10-KPeriod: FY2021

Booking Holdings Inc. Annual Report, Year Ended Dec 31, 2021

Filed February 23, 2022For Securities:BKNG

Summary

Booking Holdings Inc. (BKNG) reported its 2021 annual results, showing a significant recovery in travel demand following the COVID-19 pandemic. The company's revenue for the year reached $11.0 billion, a substantial increase from the previous year, driven by a rebound in bookings across its major brands like Booking.com and Priceline. Strategic priorities for the year included expanding Booking.com's flight product, acquiring Etraveli Group and Getaroom, and enhancing its payments platform. The company is focused on its 'Connected Trip' vision, aiming to offer a seamless travel experience from booking to execution, leveraging technology and increased brand collaboration. Despite ongoing uncertainties related to travel recovery and new variants, Booking Holdings remains optimistic about long-term travel demand and its position to benefit from the shift towards online booking channels.

Financial Highlights

51 data points
Beta

Revenue

$10.96B

Net Income

$1.17B

10.6% Net Margin

EPS (Diluted)

$1.13

Total Assets

$23.64B

Cash & Equivalents

$11.15B

Free Cash Flow

$2.52B

Financial Statements
Beta
Revenue$10.96B
Operating Expenses$8.46B
Operating Income$2.50B
Interest Expense$334.00M
Net Income$1.17B
EPS (Basic)$1.14
EPS (Diluted)$1.13
Shares Outstanding (Basic)1.03B
Shares Outstanding (Diluted)1.03B

Key Highlights

  • 1Revenue for 2021 reached $11.0 billion, indicating a strong recovery from pandemic-induced lows.
  • 2The company completed two strategic acquisitions: Etraveli Group (agreement in November) and Getaroom (December), aiming to expand its offerings and capabilities.
  • 3Booking.com significantly expanded its flight product in 2021, a key component of the 'Connected Trip' vision.
  • 4International revenue constituted approximately 87% of consolidated revenues, highlighting the company's global reach.
  • 5The company continued to invest in its payments platform and capabilities, crucial for a frictionless customer experience.
  • 6Booking Holdings reported approximately 20,300 employees globally as of December 31, 2021, with a continued focus on diversity and inclusion.
  • 7Despite market recovery efforts, the company highlighted significant risks including the ongoing impact of COVID-19, intense competition, and regulatory uncertainties.

Frequently Asked Questions

The COVID-19 pandemic continued to impact Booking Holdings' business in 2021, although the company saw a significant recovery in travel demand and bookings compared to 2020. The emergence of new variants created uncertainty, but the company expressed confidence in a strong long-term recovery for global travel demand.

Key strategic initiatives included expanding Booking.com's flight product, acquiring Etraveli Group and Getaroom, increasing internal brand collaboration, building out its payments platform, and launching new features for sustainable and inclusive travel. The company is also focused on its 'Connected Trip' vision.

The substantial majority of Booking Holdings' business is international, with businesses outside the U.S. accounting for approximately 87% of consolidated revenues in 2021. This is primarily driven by Booking.com, which generates most of its revenue from facilitating accommodation reservations.

Significant risks include the ongoing adverse impact of the COVID-19 pandemic on travel demand, intense competition from online and traditional players (including large tech companies like Google), cybersecurity and data privacy risks, regulatory uncertainties (such as data protection laws and competition regulations), and the ability to attract and retain skilled personnel. Fluctuations in foreign currency exchange rates and market volatility also pose risks.