Summary
Airbnb, Inc. (ABNB) reported solid financial results for the third quarter and the first nine months of fiscal year 2025, demonstrating continued revenue growth and robust operational performance. Revenue for the third quarter of 2025 increased by 10% year-over-year to $4.1 billion, driven by growth in Nights and Seats Booked and a modest increase in Average Daily Rate (ADR). For the first nine months of 2025, revenue also grew by 10% to $9.5 billion. Net income remained strong, with a slight increase to $1.4 billion for the third quarter, although the provision for income taxes saw an increase due to a valuation allowance against deferred tax assets. The company continues to generate substantial cash flow, with Free Cash Flow reaching $1.3 billion in the third quarter. Airbnb also actively returned capital to shareholders through its significant share repurchase program, repurchasing $857 million in the third quarter alone. The company appears resilient in the face of macroeconomic uncertainties, with management noting no material impact to date.
Financial Highlights
43 data points| Revenue | $4.09B |
| Cost of Revenue | $549.00M |
| Gross Profit | $3.55B |
| R&D Expenses | $587.00M |
| Operating Expenses | $2.47B |
| Operating Income | $1.63B |
| Net Income | $1.37B |
| Shares Outstanding (Basic) | 611.00M |
| Shares Outstanding (Diluted) | 621.00M |
Key Highlights
- 1Revenue grew 10% year-over-year to $4.1 billion for the third quarter of 2025, and 10% for the first nine months to $9.5 billion.
- 2Net income for Q3 2025 was $1.4 billion, a slight increase from $1.37 billion in Q3 2024.
- 3Nights and Seats Booked increased by 9% in Q3 2025 and 8% for the first nine months, indicating continued platform engagement.
- 4Gross Booking Value (GBV) saw a 14% increase in Q3 2025 to $22.9 billion and a 10% increase for the first nine months to $70.9 billion.
- 5Free Cash Flow remained strong, at $1.3 billion for Q3 2025, demonstrating effective cash generation.
- 6The company continued its aggressive share repurchase program, buying back $857 million in Q3 2025, with $6.6 billion remaining authorization.
- 7Operating expenses, particularly in Sales and Marketing and Product Development, saw increases, reflecting continued investment in growth and product initiatives.