Analysis of Profitability Ratios
Profitability ratios measure the company ability to generate profitable sales from its resources (assets).
Profitability Ratios (Summary)
Booking Holdings Inc., profitability ratios
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
| Profitability ratio | Description | The company |
|---|---|---|
| Operating profit margin | A profitability ratio calculated as operating income divided by revenue. | Booking Holdings Inc. operating profit margin ratio improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023. |
| Net profit margin | An indicator of profitability, calculated as net income divided by revenue. | Booking Holdings Inc. net profit margin ratio improved from 2021 to 2022 and from 2022 to 2023. |
| Profitability ratio | Description | The company |
|---|---|---|
| ROA | A profitability ratio calculated as net income divided by total assets. | Booking Holdings Inc. ROA improved from 2021 to 2022 and from 2022 to 2023. |
Operating Profit Margin
Booking Holdings Inc., operating profit margin calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Operating income (loss) | 5,835) | 5,102) | 2,496) | (631) | 5,345) | |
| Revenues | 21,365) | 17,090) | 10,958) | 6,796) | 15,066) | |
| Profitability Ratio | ||||||
| Operating profit margin1 | 27.31% | 29.85% | 22.78% | -9.28% | 35.48% | |
| Benchmarks | ||||||
| Operating Profit Margin, Competitors2 | ||||||
| Airbnb Inc. | 15.31% | 21.45% | 7.17% | -106.27% | — | |
| Carnival Corp. & plc | 9.06% | -35.99% | -371.54% | -158.45% | 15.73% | |
| Chipotle Mexican Grill Inc. | 15.78% | 13.44% | 10.67% | 4.85% | 7.95% | |
| McDonald’s Corp. | 45.68% | 40.42% | 44.59% | 38.13% | 43.03% | |
| Starbucks Corp. | 16.32% | 14.32% | 16.77% | 6.64% | 15.38% | |
| Operating Profit Margin, Sector | ||||||
| Consumer Services | 22.85% | 17.37% | 15.08% | -6.06% | 24.94% | |
| Operating Profit Margin, Industry | ||||||
| Consumer Discretionary | 9.14% | 8.09% | 8.18% | 5.56% | 7.83% | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Operating profit margin = 100 × Operating income (loss) ÷ Revenues
= 100 × 5,835 ÷ 21,365 = 27.31%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Operating profit margin | A profitability ratio calculated as operating income divided by revenue. | Booking Holdings Inc. operating profit margin ratio improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023. |
Net Profit Margin
Booking Holdings Inc., net profit margin calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income | 4,289) | 3,058) | 1,165) | 59) | 4,865) | |
| Revenues | 21,365) | 17,090) | 10,958) | 6,796) | 15,066) | |
| Profitability Ratio | ||||||
| Net profit margin1 | 20.07% | 17.89% | 10.63% | 0.87% | 32.29% | |
| Benchmarks | ||||||
| Net Profit Margin, Competitors2 | ||||||
| Airbnb Inc. | 48.32% | 22.54% | -5.88% | -135.71% | — | |
| Carnival Corp. & plc | -0.34% | -50.07% | -497.96% | -182.95% | 14.36% | |
| Chipotle Mexican Grill Inc. | 12.45% | 10.41% | 8.65% | 5.94% | 6.27% | |
| McDonald’s Corp. | 33.22% | 26.65% | 32.49% | 24.63% | 28.59% | |
| Starbucks Corp. | 11.46% | 10.18% | 14.45% | 3.95% | 13.58% | |
| Net Profit Margin, Sector | ||||||
| Consumer Services | 18.38% | 9.06% | 4.71% | -13.57% | 20.02% | |
| Net Profit Margin, Industry | ||||||
| Consumer Discretionary | 7.82% | 4.67% | 8.37% | 4.18% | 6.13% | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Net profit margin = 100 × Net income ÷ Revenues
= 100 × 4,289 ÷ 21,365 = 20.07%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Net profit margin | An indicator of profitability, calculated as net income divided by revenue. | Booking Holdings Inc. net profit margin ratio improved from 2021 to 2022 and from 2022 to 2023. |
Return on Equity (ROE)
Booking Holdings Inc., ROE calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income | 4,289) | 3,058) | 1,165) | 59) | 4,865) | |
| Stockholders’ equity (deficit) | (2,744) | 2,782) | 6,178) | 4,893) | 5,933) | |
| Profitability Ratio | ||||||
| ROE1 | — | 109.92% | 18.86% | 1.21% | 82.00% | |
| Benchmarks | ||||||
| ROE, Competitors2 | ||||||
| Airbnb Inc. | 58.69% | 34.05% | -7.37% | -158.00% | — | |
| Carnival Corp. & plc | -1.08% | -86.24% | -78.24% | -49.80% | 11.79% | |
| Chipotle Mexican Grill Inc. | 40.13% | 37.97% | 28.42% | 17.61% | 20.81% | |
| McDonald’s Corp. | — | — | — | — | — | |
| Starbucks Corp. | — | — | — | — | — | |
| ROE, Sector | ||||||
| Consumer Services | 857.04% | 300.69% | 23.97% | -59.34% | 96.18% | |
| ROE, Industry | ||||||
| Consumer Discretionary | 30.04% | 19.34% | 30.06% | 18.33% | 31.35% | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
ROE = 100 × Net income ÷ Stockholders’ equity (deficit)
= 100 × 4,289 ÷ -2,744 = —
2 Click competitor name to see calculations.
Return on Assets (ROA)
Booking Holdings Inc., ROA calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income | 4,289) | 3,058) | 1,165) | 59) | 4,865) | |
| Total assets | 24,342) | 25,361) | 23,641) | 21,874) | 21,402) | |
| Profitability Ratio | ||||||
| ROA1 | 17.62% | 12.06% | 4.93% | 0.27% | 22.73% | |
| Benchmarks | ||||||
| ROA, Competitors2 | ||||||
| Airbnb Inc. | 23.21% | 11.80% | -2.57% | -43.70% | — | |
| Carnival Corp. & plc | -0.15% | -11.78% | -17.81% | -19.10% | 6.64% | |
| Chipotle Mexican Grill Inc. | 15.27% | 12.98% | 9.81% | 5.95% | 6.86% | |
| McDonald’s Corp. | 15.08% | 12.25% | 14.01% | 8.99% | 12.68% | |
| Starbucks Corp. | 14.01% | 11.73% | 13.38% | 3.16% | 18.73% | |
| ROA, Sector | ||||||
| Consumer Services | 12.16% | 5.16% | 2.03% | -5.03% | 12.89% | |
| ROA, Industry | ||||||
| Consumer Discretionary | 7.44% | 4.36% | 7.07% | 3.39% | 5.64% | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
ROA = 100 × Net income ÷ Total assets
= 100 × 4,289 ÷ 24,342 = 17.62%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| ROA | A profitability ratio calculated as net income divided by total assets. | Booking Holdings Inc. ROA improved from 2021 to 2022 and from 2022 to 2023. |