Early Access

10-QPeriod: Q1 FY2020

Booking Holdings Inc. Quarterly Report for Q1 Ended Mar 31, 2020

Filed May 7, 2020For Securities:BKNG

Summary

Booking Holdings Inc. reported a significant net loss of $699 million for the first quarter of 2020, a stark contrast to the $765 million net income in the same period of the prior year. This downturn is primarily attributable to the severe impact of the COVID-19 pandemic, which led to a 51.2% decrease in total gross bookings and a 19.3% decline in total revenues year-over-year. The company experienced a substantial increase in credit loss provisions and recorded a significant goodwill impairment charge of $489 million related to its OpenTable and KAYAK reporting unit, reflecting the pandemic's adverse effects on travel and restaurant activities. Despite the challenging environment, the company maintained a strong liquidity position with $6.4 billion in cash and cash equivalents at quarter-end. Management has taken various cost-saving measures and amended its credit facility to enhance financial flexibility. The company's outlook remains highly uncertain, with expectations of a more significant impact in the second quarter due to the widespread nature of the pandemic and associated travel restrictions. Investors should closely monitor the company's ability to manage costs, adapt to the evolving travel landscape, and its progress in the recovery phase.

Financial Highlights

47 data points
Beta

Revenue

$2.29B

Net Income

-$699.00M

-0.3% Net Margin

EPS (Diluted)

$-17.01

Total Assets

$17.86B

Cash & Equivalents

$6.36B

Free Cash Flow

-$460.00M

Financial Statements
Beta
Revenue$2.29B
Operating Expenses$2.60B
Operating Income-$309.00M
Interest Expense$64.00M
Net Income-$699.00M
EPS (Basic)$-17.01
EPS (Diluted)$-17.01
Shares Outstanding (Basic)41.09M
Shares Outstanding (Diluted)41.09M

Key Highlights

  • 1Net loss of $699 million for Q1 2020, a significant decline from $765 million net income in Q1 2019.
  • 2Total revenues decreased by 19.3% to $2.3 billion in Q1 2020, primarily due to the COVID-19 pandemic.
  • 3Total gross bookings fell by 51.2% to $12.4 billion in Q1 2020 compared to Q1 2019.
  • 4Recognized a $489 million goodwill impairment charge related to the OpenTable and KAYAK reporting unit.
  • 5Increased provision for expected credit losses by $183 million due to pandemic-related financial difficulties of customers.
  • 6Maintained a strong liquidity position with $6.4 billion in cash and cash equivalents as of March 31, 2020.
  • 7Reduced marketing expenses by 28.6% to $851 million in Q1 2020.

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