10-QPeriod: Q3 FY2025

Airbnb, Inc. Quarterly Report for Q3 Ended Sep 30, 2025

Filed November 6, 2025For Securities:ABNB

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
Beta

Revenue

$4.09B

86.6% Gross Margin

Net Income

$1.37B

33.6% Net Margin

Total Assets

$23.06B

Cash & Equivalents

$7.53B

Free Cash Flow

$1.36B

Financial Statements
Beta
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.

Frequently Asked Questions

Airbnb reported a 10% increase in revenue for the third quarter of 2025, reaching $4.1 billion. For the first nine months of 2025, revenue also grew by 10% to $9.5 billion. This growth was primarily attributed to an increase in Nights and Seats Booked and a modest rise in Average Daily Rate (ADR).

Net income for the third quarter of 2025 was $1.4 billion, a slight increase from the prior year. Despite an increase in the provision for income taxes, the company generated strong Free Cash Flow of $1.3 billion in Q3 2025. This indicates robust operational efficiency and effective management of financial resources.

Airbnb continues to prioritize returning capital to shareholders. In the third quarter of 2025, the company repurchased $857 million of its Class A common stock. With a total authorization of $12 billion across two programs, Airbnb has $6.6 billion available for future repurchases, signaling a strong commitment to shareholder value enhancement.

The company acknowledges the potential impact of challenging macroeconomic and geopolitical conditions, such as inflation and interest rate fluctuations. However, management stated that these conditions have not had a material impact on the business to date. They continue to monitor these factors, and the future impact remains uncertain.