Airbnb, Inc. · NASDAQ:ABNB
Airbnb — Q3 2024 Earnings Presentation
31 slides from Airbnb's earnings presentation, Nov 7, 2024
Slide 1: Q3 2024 Shareholder Letter
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Slide 2: Key Financial Measures Q3 2024
Key Financial Measures Q3 2024 $3.7B Revenue Q3 revenue of $3.7 billion increased 10% compared to Q3 2023 primarily driven by the growth of nights stayed on the platform. 10% Y/Y 10% Y/Y (ex-FX) $1.4B Net Income We generated $1.4 billion of net income during Q3 2024 and delivered a 37% net income ma
Slide 3: Q3 2024 Shareholder Letter
Q3 2024 Shareholder Letter Airbnb had a strong Q3. Nights and Experiences Booked accelerated throughout the quarter and into Q4, despite a softer start due to shorter booking lead times compared to 2023. Revenue grew 10% year- over-year to $3.7 billion. Net income was $1.4 billion, representing a ne
Slide 4: Business Highlights
• Q3 Adjusted EBITDA was $2.0 billion, up 7% year-over-year. Adjusted EBITDA increased to $2.0 billion in Q3 2024 from $1.8 billion in Q3 2023, which demonstrates the continued strength of our business and discipline in managing our cost structure. Adjusted EBITDA Margin was 52% in Q3 2024, down fro
Slide 5: Results from our 2024 Summer Release
places to stay with Guest Favorites and top listing highlights, which show percentile ranking for the top 1%, 5%, and 10% of eligible homes. Since launching a year ago, over 200 million nights have been booked at Guest Favorite listings, and nights booked with Superhosts have increased by 21%. Lastl
Slide 6: Co-Host Network and a more personalized app
By making hosting easier, we believe Co-Host Network will allow us to unlock even more high-quality supply. In the three weeks since launch, we’ve received tremendous interest from over 20,000 potential new co-hosts. A more personalized app Travel apps have historically been one-size-fits-all. We’re
Slide 7: Co-Host Network
A CLOSER LOOK Co-Host Network Opportunity Solution For many people, hosting feels like too much work. Co-Host Network connects hosts with over 10,000 Giving them access to the right support can help co-hosts in 10 countries, ready to take the work out prospective and seasoned hosts alike. of hosting
Slide 8: A more personalized app
A CLOSER LOOK A more personalized app Opportunity Solution Travel apps have historically been a one-size- Our 2024 Winter Release introduced 50 upgrades fits-all experience. A more personalized approach to the guest app, creating an experience that’s can save guests time and increase conversion. tai
Slide 9: Airbnb.org: supporting hurricane victims
Airbnb.org: supporting hurricane victims Airbnb.org is a nonprofit founded by Airbnb that helps provide access to free, emergency housing for people displaced by disaster and conflict around the world. In recent months, hurricanes have devastated millions of lives across the southeastern U.S. Airbnb
Slide 10: Q3 2024 Business and Financial Performance
Q3 2024 Business and Financial Performance Q3 2024 122.8M $20.1B Nights & Experiences Booked Gross Booking Value 8% Y/Y 10% Y/Y 10% Y/Y (ex-FX) During Q3 2024, we had 122.8 million Nights and Experiences Booked—our highest Q3 ever. We saw continued growth across all regions compared to Q3 2023, with
Slide 11: Regional growth and Average Daily Rates
Consistent with recent quarters, we saw the highest year-over-year growth of active listings in Latin America and Asia Pacific—the two regions that also had the highest level of year-over-year growth of Nights and Experiences Booked. • Asia Pacific: In Asia Pacific, Nights and Experiences Booked inc
Slide 12: Q3 2024 Financial Results
Q3 2024 $3.7B $1.4B $2.0B Revenue Net Income Adjusted EBITDA 10% Y/Y 37% Margin 52% Margin 10% Y/Y (ex-FX) $1.1B $1.1B $4.1B Net Cash Provided by Free Cash Flow TTM Free Cash Flow Operating Activities 29% Margin 38% Margin 29% Margin In Q3 2024, revenue was $3.7 billion, representing a year-over-yea
Slide 13: Marketing and Stock-Based Compensation Outlook
our brand and performance marketing across all key markets as we optimize channel and audience mix, including in those areas where we are less penetrated. For instance, we continued to see faster growth in bookings on an origin basis in low penetration states in middle-America through our marketing
Slide 14: Quarterly Revenue and Net Income
Quarterly Revenue ($M) Q3 2024 revenue of $3.7 billion increased 10% compared to Q3 2023. $4,000M 10% Y/Y Change $4,000M 18% 10% Y/Y Change 18% 10% $4,000M 29% $3,732 Y/Y Change $3,000M 29% 18% $3,732 $3,000M $3,397 29% $3,397 $3,732 $3,000M $2,884 $2,000M $2,884 $3,397 $2,000M $2,884 $2,000M $1,000
Slide 15: Quarterly Operating Cash Flow and Free Cash Flow
Quarterly Net Cash Provided by Operating Activities ($M) $1,500M $1,500M 39% 39% In Q3 2024, net cash provided by operating activities was $1.1 billion. Net Net cash cash provided provided by by operating operating activities activities 29% 29% % of revenue 33% % of revenue $1,125M $1,125M 33% $1,32
Slide 16: Shares (M)
Shares (M) We repurchased $1.1 billion of Class A common stock during Q3 2024 to help manage the impact of share dilution. 800M Fully Diluted 698 681 665 Share Count 65 42 38 Stock Based Awards & 600M Warrants Outstanding 633 639 627 Common Shares Outstanding 400M 200M 0M Sept 2022 Sept 2023 Sept 20
Slide 17: Balance Sheet and Cash Flows, Capital Allocation, Outlook
Balance Sheet and Cash Flows For the three months ended September 30, 2024, we reported $1.1 billion of net cash provided by operating activities and $1.1 billion of FCF, compared to $1.3 billion and $1.3 billion, respectively, for the three months ended September 30, 2023.5 As of September 30, 2024
Slide 18: Outlook, Earnings Webcast, About Airbnb
In Q1 2025, the year-over-year growth rate of revenue will be negatively impacted by the comparison to Q1 2024, which benefited from both the timing of Easter and inclusion of Leap Day. For the full-year 2025, we’ll continue to pursue our growth initiatives, including offering new products and servi
Slide 19: Forward-Looking Statements and Non-GAAP Financial Measures
the Company’s expectations regarding future operating performance, including Nights and Experiences Booked and GBV; the Company’s expectations regarding ADR; the anticipated tax rate; the Company’s expectations regarding marketing spend; the Company’s expectations with respect to stock-based compens
Slide 20: Non-GAAP Financial Measures
with GAAP (“non-GAAP financial measures”). We believe our non-GAAP financial measures are useful in evaluating our operating performance. We use various non-GAAP financial information, collectively, to evaluate our ongoing operations and for internal planning and forecasting purposes. We believe tha
Slide 21: Limitations of Adjusted EBITDA
• Adjusted EBITDA excludes certain recurring, non-cash charges, such as depreciation of property and equipment and amortization of intangible assets, and although these are non-cash charges, the assets being depreciated and amortized may have to be replaced in the future, and Adjusted EBITDA does no
Slide 22: Constant currency information
currency amounts and change rate information to provide a framework for assessing how our revenue, GBV, net income (loss), Adjusted EBITDA, and ADR performed excluding the effect of changes in foreign exchange rates. We use the amounts and percentage change in constant currency revenues, GBV, net in
Slide 23: Quarterly Summary
Quarterly Summary 2022 2023 2024 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Nights and 102.1M 103.7M 99.7M 88.2M 121.1M 115.1M 113.2M 98.8M 132.6M 125.1M 122.8M Experiences Booked Y/Y 59% 25% 25% 20% 19% 11% 14% 12% 9% 9% 8% Gross Booking Value $17.2B $16.9B $15.6B $13.5B $20.4B $19.1B $18.3B $15.5B $22.9B $2
Slide 24: Condensed Consolidated Statements of Operations
Condensed Consolidated Statements of Operations Unaudited (in millions, except per share amounts) Three Months Ended Nine Months Ended September 30 September 30 2023 2024 2023 2024 Revenue $3,397 $3,732 $7,699 $8,622 Costs and expenses: Cost of revenue 459 465 1,319 1,451 Operations and support (1)
Slide 25: Condensed Consolidated Balance Sheets
Condensed Consolidated Balance Sheets Unaudited (in millions) December 31, 2023 September 30, 2024 Assets Current assets: Cash and cash equivalents $6,874 $7,670 Short-term investments 3,197 3,583 Funds receivable and amounts held on behalf of customers 5,869 6,573 Prepaids and other current assets
Slide 26: Condensed Consolidated Statements of Cash Flows
Condensed Consolidated Statements of Cash Flows Unaudited (in millions) Nine Months Ended September 30 2023 2024 Cash flows from operating activities: Net income $5,141 $2,187 Adjustments to reconcile net income to cash provided by operating activities: Depreciation and amortization 28 43 Stock-base
Slide 27: Key Business Metrics
Key Business Metrics Three Months Ended Nine Months Ended September 30 September 30 2023 2024 2023 2024 Nights and Experiences Booked 113.2M 122.8M 349.4M 380.5M Gross Booking Value $18.3B $20.1B $57.8B $64.2B We track certain key business metrics to measure our performance, identify trends, formula
Slide 28: Adjusted EBITDA Reconciliation
Reconciliations of Non-GAAP Financial Measures The following is a reconciliation of Adjusted EBITDA to the most comparable GAAP measure, net income (loss). Adjusted EBITDA Reconciliation (in millions, except percentages) Three Months Ended Mar 31 Jun 30 Sept 30 Dec 31 Mar 31 Jun 30 Sept 30 Dec 31 Ma
Slide 29: Free Cash Flow Reconciliation
The following is a reconciliation of Free Cash Flow to the most comparable GAAP measure, net cash provided by operating activities. Free Cash Flow Reconciliation (in millions, except percentages) Three Months Ended Mar 31 Jun 30 Sept 30 Dec 31 Mar 31 Jun 30 Sept 30 Dec 31 Mar 31 Jun 30 Sept 30 2022
Slide 30: One idea can start a revolution
One idea can We believe that daring thinking and fearless creativity can change everything. Just as Prince redefined music, start a revolution we endeavor to transform how people explore and experience the world. This bold spirit is what pushes us to defy conventions and create unforgettable moments
Slide 31: Cover image: The Purple Rain house, an Icon on Airbnb
Cover image: The Purple Rain house, an Icon on Airbnb