Booking Holdings (BKNG) Q2 Earnings & Revenues Beat, Rise Y/Y

Booking Holdings Inc. BKNG reported non-GAAP earnings of $41.90 per share for second-quarter 2024, beating the Zacks Consensus Estimate by 6.4%. The figure rose 11% from the year-ago quarter.Revenues of $5.86 billion surpassed the Zacks Consensus Estimate of $5.78 billion. The top line improved 7% year over year on a reported basis and 9% on a constant-currency (cc) basis.The company witnessed strong growth in its merchant business, which drove its top-line growth in the reported quarter.Booking Holdings witnessed growth of 10% in rental cars on a year-over-year basis and 27.7% growth in the airline tickets unit in the reported quarter.Booked room night numbers, amounting to 287 million in the second quarter, rose 7.1% from the prior-year quarter.However, weakness in the agency business model was a major concern.Booking Holdings has gained 3.8% year to date, underperforming the industry’s growth of 15.1%.Booking Holdings Inc. Price, Consensus and EPS Surprise  Booking Holdings Inc. price-consensus-eps-surprise-chart | Booking Holdings Inc. QuoteTop Line in DetailAgency revenues were $2.14 billion (36.6% of the total revenues), down 11.7% year over year.Merchant revenues were $3.45 billion (58.8% of the total revenues), up 24.4% on a year-over-year basis.Advertising & Other revenues were $269 million (4.6% of the total revenues), which increased 2.3% from the year-ago quarter.BookingsThe company’s overall gross bookings totaled $41.4 billion, which rose 4.4% on a reported basis and 6% on a cc basis from the year-ago quarter.Total gross bookings missed the Zacks Consensus Estimate of $41.7 billion.Merchant bookings were $25.8 billion, up 22.3% from the prior-year quarter. The figure topped the consensus mark of $24.3 billion.Agency bookings were $15.6 billion, down 16% from the prior-year quarter. The figure lagged the consensus mark of $17.4 billion.Operating ResultsAdjusted EBITDA in the reported quarter was $1.9 million, which improved 7% year over year.The adjusted EBITDA margin was 32.4%, which contracted 20 basis points (bps) from the prior-year quarter.Per management, operating expenses were $4 billion, up 5.6% on a year-over-year basis. As a percentage of revenues, operating expenses contracted 100 bps year over year to 68.3%.Booking Holdings generated an operating income of $1.9 million, which increased 10.9% year over year. The operating margin expanded 110 bps year over year to 31.7%.Balance SheetAs of Jun 30, 2024, the company’s cash and cash equivalents totaled $16.3 billion, up from $15.6 billion as of Mar 31, 2024. Short-term investments amounted to $37 million, significantly down from $362 million at the end of the previous quarter.Account receivables totaled $3.81 billion compared with $3.29 billion in the prior quarter.At the end of the second quarter, Booking Holdings had $13.36 billion of long-term debt, down from $13.44 billion at the end of the first quarter.Zacks Rank & Other Stocks to ConsiderCurrently, Booking Holdings carries a Zacks Rank #2 (Buy).Some other top-ranked stocks in the broader retail-wholesale sector are The Gap GPS, Amazon AMZN and Best Buy BBY. The Gap sports a Zacks Rank #1 (Strong Buy), and Amazon and Best Buy carry a Zacks Rank #2  each at present. You can see the complete list of today’s Zacks #1 Rank stocks here.The Gap has gained 11.2% in the year-to-date period. The long-term earnings growth rate for GPS is estimated at 3.38%.Shares of Amazon have gained 19.6% in the year-to-date period. The long-term earnings growth rate for AMZN is projected at 29.60%.Best Buy has gained 11.5% in the year-to-date period. The long-term earnings growth rate for BBY is anticipated at 5.07%.Research Chief Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.Free: See Our Top Stock And 4 Runners UpWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Amazon.com, Inc. (AMZN): Free Stock Analysis Report Best Buy Co., Inc. (BBY): Free Stock Analysis Report The Gap, Inc. (GPS): Free Stock Analysis Report Booking Holdings Inc. (BKNG): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks