Summary
Booking Holdings Inc. (formerly priceline.com Incorporated) reported strong performance for the nine months ended September 30, 2010, with total revenues reaching $2.35 billion, a 31% increase year-over-year. This growth was largely driven by its international segment, particularly Booking.com, which accounted for 69% of gross bookings and 82% of operating income. The company saw substantial growth in hotel room nights booked, up 52.8% for the nine-month period, with international bookings showing particularly robust growth. Financially, the company ended the period with a strong liquidity position, holding $1.5 billion in cash, cash equivalents, and short-term investments. The company also successfully issued $575 million in convertible senior notes and continued its share repurchase program, signaling confidence in its financial health and future prospects. However, the company faces ongoing legal challenges, primarily related to hotel occupancy and other taxes, which could result in substantial liabilities, although a reserve of $23 million has been established.
Financial Highlights
51 data points| Revenue | $1.00B |
| Cost of Revenue | $335.57M |
| Gross Profit | $666.19M |
| Operating Expenses | $329.42M |
| Operating Income | $336.77M |
| Interest Expense | $8.29M |
| Net Income | $222.98M |
| EPS (Basic) | $4.59 |
| EPS (Diluted) | $4.41 |
| Shares Outstanding (Basic) | 48.57M |
| Shares Outstanding (Diluted) | 50.56M |
Key Highlights
- 1Total revenues increased by 31.0% to $2.35 billion for the nine months ended September 30, 2010, compared to the prior year period.
- 2International operations were a key growth driver, with Booking.com contributing significantly to gross bookings (69%) and operating income (82%).
- 3Gross bookings surged by 47.3% year-over-year to $10.4 billion for the nine months ended September 30, 2010.
- 4Hotel room night reservations increased by 52.8% for the nine months ended September 30, 2010, driven by strong performance in international markets.
- 5The company maintained a strong liquidity position with $1.5 billion in cash, cash equivalents, and short-term investments as of September 30, 2010.
- 6In March 2010, the company issued $575 million in convertible senior notes and continued its share repurchase program, demonstrating financial flexibility.
- 7The company has established a $23 million reserve for potential liabilities related to ongoing hotel occupancy tax litigation.