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Mar 31, 2020

Booking Q1 2020 Earnings Report

Booking's Q1 2020 financial results were reported, showing significant negative impacts from the COVID-19 pandemic, with a decrease in gross travel bookings and room nights booked.

Key Takeaways

Booking Holdings reported a challenging first quarter due to the COVID-19 pandemic. Gross travel bookings decreased by 51%, and room nights booked decreased by 43%. The company reported a net loss of $699 million, compared to a net income of $765 million in the prior year. Total revenues decreased by 19% to $2.3 billion.

Gross travel bookings decreased by 51% year-over-year.

Room nights booked decreased by 43% year-over-year.

The company reported a net loss of $699 million.

Total revenues decreased by 19% year-over-year.

Total Revenue
$2.29B
Previous year: $2.84B
-19.4%
EPS
$3.77
Previous year: $11.2
-66.2%
Room Nights
124M
Previous year: 217M
-42.9%
Rental Car Days
12M
Previous year: 18M
-33.3%
Airline Tickets
2M
Previous year: 2M
+0.0%
Gross Profit
$1.8B
Previous year: $2.34B
-22.8%
Cash and Equivalents
$6.36B
Previous year: $2.33B
+172.6%
Free Cash Flow
-$460M
Previous year: $39M
-1279.5%
Total Assets
$17.9B
Previous year: $22.4B
-20.1%

Booking

Booking

Booking Revenue by Segment

Forward Guidance

The COVID-19 pandemic has profoundly impacted the Company and the entire travel industry. Booking Holdings has taken immediate steps to stabilize the Company by reducing costs and bolstering its liquidity position.

Positive Outlook

  • Value of the platform
  • Highly variable cost structure
  • Strong liquidity
  • Will emerge from this crisis in a position of strength
  • Extend leadership role in the industry

Challenges Ahead

  • Adverse impact of the COVID-19 pandemic on the Company's business
  • Adverse changes in general market conditions for travel services
  • Effects of competition
  • IT systems-related failures, data privacy risks and obligations, and/or security breaches
  • Tax, legal and regulatory risks

Revenue & Expenses

Visualization of income flow from segment revenue to net income