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Booking Holdings Operating Margin %

: 23.43% (As of Jun. 2022)
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Operating Margin % is calculated as Operating Income divided by its Revenue. Booking Holdings's Operating Income for the three months ended in Jun. 2022 was $1,006 Mil. Booking Holdings's Revenue for the three months ended in Jun. 2022 was $4,294 Mil. Therefore, Booking Holdings's Operating Margin % for the quarter that ended in Jun. 2022 was 23.43%.

Warning Sign:

Booking Holdings Inc operating margin has been in a 5-year decline. The average rate of decline per year is -17.1%.

The historical rank and industry rank for Booking Holdings's Operating Margin % or its related term are showing as below:

BKNG' s Operating Margin % Range Over the Past 10 Years
Min: 8.53   Med: 35.5   Max: 36.77
Current: 27.88


BKNG's Operating Margin % is ranked better than
93.21% of 825 companies
in the Travel & Leisure industry
Industry Median: 1.26 vs BKNG: 27.88

Booking Holdings's 5-Year Average Operating Margin % Growth Rate was -17.10% per year.

Booking Holdings's Operating Income for the three months ended in Jun. 2022 was $1,006 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jun. 2022 was $4,083 Mil.


Booking Holdings Operating Margin % Historical Data

The historical data trend for Booking Holdings's Operating Margin % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Booking Holdings Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
Operating Margin %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 35.79 36.77 35.48 8.53 22.90

Booking Holdings Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
Operating Margin % Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -2.55 43.09 28.58 7.79 23.43

Competitive Comparison

For the Travel Services subindustry, Booking Holdings's Operating Margin %, along with its competitors' market caps and Operating Margin % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Booking Holdings Operating Margin % Distribution

For the Travel & Leisure industry and Consumer Cyclical sector, Booking Holdings's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Booking Holdings's Operating Margin % falls into.



Booking Holdings Operating Margin % Calculation

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

Booking Holdings's Operating Margin % for the fiscal year that ended in Dec. 2021 is calculated as

Operating Margin %=Operating Income (A: Dec. 2021 ) / Revenue (A: Dec. 2021 )
=2509 / 10958
=22.90 %

Booking Holdings's Operating Margin % for the quarter that ended in Jun. 2022 is calculated as

Operating Margin %=Operating Income (Q: Jun. 2022 ) / Revenue (Q: Jun. 2022 )
=1006 / 4294
=23.43 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Booking Holdings  (NAS:BKNG) Operating Margin % Explanation

Just like Gross Margin %, it is important to see a company maintains its operating margin over time. Among the same industry, a company with higher operating margin is more efficient in its operation. It is also more stable during industry slowdown or recessions. Peter Lynch prefers those with higher margins than those with lower margins.


Be Aware

Operating Margin % can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).

If a company is facing competition, its Operating Margin % may decline. Often the Operating Margin % declines well before the company's Revenue or even profit decline. Therefore, Operating Margin % is a very important indicator of whether the company is facing problems.

For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokia’s Operating Margin % had already been in decline since 2002, although its Earnings per Share (Diluted) were still rising. Investors who paid attention to Operating Margin % would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).

Therefore, Operating Margin % is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.


Booking Holdings Operating Margin % Related Terms

Thank you for viewing the detailed overview of Booking Holdings's Operating Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Booking Holdings Business Description

Booking Holdings logo
Address
800 Connecticut Avenue, Norwalk, CT, USA, 06854
Booking is the world's largest online travel agency by revenue, offering booking services for hotel and alternative accommodation rooms, airline tickets, rental cars, restaurant reservations, cruises, experiences, and other vacation packages. The company operates a number of branded travel booking sites, including Booking.com, Agoda, OpenTable, and Rentalcars.com, and has expanded into travel media with the acquisitions of Kayak and Momondo. Transaction fees for online bookings account for the bulk of revenue and profits.
Executives
Pisano Paulo officer: Chief Human Resources Officer 800 CONNECTICUT AVENUE NORWALK CT 06854
Van Dijk Bob director C/O BOOKING HOLDINGS INC. 800 CONNECTICUT AVENUE NORWALK CT 06854
Hopeman Wei director C/O BOOKING HOLDINGS INC. 800 CONNECTICUT AVENUE NORWALK CT 06854
Wittman Vanessa Ames director C/O MARSH & MCLENNAN COMPANIES, INC. 1166 AVENUE OF THE AMERICAS NEW YORK NY 10036
D'emic Susana officer: SVP, CAO & Controller C/O TIME INC. 225 LIBERTY STREET NEW YORK NY 10281
Graddick Weir Mirian M director 2000 GALLOPING HILL ROAD KENILWORTH NJ 07033
Read Nicholas director C/O BOOKING HOLDINGS INC. 800 CONNECTICUT AVENUE NORWALK CT 06854
Goulden David I officer: Chief Financial Officer 176 SOUTH STREET HOPKINTON MA 01748
Gavet Maelle officer: EVP, Global Operations C/O THE PRICELINE GROUP INC. 800 CONNECTICUT AVENUE NORWALK CT 06854
Vojvodich Lynn M director C/O THE PRICELINE GROUP INC. 800 CONNECTICUT AVENUE NORWALK CT 06854
Boyd Jeffery H director C/O ASPEN GROVE CAPITAL, LLC PO BOX 9389 AVON CO 81620
Noski Charles H director ONE PICKWICK PLAZA GREENWICH CT 06830
Tans Gillian officer: President & COO, Booking.com C/O THE PRICELINE GROUP INC. 800 CONNECTICUT AVENUE NORWALK CT 06854
Armstrong Timothy M director 770 BROADWAY 4TH FLOOR NEW YORK NY 10003
Rothman Thomas E director FOX FILMED ENTERTAINMENT 10201 WEST PICO BLVD LOS ANGELES CA 90035

Booking Holdings Headlines

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