10-QPeriod: Q1 FY2022

Airbnb, Inc. Quarterly Report for Q1 Ended Mar 31, 2022

Filed May 9, 2022For Securities:ABNB

Summary

Airbnb's first quarter 2022 results show a significant rebound in travel, with revenue increasing by 70% year-over-year to $1.51 billion. This growth was driven by a 59% increase in Nights and Experiences Booked and higher Average Daily Rates (ADRs), indicating a strong recovery from pandemic lows and exceeding pre-pandemic (Q1 2019) levels for key metrics like Gross Booking Value (GBV). The company achieved positive Adjusted EBITDA of $229 million, a substantial improvement from a loss of $58.6 million in the prior year, demonstrating enhanced operational efficiency and profitability. Financially, Airbnb maintained a robust liquidity position with $9.3 billion in cash, cash equivalents, and marketable securities as of March 31, 2022. The company's Free Cash Flow also saw significant growth, reaching $1.2 billion. While the company experienced a net loss of $18.8 million, this was largely influenced by non-operational factors and represents a considerable improvement from the prior year's net loss of $1.17 billion. Investors should note the ongoing legal and tax matters, particularly concerning lodging taxes, which, while currently deemed not materially adverse, warrant continued monitoring.

Financial Highlights

47 data points
Beta

Revenue

$1.51B

75.9% Gross Margin

Net Income

-$19.00M

-1.3% Net Margin

Total Assets

$17.07B

Cash & Equivalents

$6.89B

Free Cash Flow

$1.20B

Financial Statements
Beta
Revenue$1.51B
Cost of Revenue$363.00M
Gross Profit$1.15B
R&D Expenses$363.00M
Operating Expenses$1.51B
Operating Income-$5.00M
Net Income-$19.00M
Shares Outstanding (Basic)635.00M
Shares Outstanding (Diluted)635.00M

Key Highlights

  • 1Revenue surged by 70% year-over-year to $1.51 billion in Q1 2022.
  • 2Nights and Experiences Booked increased by 59% year-over-year to 102.1 million.
  • 3Gross Booking Value (GBV) grew by 67% year-over-year to $17.2 billion.
  • 4Achieved positive Adjusted EBITDA of $229 million, a significant improvement from a loss of $58.6 million in Q1 2021.
  • 5Free Cash Flow more than doubled year-over-year, reaching $1.2 billion.
  • 6The company maintained a strong liquidity position with $9.3 billion in cash, cash equivalents, and marketable securities as of March 31, 2022.
  • 7Net loss significantly narrowed to $18.8 million from $1.17 billion in the prior year period.

Frequently Asked Questions

Airbnb's revenue increased by 70% year-over-year to $1.51 billion in the first quarter of 2022. This growth was primarily driven by a 59% increase in Nights and Experiences Booked and higher Average Daily Rates (ADRs). The strong performance reflects a robust recovery in travel demand, particularly in North America and Europe, the Middle East, and Africa (EMEA).

Airbnb demonstrated a significant improvement in profitability by achieving a positive Adjusted EBITDA of $229.1 million in Q1 2022, a substantial increase from a negative Adjusted EBITDA of $58.6 million in the same period of 2021. This turnaround highlights the company's effective cost management and the benefits of increased revenue and operational leverage.

As of March 31, 2022, Airbnb maintained a strong liquidity position with $9.3 billion in cash, cash equivalents, and marketable securities. This provides ample resources to fund ongoing operations, capital expenditures, and strategic initiatives.

Airbnb is involved in various legal and tax matters, notably concerning lodging taxes in numerous jurisdictions. While the company believes it is not primarily liable and is vigorously defending its position, there is an estimated potential exposure beyond accrued amounts for certain tax liabilities. The company also faces an IRS examination for prior tax years. While currently management believes the resolution of these matters will not have a material adverse effect, investors should monitor these situations.