Booking Holdings Q3 2026: What the Revenue Miss Really Means

Booking Holdings reported adjusted EPS of $4.66 for Q3 2026, topping the $4.50 consensus estimate and extending its streak of beating adjusted earnings expectations to six consecutive quarters. Reported revenue of $8.89 billion came in missing expectations and declined roughly 1.3% year over year on a GAAP basis.

The gap between the earnings beat and the revenue miss traces almost entirely to a single regulatory item: a $900 million revenue reduction tied to an FTC matter was deducted from GAAP results. Strip that charge away and the operational picture looks considerably healthier, with room nights growing 7% to 345 million and gross bookings rising 10% to roughly $54.5 billion.

CEO Glenn Fogel framed the quarter positively, saying the company saw 'double-digit gross bookings growth, margin expansion, and 17% adjusted earnings per share growth,' while also noting that 'geopolitical and macroeconomic uncertainty may affect near-term travel trends.' Management's forward guidance tells a meaningfully different story than the Q3 operating metrics.

The real concern heading into Q4 is the guidance. Management set Q4 room-night growth at just 1% to 3%, a sharp deceleration from the 7% posted in Q3, citing softer international demand and ongoing disruptions tied to the Middle East conflict. Adjusted EBITDA for Q4 is expected to come in roughly flat.

Booking Holdings did repurchase $2.1 billion of its own stock during the quarter, with $12.4 billion of buyback authorization remaining as of September 30, 2026. The company also declared a fourth-quarter cash dividend of $0.42 per share. Those capital return moves reflect management's confidence in the longer-term business even as the near-term travel environment grows more uncertain.