Q4 2022 Earnings Report: Booking Holdings, Beyond Meat, and Carvana

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Q4 2022 Earnings Report: Booking Holdings, Beyond Meat, and Carvana

Mixed Financial Results for Companies Impacted by Pandemic

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The fourth quarter of 2022 saw significant financial results from three major companies – Booking Holdings Inc., Beyond Meat Inc., and Carvana Co. Each company had a unique experience during the quarter, but all were impacted by the ongoing COVID-19 pandemic in some way. Booking Holdings Inc. reported a strong increase in revenue thanks to sustained travel demand, while Beyond Meat Inc. had better-than-expected quarterly sales due to high demand for its plant-based meat products. Carvana Co., however, struggled to sell its pre-owned vehicles due to semiconductor shortages and reported a substantial rise in net loss for the quarter.

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Booking Holdings Inc. (BKNG), the parent company of Booking.com and KAYAK, reported a 36% year-over-year increase in revenue for the fourth quarter, reaching $4 billion, which surpassed Wall Street’s estimates of $3.89 billion. The increase in revenue was attributed to the sustained demand for travel, with gross bookings for the quarter rising 44% from the previous year to $27.3 billion. For the fiscal year 2022, gross travel bookings increased by 58% to $121.3 billion, while total revenues for the full year increased by 56% to $17.1 billion.

Beyond Meat Inc. (BYND) forecasted its full-year revenue to be in the range of $375 million to $415 million, surpassing market estimates, due to the high demand for its plant-based meat products, such as patties, sausages, and meatballs, at grocers and convenience stores. The company’s net revenue fell to $79.9 million in the quarter ended Dec. 31, beating analysts’ expectations of $75.7 million. The forecasted revenue range was slightly above the market consensus of $394.2 million, according to Refinitiv data. The announcement resulted in a 15% rise in the company’s shares during extended trading.

Carvana Co. (CNVA), a debt-laden used car retailer, reported a nine-fold rise in net loss for the fourth quarter, amounting to $806 million, or $7.61 per class A share, up from a loss of $89 million, or $1.02 per class A share, a year earlier. The company has been struggling to sell its pre-owned vehicles since semiconductor shortages have hampered the supply of new cars. The company reduced its inventory by 27% in the quarter and said it would reduce inventory and advertising spend further in the first quarter as it looks to normalize its inventory size in a “high depreciation environment.” The revenue for the fourth quarter fell almost 24% to $2.84 billion, causing a 5% drop in the company’s shares during extended trade.

Overall, the fourth quarter of 2022 saw mixed results for these three companies. While Booking Holdings Inc. and Beyond Meat Inc. had positive financial results, Carvana Co. struggled with decreased demand for its pre-owned vehicles. These varying outcomes can be attributed to the ongoing COVID-19 pandemic, which continues to impact businesses and consumers worldwide. As the pandemic continues to evolve, it remains to be seen how these and other companies will navigate the changing landscape of the global economy.