BKNG · 10-Q · 2026Q2 · Full report
Operating Expense Trends
Booking Holdings Inc. · 2026-08-04 · Importance 54 · Surprise 40 · No source text
Marketing expense increased 10.8% year over year to $2.371 billion in the second quarter and 13.4% to $4.439 billion for the first six months of 2026. Marketing expense was 32.2% of revenue in the quarter versus 31.5% a year earlier, and six-month marketing expense was 34.5% of revenue versus 33.9%, reflecting investment in paid channels, declining SEO traffic, and lower returns on some Middle East-affected bookings. Information technology expense increased 20.1% in the quarter and 19.9% for six months, driven by higher cloud-computing costs, software-license fees, and foreign-exchange effects. Six-month personnel expense increased 12.8%, primarily because the prior-year period included a $170 million reduction in the Netherlands pension-fund accrual, while headcount rose 3% to approximately 25,550.
Key facts
- Total performance and brand marketing expenses were $2.4 billion in the second quarter of 2026, up 11% versus the second quarter of 2025. source
- Marketing expenses were $2,371 million for the three months ended June 30, 2026, a 10.8% increase from $2,139 million in the three months ended June 30, 2025. source
- Personnel expenses were $1,793 million for the six months ended June 30, 2026, up 12.8% from $1,589 million for the six months ended June 30, 2025. source
- Marketing expenses as a percentage of total revenues were 32.2% for the three months ended June 30, 2026 and 31.5% for the three months ended June 30, 2025. source
- Personnel expenses as a percentage of total revenues were 12.2% for the three months ended June 30, 2026 and 13.2% for the three months ended June 30, 2025. source
- General and administrative expenses decreased year-over-year for the six months ended June 30, 2026 primarily due to the $89 million benefit from the settlement of certain litigation matters. source
- Other income (expense), net was $(962) million for the three months ended June 30, 2026 and $(1,220) million for the six months ended June 30, 2026. source
- Sales and other expenses increased year-over-year due primarily to an increase in merchant transaction costs of $37 million and $149 million for the three and six months ended June 30, 2026, respectively. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| operating_income | negative | realized | -3.2% | Marketing expenses were $2,371 million for the three months ended June 30, 2026, a 10.8% increase from $2,139 million in the three months… |
| operating_income | negative | realized | -2.8% | Personnel expenses were $1,793 million for the six months ended June 30, 2026, up 12.8% from $1,589 million for the six months ended June… |
| margin | positive | realized | +1.0% | Personnel expenses as a percentage of total revenues were 12.2% for the three months ended June 30, 2026 and 13.2% for the three months… |
| margin | negative | realized | -0.7% | Marketing expenses as a percentage of total revenues were 32.2% for the three months ended June 30, 2026 and 31.5% for the three months… |