Categories AlphaGraphs, Earnings, LATEST, Other Industries
Booking Holdings reports better-than-expected results for Q2; guides Q3
Booking Holdings (NASDAQ: BKNG) reported stronger than expected earnings for the second quarter aided by a 9% increase in revenues. The top-line, which benefitted from strong bookings growth, also topped the Street view. The management provided guidance for the third quarter. The stock gained about 5% following the announcement.
Earnings, on an adjusted basis, rose to $23.59 per share from $20.67 per share in the second quarter of 2018. Net income, including special items, was $979 million or $22.44 per share, compared to $978 million last year. The bottom-line also came in above the estimates.
At $3.85 billion, revenues were higher by 9% from the year-ago period. Gross travel bookings moved up 5% to $25 billion during the quarter.
“Booking Holdings executed another strong quarter as we witnessed a solid start to the summer travel season. Globally, our accommodation business booked 213 million room nights in the second quarter, up 12% over the same period last year,” said Glenn Fogel, Chief Executive Officer of Booking Holdings.
Also read: Walt Disney Q3 earnings call insights
Looking ahead, the company expects revenue growth in the range of 2-4% in the third quarter. Unadjusted earnings are forecast to be between $42.60 per share and $43.60 and per share. The outlook for adjusted earnings is $43.60-$44.60 per share.
Total room nights booked and gross travel bookings are forecast to grow 6-8% and 1.5-3.5%, respectively. The management currently expects adjusted EBITDA in the range of $2.40 billion to $2.45 billion for the September quarter.
Rival travel company Expedia (EXPE) last month reported a double-digit increase in second-quarter earnings, aided by strong booking growth that pushed up revenues by 9%. Meanwhile, TripAdvisor (TRIP) will be publishing results for its most recent quarter on Thursday before the opening bell.
For the shares of Booking Holdings, it has been a rollercoaster ride for more than a year, losing about 5% during that period. Since the beginning of the year, the stock has gained around 4%. It closed Wednesday’s regular session higher.
Most Popular
United Parcel Service (UPS) seems on track to regain lost strength
Cargo giant United Parcel Service, Inc. (NYSE: UPS) ended fiscal 2023 on a weak note, reporting lower revenues and profit for the fourth quarter. The company experienced a slowdown post-pandemic
IPO Alert: What to look for when Boundless Bio goes public
Boundless Bio is preparing to debut on the Nasdaq stock market this week, and become the latest addition to the list of biotech firms that have launched IPOs this year.
Nike (NKE) bets on innovation and partnerships to return to high growth
Sneaker giant Nike, Inc. (NYSE: NKE) has been going through a rough patch for some time, with sales coming under pressure from weak demand and rising competition. Post-pandemic, the company