Booking Holdings 2025 Q3 Earnings Beats Expectations with 9.2% Net Income Growth

Booking Holdings (BKNG), ranked 88th by market capitalization, reported its fiscal 2025 Q3 earnings on Oct 28, 2025. The company exceeded revenue and EPS estimates, with total revenue rising 12.7% to $9.01 billion and adjusted EPS hitting $99.50. Guidance for Q4 and full-year 2025 was raised, reflecting confidence in sustained growth.

Revenue

Merchant revenue led the way at $6.13 billion, followed by agency revenue of $2.57 billion. Advertising and other revenue added $308 million, bringing the total to $9.01 billion. The segment growth underscored strong demand across travel services, driven by 8% YoY room night growth and 14% gross bookings expansion.

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Earnings/Net Income

Booking Holdings’ EPS surged 12.6% to $84.86, with net income reaching $2.75 billion—a 9.2% increase from 2024 Q3. The EPS growth outperformed net income gains, signaling robust profitability despite higher operating costs and a $457 million KAYAK impairment charge.

Post-Earnings Price Action Review

The stock initially declined 2.29% in the latest trading day, with a 3.13% drop over the week and a 7.70% month-to-date decline. However, shares surged nearly 5% in after-hours trading following the earnings beat, which exceeded Wall Street’s $96 EPS and $8.7 billion revenue estimates. The rebound reflected investor optimism about sustained travel demand and strategic AI initiatives.

CEO Commentary

CEO Glenn Fogel highlighted double-digit gross bookings and revenue growth, with room nights up 8% YoY. He emphasized AI-driven innovations, loyalty program expansion (Genius now accounts for mid-50% of Booking.com room nights), and momentum in the U.S. and Asia. Fogel expressed confidence in navigating macroeconomic challenges while advancing the “Connected Trip” vision.

Guidance

Booking Holdings projected Q4 2025 room night growth of 4–6%, gross bookings up 11–13%, and revenue growth of 10–12%. Full-year 2025 guidance includes 12% revenue growth and adjusted EBITDA of $2.0B–$2.1B. FX tailwinds are expected to boost reported growth rates by 3–4 percentage points.

Additional News

1. OpenTable Loyalty Program Launch: OpenTable introduced “OpenTable Regulars,” a loyalty program offering points for reservations, Gold status tiers, and rewards like Amazon gift cards.


2. KeyBanc Initiation: KeyBanc Capital Markets initiated BKNG with an Overweight rating and a $6,450 price target, citing AI investments and global scale.


3. KAYAK Impairment Charge: A $457 million goodwill write-down was recorded for the KAYAK unit, reflecting softer growth in flight search services.

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