Key Takeaways Expedia's B2B gross bookings and revenues rose 24% in Q4 2025, far outpacing 5% B2C growth.Expedia's Rapid API and partner ecosystem boost scalability, engagement and lower acquisition costs.Expedia expands B2B offerings with insurance and the Tiqets deal, prioritizing long-term growth investments.Expedia Group’s (EXPE) B2B expansion is increasingly emerging as a key growth driver, reinforcing its transition toward a more scalable, platform-led travel model. In the fourth quarter of 2025, B2B ...

Booking Holdings (NASDAQ: BKNG)is trading at $4,243.73 on Wednesday, March 25, 2026. The stock is down 1.09% on the day, off $46.92 from Tuesday's close of $4,290.65. The intraday range has been $4,182.14 to $4,374.89 — a $192 band that reflects the same war-headline volatility that has been whipsawing every risk asset for four consecutive weeks. The 52-week range is $3,765.45 to $5,839.41. Market cap sits at $134.35 billion. Forward P/E is 16.02x. Dividend yield is 0.99%. Average daily volume is 528,770 sh ...

It has been about a month since the last earnings report for Booking Holdings (BKNG) . Shares have added about 7.2% in that time frame, outperforming the S&P 500.Will the recent positive trend continue leading up to its next earnings release, or is Booking Holdings due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the latest earnings report in order to get a better handle on the important drivers.Booking Holdings Q4 Earnings Beat Estimates ...

Core Insights - The fourth quarter room night growth of 9% exceeded expectations, driven by resilient travel demand and strategic investments in the U.S. and Asia markets [1] - Significant margin expansion is attributed to the Transformation Program, which achieved a $550 million annual run rate savings target by the end of 2025 [1] - The Connected Trip strategy is gaining traction, with multi-vertical transactions growing in the high 20% range, as flights serve as a critical customer acquisition funnel [1] - The Genius loyalty program is a primary growth engine, with high-tier members now accounting for over 50% of room nights and demonstrating higher direct booking rates [1] - The company emphasizes its unique supplier value proposition, noting that nearly 90% of bookings come from independent partners who rely on its global scale and fintech capabilities [1] - Generative AI is being integrated across the traveler journey to enhance personalization and search, while also driving down customer service costs per booking [1]

Core Insights - Booking Holdings (BKNG) reported fourth-quarter 2025 earnings of $48.8 per share, exceeding the Zacks Consensus Estimate by 1.18% and reflecting a year-over-year increase of 16.1% [1] - Revenues reached $6.35 billion, surpassing the Zacks Consensus Estimate by 3.87%, with a year-over-year growth of 16.1% and approximately 11% on a constant currency basis [2] Revenue Breakdown - Merchant revenues accounted for $4.25 billion (66.9% of total revenues), up 27.4% year over year, while agency revenues were $1.79 billion (28.2% of total revenues), down 3.9% year over year [4] - Advertising & Other revenues were $309 million (4.9% of total revenues), reflecting a year-over-year increase of 14.1% [4] Booking Performance - Fourth-quarter room nights totaled 285 million, growing 9% year over year, driven by strong demand across major regions, particularly in Asia and the United States [5] - Merchant gross bookings increased by 27.2% year over year to $30.8 billion, representing 72% of total gross bookings, up from 65% in the previous year [6] Operating Results - Adjusted EBITDA rose 19% year over year to approximately $2.2 billion, exceeding guidance by about 500 basis points, with an adjusted EBITDA margin expansion of 80 basis points to 34.6% [11] - Marketing expenses increased by 22.3% year over year, with marketing expense as a percentage of gross bookings at 4.5% compared to 4.2% in the prior year [7] Future Guidance - For Q1 2026, room night growth is expected between 5% and 7%, with gross bookings and revenues projected to grow 14% to 16% [14] - For the full year 2026, the company targets low double-digit growth in reported gross bookings and revenue, with adjusted EBITDA expected to grow faster than revenues [15] Investment Plans - The company plans to reinvest approximately $700 million in 2026 across various initiatives, including generative AI capabilities and expansion in the U.S. and Asia, expected to generate around $400 million in incremental revenue [16]

Financial Performance - Adjusted EBITDA for the fourth quarter reached $2.2 billion, a 19% increase year over year, with full-year adjusted EBITDA exceeding $9.9 billion, up 20% year over year [1][24][36] - Adjusted earnings per share grew 17% year over year, with a full-year adjusted EPS of over $228 per share, reflecting a 22% increase [1][26][37] - Full-year room nights grew by 8% year over year, with fourth-quarter room nights reaching 285 million, a 9% increase [2][27] Growth Metrics - Gross bookings increased by 16% year over year, with constant currency growth at approximately 11% [21][22] - Revenue for the fourth quarter grew 16% year over year, exceeding guidance by four percentage points, with constant currency revenue growth at about 11% [22][24] - The company achieved over 1.2 billion room nights for the full year, with gross bookings and revenue growth of 12-13% respectively [1][36] Strategic Initiatives - The transformation program launched in November 2024 has already enabled approximately $550 million in annual run rate savings, meeting the high end of prior guidance [4][41] - The company is focusing on enhancing AI capabilities to improve traveler and partner experiences, with significant investments in generative AI technologies [14][16] - The connected trip strategy has seen high 20% growth in connected trip transactions, representing a low double-digit percentage of total transactions [7][30] Market Position and Opportunities - Asia remains a key growth area, with low double-digit room night growth and strong demand supported by rising incomes and cross-border travel [10][11] - The Genius loyalty program has shown strong engagement, with level two and three members accounting for over 30% of the active base and 50% of room nights [9][29] - The company continues to invest in product improvements and partnerships to enhance the travel experience and reduce friction for both travelers and partners [11][12] Future Outlook - For 2026, the company targets constant currency top line growth approximately 100 basis points ahead of its long-term growth algorithm, with adjusted EBITDA margins expected to expand by about 50 basis points [6][44] - The first quarter of 2026 is projected to see room night growth between 5-7%, with gross bookings expected to increase by 14-16% [47][48] - The company plans to maintain a disciplined approach to capital allocation, focusing on strategic investments that drive long-term value creation [39][43]

Financial Data and Key Metrics Changes - In Q4 2025, room nights reached 285 million, a 9% year-over-year increase, exceeding expectations [7] - Fourth quarter gross bookings and revenue both increased by 16% year-over-year [8] - Adjusted EBITDA for Q4 was $2.2 billion, up 19% from the prior year quarter, with adjusted earnings per share growing 17% year-over-year [8][27] - For the full year 2025, room nights exceeded 1.2 billion, an 8% increase year-over-year, with gross bookings and revenue growth of 12% and 13% respectively [9] - Adjusted EBITDA for the full year was over $9.9 billion, increasing 20% year-over-year, with adjusted margins reaching 36.9% [9][37] Business Line Data and Key Metrics Changes - Connected trip transactions grew in the high 20% range, representing a low double-digit percentage of Booking.com's total transactions [12] - Flights bookings increased by 37% year-over-year, totaling 68 million airline tickets booked across platforms, contributing $16.8 billion in gross bookings [12][32] - Alternative accommodations room night growth was about 10% for the full year, with a global mix of alternative accommodation room nights at about 36% [31] Market Data and Key Metrics Changes - Asia experienced low double-digit room night growth, supported by rising incomes and increasing cross-border travel [15] - The U.S. delivered low double-digit growth, aided by targeted investments and momentum in the B2B business [24] - Europe and the rest of the world saw high single-digit growth in room nights [24] Company Strategy and Development Direction - The company is focused on advancing its Connected Trip vision and enhancing AI capabilities to improve traveler experiences [11][12] - Strategic investments are being made to support sustained growth and long-term value creation, particularly in Asia and the U.S. [11][36] - The transformation program has enabled approximately $550 million in annual run rate savings, which will be reinvested into strategic priorities [36][42] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about travel demand resilience and the company's ability to leverage AI for innovation [5][6] - The company anticipates full-year constant currency top-line growth of approximately 100 basis points ahead of its long-term growth algorithm for 2026 [11][44] - The first quarter of 2026 is expected to see room night growth between 5% and 7%, with gross bookings projected to increase between 14% and 16% [46][47] Other Important Information - The company plans to return capital to shareholders, including a 9.4% increase in quarterly cash dividends and a 25-for-1 stock split [41] - The full-year 2025 free cash flow was approximately $9.1 billion, a 15% increase from 2024 [39] Q&A Session Summary Question: Marketing spend deleverage in December quarter - Management noted that tactical marketing investments were made to capitalize on opportunities, leading to a 19% EBITDA growth despite some deleverage [50][51][54] Question: Economic uplift from agentic capabilities - Management highlighted ongoing development of agentic tools aimed at personalizing the travel experience, with early positive metrics observed [58][62] Question: Insights on the Genius program - Management acknowledged the importance of loyalty and indicated plans to enhance the Genius program further, with a focus on increasing direct bookings [68][70][72] Question: Update on partnerships with agentic businesses - Management stated that while they are early partners with large language model players, the complexity of being a merchant of record presents challenges that may not be easily overcome by these players [76][80]

Financial Data and Key Metrics Changes - In Q4 2025, room nights reached 285 million, a 9% year-over-year increase, exceeding expectations [7] - Fourth quarter gross bookings and revenue both increased by 16% year-over-year [8] - Adjusted EBITDA for Q4 was $2.2 billion, up 19% from the prior year quarter, with adjusted earnings per share growing 17% year-over-year [8][27] - For the full year, room nights exceeded 1.2 billion, an 8% increase year-over-year, with gross bookings and revenue growth at 12% and 13% respectively [9] - Adjusted EBITDA for the full year was over $9.9 billion, increasing 20% year-over-year, with adjusted margins reaching 36.9% [9][37] Business Line Data and Key Metrics Changes - Connected Trip transactions grew in the high 20% range, representing a low double-digit percentage of total transactions [12] - Flights bookings increased by 37% year-over-year, totaling 68 million airline tickets booked across platforms, generating gross bookings of $16.8 billion [12][32] - Alternative accommodations saw a full-year room night growth of about 10%, with a global mix of alternative accommodation room nights at about 36% [31] Market Data and Key Metrics Changes - Asia experienced low double-digit room night growth, supported by rising incomes and increasing cross-border travel [15] - The U.S. room night growth improved from low single digits in the first half of 2025 to low double digits in Q4 [28] - Europe and the rest of the world saw high single-digit room night growth [24] Company Strategy and Development Direction - The company is focused on advancing its Connected Trip vision and enhancing AI capabilities to improve traveler experiences [11][12] - Strategic investments are being made to support sustained growth and long-term value creation, particularly in Asia and the U.S. [11][36] - The transformation program has enabled approximately $550 million in annual run rate savings, which will be reinvested into strategic priorities [42][43] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about travel demand resilience and the company's ability to leverage AI for innovation [5][6] - The company anticipates full-year constant currency top-line growth of approximately 100 basis points ahead of its long-term growth algorithm [11] - For Q1 2026, room night growth is expected to be between 5% and 7%, with gross bookings projected to increase between 14% and 16% [46][47] Other Important Information - The company returned a total of $8.2 billion to shareholders in 2025, including $5.9 billion in share repurchases [40] - A 9.4% increase in the quarterly cash dividend per share to $10.50 was announced, reflecting confidence in long-term earnings [41] - A 25-for-1 stock split will take effect on April 2, 2026 [41] Q&A Session Summary Question: Marketing spend deleverage in December quarter - Management noted that tactical marketing investments were made to capitalize on opportunities, leading to a 19% EBITDA growth despite some deleverage [50][51][54] Question: Economic uplift from agentic capabilities - Management highlighted ongoing development of agentic tools aimed at personalizing travel experiences, with early positive metrics observed [58][62] Question: Insights on the Genius program - Management acknowledged the importance of loyalty and indicated plans to enhance the Genius program, which has shown strong engagement and contribution to bookings [68][72]

Financial Data and Key Metrics Changes - In Q4 2025, room nights reached 285 million, a 9% year-over-year increase, exceeding expectations [5][6] - Fourth quarter gross bookings and revenue both increased by 16% year-over-year [6][22] - Adjusted EBITDA for Q4 was $2.2 billion, up 19% from the prior year [6][25] - For the full year 2025, room nights exceeded 1.2 billion, an 8% increase year-over-year, with gross bookings and revenue growth at 12% and 13% respectively [6][30] - Adjusted EBITDA for the full year was over $9.9 billion, increasing 20% year-over-year, with adjusted margins reaching 36.9% [7][34] Business Line Data and Key Metrics Changes - Connected trip transactions grew in the high 20% range, representing a low double-digit percentage of total transactions [11] - Airline tickets booked across platforms reached 68 million, a 37% year-over-year increase, contributing $16.8 billion in gross bookings [11][29] - Alternative accommodations saw a full year room night growth of about 10% [28] Market Data and Key Metrics Changes - Asia and the U.S. each delivered low double-digit growth in room nights, while Europe and the rest of the world saw high single-digit growth [20][26] - The U.S. room night growth accelerated from low single digits in the first half of 2025 to low double digits in Q4 [26] Company Strategy and Development Direction - The company is focused on advancing its Connected Trip vision and enhancing AI capabilities to improve traveler experiences [10][12] - Strategic investments are being made to support sustained growth and long-term value creation, particularly in Asia and the U.S. [10][39] - The transformation program has enabled approximately $550 million in annual run rate savings, which will be reinvested into strategic priorities [38][39] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about travel demand resilience and the company's ability to leverage AI for enhanced customer experiences [4][19] - The company anticipates full-year constant currency top-line growth of approximately 100 basis points ahead of its long-term growth algorithm for 2026 [10][40] - Management expects to maintain disciplined capital returns while investing in growth opportunities [37][40] Other Important Information - The company returned a total of $8.2 billion to shareholders in 2025, including $5.9 billion in share repurchases [36] - A 9.4% increase in the quarterly cash dividend per share to $10.50 was announced, reflecting confidence in long-term earnings [37] Q&A Session Summary Question: Marketing spend deleverage in December quarter - Management noted that marketing spend was tactical, taking advantage of opportunities for long-term value, despite some deleverage [45][46] Question: Economic uplift from agentic capabilities - Management highlighted the goal of creating a personalized digital travel agent experience, with ongoing investments in agentic tools [52][54] Question: Updates on the Genius program - The Genius program is seen as a key area for increasing loyalty and engagement, with plans for further enhancements [62][63]

Core Insights - Booking Holdings (BKNG) is set to report its fourth-quarter 2025 results on February 18, with revenue estimates at $6.11 billion, reflecting an 11.73% year-over-year growth, and earnings per share (EPS) estimated at $48.23, indicating a 16.08% increase from the previous year [1][2] Group 1: Financial Performance Expectations - The Zacks Consensus Estimate for revenues is $6.11 billion, suggesting an 11.73% growth from the same quarter last year [1] - The consensus estimate for earnings is $48.23 per share, indicating a 16.08% increase year-over-year, with a recent upward revision of 5 cents in the past 30 days [1] - The company has consistently beaten earnings estimates in the last four quarters, with an average beat of 18.21% [2] Group 2: Operational Momentum and Strategic Initiatives - Booking Holdings is expected to have entered Q4 2025 with strengthening operational momentum, driven by strategic initiatives in loyalty and multi-vertical expansion [3] - The Genius loyalty program is anticipated to show robust engagement, with higher conversion rates and repeat booking behavior from travelers in Levels 2 and 3 [3] - The direct channel mix is projected to be in the mid-60% range, contributing to marketing efficiency and reduced customer acquisition costs [3] Group 3: Market Trends and Growth Projections - The Connected Trip vision is gaining momentum, with multi-vertical booking behavior accelerating, particularly in flight tickets and attractions, which are growing faster than accommodation bookings [4] - Room night growth is expected to moderate between 4% and 6% due to normalization of the booking window, indicating a slowdown in growth [5] - Revenue growth is projected between 10% and 12%, facing challenges from a higher mix of lower-margin flight and attractions bookings, which may pressure overall take rates and margins [5] Group 4: Earnings ESP and Stock Outlook - According to the Zacks model, Booking Holdings has an Earnings ESP of +1.01% and a Zacks Rank of 3 (Hold), which suggests a moderate likelihood of an earnings beat [6] - The company is positioned within a competitive landscape, with other stocks like Nutrien and Analog Devices also showing favorable earnings outlooks [7][9]