Airbnb, Inc. · NASDAQ:ABNB
Airbnb — Q3 2021 Earnings Presentation
32 slides from Airbnb's earnings presentation, Nov 4, 2021
Slide 1: Shareholder Letter Q3 2021
Shareholder Letter Q3 2071 airbnb
Slide 2: Q3 2021 key metrics summary
Q3 2021 79.7M Nights and Experiences Booked Airbnb saw continued strength in Nights and Experiences Booked in both North America and EMEA and acceleration 29% Y/Y in Latin America, all of which have driven significant (7)% Y/2Y year- over- year growth. $11.9B Gross Booking Value (GBV) Strong recover
Slide 3: Q3 2021 Shareholder Letter
Q3 2021 Shareholder Letter The travel rebound that began earlier this year accelerated in Q3, resulting in Airbnb’s strongest quarter ever. Revenue and net income were our highest ever. Adjusted EBITDA exceeded $1 billion, also our highest ever. This summer, we reached a major milestone of 1 billion
Slide 4: Live anywhere: A travel revolution
Live anywhere: A travel revolution For centuries, people have been tethered to where they work. Then the pandemic hit and suddenly untethered tens of millions of people from the need to work in specific places at specific times. They can now work from anywhere, travel any time, and stay longer. For
Slide 5: November 9: Airbnb 2021 Winter Release
for long-term stays. More than 90% of active listings now accept long-term stays, and the number of active listings that offer the monthly discount is up 20% from Q3 2019. • More people are interested in hosting. In Q3, we saw continued supply growth, and our Host community is stronger than ever. Se
Slide 6: Progress on our 2021 Plan
Progress on our 2021 Plan Our single priority for 2021 has been to prepare for the travel rebound. To do this, we’ve been perfecting our existing product. We’ve made significant improvements to the end-to-end experience of our core service for both Hosts and guests, and we continue to focus on the f
Slide 7: Recruiting more Hosts
Recruiting more Hosts We have more Hosts as a result of our ongoing 2021 recruitment efforts. Hosts who started during the pandemic came from over 200 countries and regions, from Albania to Zimbabwe. Earlier this year, we launched a digital campaign focused on recruiting new Hosts, and in Q3 2021, t
Slide 8: Host Spotlight: Teddy & Christina—Hudson Valley, New York
H O ST S P OT L I G H T Teddy & Christina—Hudson Valley, New York Teddy and Christina were both Airbnb Hosts before they met and married. They began hosting together in their Brooklyn apartment in 2014. In 2017, they bought a weekend home in the Hudson Valley that they planned to help finance by lis
Slide 9: Host Spotlight: Christina and Teddy's home
H O ST S P OT L I G H T Christina is a museum curator and Teddy is a designer, and guests love their three- bedroom home for its unique decor and personal touches including Teddy’s record collection, Christina’s meditation nook, and the kitchen with always-sharp chef’s knives. Avid travelers themsel
Slide 10: Simplifying the guest journey; Delivering world-class service
Simplifying the guest journey Earlier this year, we introduced I’m Flexible, a whole new way to search on Airbnb when guests are flexible about where or when they are traveling. Since then, guests have used I’m Flexible more than 500 million times. Due to the popularity of this feature, on November
Slide 11: Housing 20,000 Afghan refugees
Line has proven to be an important tool in Airbnb’s efforts to combat unauthorized gatherings and enforce our global ban on parties. Housing 20,000 Afghan refugees To help support the resettlement of Afghans here in the U.S. and elsewhere, in August, Airbnb.org committed to providing temporary housi
Slide 12: Q3 2021 Business and Financial Performance
Q3 2021 Business and Financial Performance Q3 2021 79.7M $11.9B Nights & Experiences Booked Gross Booking Value 29% Y/Y 48% Y/Y (7)% Y/2Y 46% Y/Y (ex-FX) 23% Y/2Y Q3 2021 In Q3 2021, Nights and Experiences Booked of 79.7 million represented a significant increase from a year ago (+29% Y/Y) and sligh
Slide 13: Travel corridors and distance
Travel corridors and distance We are seeing recovery in both longer-distance and cross-border travel this year, while domestic and short-distance travel continue to be more popular than 2019 levels. Cross-border travel jumped to 33% of gross nights booked in Q3, up from 27% in Q2 and only 20% in Q1.
Slide 14: Q3 2021 Revenue, Net Income, Adjusted EBITDA
Q3 2021 $2.2B $834M $1.1B Revenue Net Income Adjusted EBITDA 67% Y/Y 280% Y/Y 120% Y/Y 64% Y/Y (ex. FX) 213% Y/2Y 251% Y/2Y 36% Y/2Y Q3 2021 In Q3 2021, revenue was $2.2 billion, our strongest ever, representing a year-over-year increase of 67% (or 64% ex-FX). The increase in revenue was driven by t
Slide 15: Quarterly Revenue, Net Income, Adjusted EBITDA
Quarterly Revenue ($M) Q3 2021 revenue was our highest ever as guests travel and live on Airbnb. $3,000M Y/Y Change $3,000M Y/Y Change $3,000M 67% Y/Y Change 67% $2,000M 30% 67% $2,000M 30% $2,237 (18)% $2,237 $2,000M 30% (18)% $1,646 $2,237 $1,646 (18)% $1,000M $1,342 $1,000M $1,646 $1,342 $1,000M
Slide 16: Operating expenses in Q3 2021
Operating expenses in Q3 2021 included the impact of $211 million of stock-based compensation expense, which is excluded from Adjusted EBITDA. All operating expense line-items (excluding the impact of stock-based compensation expense), with the exception of sales and marketing, increased more slowly
Slide 17: Outlook
impact Free Cash Flow for any given quarter. We typically see a slight decline in GBV and a peak in check- ins in the third quarter, which results in a decrease in unearned fees and lower sequential level of Free Cash Flow. As of September 30, 2021, we had $7.9 billion of cash, cash equivalents, mar
Slide 18: Earnings Webcast; About Airbnb; Forward-Looking Statements
Earnings Webcast Airbnb will host an audio webcast to discuss its third quarter 2021 results at 2:30 p.m. PT / 5:30 p.m. ET on Thursday, November 4, 2021. The link to the webcast will be made available on Airbnb’s Investor Relations website at https://investors.airbnb.com. Interested parties can reg
Slide 19: Non-GAAP Financial Measures
such as “may,” “will,” “appears,” “should,” “expects,” “plans,” “anticipates,” “could,” “outlook,” “intends,” “target,” “projects,” “contemplates,” “believes,” “estimates,” “predicts,” “potential,” or “continue,” or the negative of these words or other similar terms or expressions that concern our e
Slide 20: Non-GAAP financial measures definitions
with GAAP is provided below. Investors are encouraged to review the related GAAP financial measures and the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP financial measures. Our non-GAAP financial measures include Adjusted EBITDA, Adjusted EBITDA Margin,
Slide 21: Limitations of Adjusted EBITDA
• Adjusted EBITDA excludes stock-based compensation expense, which has been, and will continue to be for the foreseeable future, a significant recurring expense in our business and an important part of our compensation strategy, as well as stock-settlement obligations, which represent employer and r
Slide 22: Quarterly Summary
Quarterly Summary 2019 2020 2021 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Nights and Experiences 81.3M 83.9M 85.9M 75.8M 57.1M 28.0M 61.8M 46.3M 64.4M 83.1M 79.7M Booked Y/Y (30)% (67)% (28)% (39)% 13% 197% 29% Y/2Y (21)% (1)% (7)% Gross Booking Value $10.0B $9.8B $9.7B $8.5B $6.8B $3.2B $8.0B $5.9B $10.3B
Slide 23: Quarterly Summary Continued
Quarterly Summary Continued 2019 2020 2021 Mar 31 Jun 30 Sept 30 Dec 31 Mar 31 Jun 30 Sept 30 Dec 31 Mar 31 Jun 30 Sept 30 Cash and other liquid $3,480M $3,407M $3,346M $3,074M $2,484M $4,169M $4,551M $6,425M $6,589M $7,443M $7,935M assets (1) Funds receivable and amounts held on behalf $3,800M $4,4
Slide 24: Condensed Consolidated Statements of Operations
Condensed Consolidated Statements of Operations Unaudited (in thousands, except per share amounts) Three Months Ended September 30 Nine Months Ended September 30 2020 2021 2020 2021 Revenue $1,342,331 $2,237,432 $2,518,935 $4,459,564 Costs and expenses: Cost of revenue 227,325 311,580 666,295 860,52
Slide 25: Condensed Consolidated Balance Sheets
Condensed Consolidated Balance Sheets Unaudited (in thousands) December 31, 2020 September 30, 2021 Assets Current assets: Cash and cash equivalents $5,480,557 $5,994,698 Marketable securities 910,700 1,926,005 Restricted cash 33,846 14,764 Funds receivable and amounts held on behalf of customers 2,
Slide 26: Condensed Consolidated Statements of Cash Flows
Condensed Consolidated Statements of Cash Flows Unaudited (in thousands) Nine Months Ended September 30 2020 2021 Cash flows from operating activities: Net loss $(696,865) $(406,535) Adjustments to reconcile net loss to cash provided by (used in) operating activities: Depreciation and amortization 9
Slide 27: Statements of Cash Flows Continued; Key Business Metrics
Condensed Consolidated Statements of Cash Flows Continued Unaudited (in thousands) Nine Months Ended September 30 2020 2021 Cash flows from financing activities: Proceeds from issuance of long-term debt and warrants, net $1,928,880 $- of issuance costs Principal repayment of long-term debt (2,500) (
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 thousands) 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
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 (used in) operating activities. Free Cash Flow Reconciliation (in thousands) 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 2019 2019 2019
Slide 30: Reconciliation of Non-GAAP Operating Expenses
The following is a reconciliation of operating expense line items less stock-based compensation and acquisition-related impacts consisting of gains (losses) recognized on changes in the fair value of contingent consideration arrangements. Reconciliation of Non-GAAP Operating Expenses (in thousands)
Slide 31: Glossary
Glossary Nights and Nights and Experiences Booked on our platform in a period represents the Experiences Booked sum of the total number of nights booked for stays and the total number of seats booked for experiences, net of cancellations and alterations that occurred in that period. Gross Booking Va
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