0001075531-26-000025
SEC filingBooking Holdings delivered strong top- and bottom-line growth in Q1 2026, with revenue up 16.2% and operating income up 19.7%, reflecting continued execution on the merchant model shift — a dynamic confirmed by the increase in deferred merchant bookings driven by higher business volumes.
Operating income grew 19.7% to $1.3B, outpacing revenue growth and driving operating margin to 23.0%. This expansion occurred despite the inherent margin pressure associated with non-accommodation services, which the Company notes may negatively affect overall operating margins as their share of total business increases. The improvement reflects sustained discipline in cost management and scale efficiencies, consistent with management’s stated focus on delivering value while maintaining prudent expense control.
Net cash provided by operating activities totaled $3.2B, slightly below the $3.3B in Q1 2025, while capital expenditures declined to $107M from $121M. The resulting free cash flow of $3.1B supports the Company’s dual objectives: preserving capital and maintaining sufficient liquidity for operational needs. Management reaffirms its investment policy prioritizes safety and flexibility — a stance reinforced by the absence of new buyback disclosures or guidance in this filing, aligning with its long-term, traveler- and partner-focused orientation.