2025 Financial Results Summary
NORWALK, CT – October 28, 2025…Booking Holdings Inc. (NASDAQ: BKNG) today reported its financial results for the third quarter of 2025. Below is a summary of the key financial metrics and highlights from the report.
Key Financial Metrics
- Room Nights:
- 323 million (↑ 8%)
- Gross Bookings:
- $49.7 billion (↑ 14%, ↑ 10% on a constant currency basis)
- Revenue:
- $9.0 billion (↑ 13%, ↑ 8% on a constant currency basis)
- GAAP Net Income:
- $2.7 billion (↑ 9%)
- GAAP EPS:
- $84.41 (↑ 14%)
- Adjusted EPS:
- $99.50 (↑ 19%)
- Adjusted EBITDA:
- $4.2 billion (↑ 15%)
- Net Cash Provided By Operating Activities:
- $1.4 billion (↓ 40%)
- Free Cash Flow:
- $1.4 billion (↓ 40%)
Shareholder Returns
- Quarterly Dividend Declared:
- $9.60 per share, payable on December 31, 2025, to stockholders of record as of December 5, 2025.
- Stock Repurchase:
- Repurchased $0.7 billion of stock during the quarter with a remaining authorization of $23.9 billion.
Operational Highlights
- Strong performance driven by successful execution of the Transformation Program:
- Annual run-rate savings expectations raised to $500 – $550 million from previous guidance of $400 – $450 million, based on 2024 expense base.
- Growth across Booking.com’s alternative accommodations:
- Room nights increased by 10%.
- Customer engagement through the Genius loyalty program and innovative integrations involving GenAI continue to enhance value for both customers and suppliers.
Additional Financial Insights
- Net Income Margin:
- 30.5% (compared to 31.5% in Q3 2024)
- Adjusted EBITDA Margin:
- 47.0% (up from 45.8% in Q3 2024)
- Total Operating Expenses:
- Increased by 15%, faster than revenue growth of 13%.
- Adjusted Fixed Operating Expenses:
- Increased by 10%, driven by adverse currency fluctuations and higher cloud computing costs.
- Marketing Expense:
- As a percentage of gross bookings, it was 4.7% (compared to 5.0% in Q3 2024).
Year-to-Date Performance (for the first nine months of 2025)
- Net Cash Provided By Operating Activities:
- Up 4% compared to the same period in 2024.
- Free Cash Flow:
- Up 6% compared to the same period in 2024.
Outlook for Q4 and FY 2025
- Q4 2025 Guidance:
- Room Nights Growth: 4% – 6%
- Gross Bookings Growth: 11% – 13%
- Revenue Growth: 10% – 12%
- Adjusted EBITDA: $2.0 billion – $2.1 billion
- FY 2025 Expectations:
- Room Nights Growth: Approximately 7%
- Gross Bookings Growth: Approximately 11% – 12%
- Revenue Growth: Approximately 12%
Note on Impairment
- An impairment charge of $457 million was recorded related to KAYAK’s goodwill and certain intangible assets due to forecasted cash flow reductions impacting KAYAK’s meta-search business.
Conclusion
Booking Holdings reported a solid performance in Q3 2025 with substantial growth in bookings and revenues, driven by strategic initiatives and engagement improvements. The declared dividend and stock repurchase underscore ongoing commitment to returning value to shareholders.
For a deeper analysis, please refer to the comprehensive financial statements and additional notes available on Booking Holdings’ investor relations website.
Condensed Consolidated Statements of Income (In millions)
| 2025 | 2024 | 2025 | 2024 | |
|---|---|---|---|---|
| Three Months Ended September 30 | Nine Months Ended September 30 | |||
| Merchant revenues | $ 6,131 | $ 4,972 | $ 13,506 | $ 10,806 |
| Agency revenues | $ 2,569 | $ 2,753 | $ 6,177 | $ 6,660 |
| Advertising and other revenues | $ 308 | $ 269 | $ 885 | $ 802 |
| Total revenues | $ 9,008 | $ 7,994 | $ 20,568 | $ 18,268 |
| Operating expenses: | ||||
| Marketing expenses | $ 2,340 | $ 2,151 | $ 6,256 | $ 5,700 |
| Sales and other expenses | $ 1,022 | $ 872 | $ 2,623 | $ 2,370 |
| Personnel, including stock-based comp. | $ 945 | $ 868 | $ 2,534 | $ 2,501 |
| General and administrative | $ 254 | $ 575 | $ 595 | $ 873 |
| Information technology | $ 242 | $ 194 | $ 661 | $ 564 |
| Depreciation and amortization | $ 160 | $ 155 | $ 472 | $ 434 |
| Impairment | $ 457 | $ — | $ 457 | $ — |
| Transformation costs | $ 105 | $ — | $ 175 | $ — |
| Total operating expenses | $ 5,525 | $ 4,815 | $ 13,773 | $ 12,442 |
| Operating income | $ 3,483 | $ 3,179 | $ 6,795 | $ 5,826 |
| Interest expense | $ (301) | $ (305) | $ (1,368) | $ (788) |
| Interest and dividend income | $ 248 | $ 327 | $ 723 | $ 863 |
| Other income (expense), net | $ 39 | $ (332) | $ (1,181) | $ (173) |
| Income before income taxes | $ 3,469 | $ 2,869 | $ 4,969 | $ 5,728 |
| Income tax expense | $ 721 | $ 352 | $ 993 | $ 914 |
| Net income | $ 2,748 | $ 2,517 | $ 3,976 | $ 4,814 |
| Net income applicable to | ||||
| common stockholders per basic common | $ 84.86 | $ 75.37 | $ 122.07 | $ 142.38 |
| share | ||||
| Weighted-average number of basic | ||||
| common shares outstanding (in 000’s) | 32,384 | 33,401 | 32,573 | 33,814 |
| Net income applicable to | ||||
| common stockholders per diluted | $ 84.41 | $ 74.34 | $ 121.39 | $ 140.45 |
| common share | ||||
| Weighted-average number of diluted | ||||
| common shares outstanding (in 000’s) | 32,558 | 33,864 | 32,755 | 34,278 |
Condensed Consolidated Balance Sheets (In millions)
| September 30, 2025 | December 31, 2024 (Unaudited) | |
|---|---|---|
| ASSETS | ||
| Current assets: | ||
| Cash and cash equivalents | $ 16,509 | $ 16,164 |
| Accounts receivable, net | 4,013 | 3,199 |
| Prepaid expenses, net | 579 | 587 |
| Other current assets | 602 | 541 |
| Total current assets | 21,703 | 20,491 |
| Property and equipment, net | 817 | 832 |
| Operating lease assets | 605 | 559 |
| Intangible assets, net | 961 | 1,382 |
| Goodwill | 2,669 | 2,799 |
| Long-term investments | 651 | 536 |
| Other assets, net | 1,346 | 1,109 |
| Total assets | $ 28,752 | $ 27,708 |
| LIABILITIES AND STOCKHOLDERS’ DEFICIT | ||
| Current liabilities: | ||
| Accounts payable | $ 4,025 | $ 3,824 |
| Accrued expenses and other current | 4,958 | 6,047 |
| liabilities | ||
| Deferred merchant bookings | 6,283 | 4,031 |
| Short-term debt | 999 | 1,745 |
| Total current liabilities | 16,265 | 15,647 |
| Deferred income taxes | 14 | 289 |
| Operating lease liabilities | 533 | 483 |
| Long-term U.S. transition tax liability | — | 257 |
| Other long-term liabilities | 679 | 199 |
| Long-term debt | 15,997 | 14,853 |
| Total liabilities | 33,488 | 31,728 |
| Commitments and contingencies | ||
| Stockholders’ deficit: | ||
| Common stock, $0.008 par value, | ||
| Authorized shares: 1,000,000,000 | ||
| Issued shares: 64,514,729 and | 1 | – |
| 64,276,130, respectively | ||
| Treasury stock: 32,208,282 and | (52,175) | (47,877) |
| 31,329,265 shares, respectively | ||
| Additional paid-in capital | 8,186 | 7,707 |
| Retained earnings | 39,553 | 36,525 |
| Accumulated other comprehensive loss | (301) | (375) |
| Total stockholders’ deficit | (4,736) | (4,020) |
| Total liabilities and stockholders’ | $ 28,752 | $ 27,708 |
| deficit |
