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Airbnb ABNB reported fourth-quarter 2024 adjusted earnings of 73 cents per share, comfortably beating the Zacks Consensus Estimate by 25.86%.
Find the latest EPS estimates and surprises on Zacks Earnings Calendar.
ABNB’s earnings beat the Zacks Consensus Estimate twice and missed in the remaining two of the trailing four quarters, the earnings surprise being 23.94%, on average.
Revenues of $2.48 billion increased 11.8% year over year, both on a reported and FX-neutral basis. The top line beat the Zacks Consensus Estimate by 2.47%. The year-over-year increase was driven by growth in the number of nights stayed on the platform.
ABNB Shares Rise Post Q4 Earnings
Airbnb shares rose 14.22% in the after-hours trading following the results, driven by strong revenue growth, improved operating margins and a sharp rise in first-time bookers. Solid performances across all regions, especially in the Asia Pacific and Latin America, boosted investor confidence despite FX headwinds.
Airbnb, Inc. Price, Consensus and EPS Surprise
Airbnb, Inc. price-consensus-eps-surprise-chart | Airbnb, Inc. Quote
Airbnb shares have gained 20.1% year to date, outperforming the broader Zacks Consumer Discretionary sector’s growth of 5.7% and the Zacks Leisure and Recreation Services industry’s return of 5%.
ABNB Gains From Strong Business Metrics
Airbnb's fourth-quarter results underscore its plan to transform into a comprehensive travel platform beyond accommodations. To support this vision, the company aims to invest $200-$250 million in expanding its services and driving growth.
The fourth-quarter 2024 Gross Booking Value (GBV) was $17.6 billion, up 13% year over year. This was driven by strong Nights and Experiences Booked and a modest increase in Average Daily Rates (ADR).
Nights and Experiences Booked were 111 million, up 12% year over year. The metric was driven by strong performances in all regions, especially North America and EMEA.
ADR (Gross Booking Value per Night and Experience Booked) was $158, up 1% on a year-over-year basis. Excluding FX, ADR grew 2% and was up across all regions due to price appreciation.
In addition, nights booked on the app in the fourth quarter increased 22% year over year and comprised 60% of total nights booked (up from 55% in the year-ago quarter). Airbnb experienced strong growth in first-time bookers, with all regions seeing increased momentum, led by the Asia Pacific and Latin America.
Airbnb’s Operating Results
Adjusted EBITDA was $765 million, up 3.7% on a reported basis and 3% on an FX-neutral basis year over year. The adjusted EBITDA margin was 30.8%, down 240 basis points year over year.
Operations and support expenses, product development expenses, and sales and marketing expenses were $290 million, $538 million and $547 million, respectively, increasing 7%, 24.5% and 29% year over year. General and administrative expenses were $248 million, down 79.4% year over year.
Airbnb reported a fourth-quarter 2024 operating income of $430 million. The operating margin increased 39.7% year over year to 17.3%.