Booking Holdings Beats Q3 Estimates as Revenue Climbs

Booking Holdings Inc. (BKNG) reported strong financial results for the third quarter of 2025, with both earnings and revenues surpassing analyst estimates and showing significant year-over-year growth. The positive performance was driven by an increase in travel bookings during the quarter.

Financial Performance Breakdown

For the third quarter, Booking Holdings posted adjusted earnings of $72.32 per share. This figure beat the Zacks Consensus Estimate by 5.6% and marked a 21% increase compared to the same quarter in the previous year.

Total revenues for the quarter reached $8.5 billion, which was 0.5% above the consensus estimate. Year-over-year, revenues grew by 18%, or 20% on a constant-currency basis, indicating solid top-line growth.

Key Business Metrics

The company’s growth was supported by strong booking trends. Gross travel bookings for the quarter amounted to $44.2 billion, representing a 15% increase from the prior-year quarter, or 19% on a constant-currency basis. The volume of booked room nights also rose by 9% year over year.

A detailed look at revenue streams reveals that Merchant revenues were the largest contributor at $4.6 billion, up 28% year-over-year. Agency revenues totaled $3.5 billion, an increase of 5% from the year-ago quarter. Advertising and other revenues contributed $363 million, up 18% year-over-year.

Operating Health and Balance Sheet

Booking Holdings’ adjusted EBITDA for the quarter was $3.9 billion, a 16% increase compared to the prior-year quarter. However, operating expenses also grew, rising 20% year-over-year to $4.6 billion. This resulted in operating expenses expanding by 90 basis points as a percentage of total revenues.

As of September 30, 2025, the company’s balance sheet showed cash and cash equivalents of $15.2 billion, up from $14.1 billion at the end of the previous quarter. Accounts receivable increased to $3.2 billion from $2.9 billion, while long-term debt stood at $13.52 billion, a slight increase from $13.49 billion. The article also notes that Booking Holdings currently has a Zacks Rank #3 (Hold).

Key Points

• Q3 2025 Adjusted Earnings: $72.32 per share, beating the Zacks Consensus Estimate by 5.6%.
• Earnings Growth: Increased 21% year-over-year.
• Q3 2025 Total Revenues: $8.5 billion, surpassing the Zacks Consensus Estimate by 0.5%.
• Revenue Growth: Increased 18% year-over-year (20% on a constant-currency basis).
• Q3 2025 Gross Travel Bookings: $44.2 billion, up 15% year-over-year (19% on a constant-currency basis).
• Booked Room Nights Growth: Increased 9% year-over-year.
• Q3 2025 Agency Revenues: $3.5 billion (a 5% year-over-year increase).
• Q3 2025 Merchant Revenues: $4.6 billion (a 28% year-over-year increase).
• Q3 2025 Advertising & Other Revenues: $363 million (an 18% year-over-year increase).
• Q3 2025 Adjusted EBITDA: $3.9 billion (a 16% year-over-year increase).
• Q3 2025 Operating Expenses: $4.6 billion (a 20% year-over-year increase).
• Operating Expenses: Expanded by 90 basis points as a percentage of revenues.
• Cash and Cash Equivalents: $15.2 billion as of Sep 30, 2025, up from $14.1 billion as of Jun 30, 2025.
• Accounts Receivable: $3.2 billion as of Sep 30, 2025, up from $2.9 billion as of Jun 30, 2025.
• Long-Term Debt: $13.52 billion as of Sep 30, 2025, up from $13.49 billion as of Jun 30, 2025.
• Zacks Rank: #3 (Hold).

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