Mar 31, 2024

Airbnb Q1 2024 Earnings Report

Airbnb had a strong start to 2024, with significant growth in Nights and Experiences Booked, revenue, and net income.

Key Takeaways

Airbnb's Q1 2024 revenue was $2.14 billion, up 18% year-over-year, driven by strong travel demand and the timing of Easter. Net income reached $264 million, the highest for any first quarter, and Adjusted EBITDA was $424 million, representing a 20% Adjusted EBITDA Margin.

Nights and Experiences Booked increased to 132.6 million, representing a 9.5% year-over-year growth.

Revenue grew to $2.14 billion, an 18% increase compared to Q1 2023.

Net income reached $264 million, more than doubling from the previous year.

Adjusted EBITDA was $424 million, with a 20% Adjusted EBITDA Margin.

Total Revenue
$2.14B
Previous year: $1.82B
+17.7%
EPS
$0.41
Previous year: $0.18
+127.8%
Nights & Experiences Booked
132.6M
Previous year: 121.1M
+9.5%
Gross Booking Value
$22.9B
Previous year: $20.4B
+12.3%
Average Daily Rate
$173
Previous year: $168
+3.0%
Gross Profit
$1.38B
Cash and Equivalents
$7.83B
Previous year: $8.17B
-4.1%
Free Cash Flow
$1.9B
Previous year: $1.6B
+18.8%
Total Assets
$24.5B

Airbnb

Airbnb

Forward Guidance

For Q2 2024, Airbnb expects revenue between $2.68 billion and $2.74 billion, representing year-over-year growth of 8% to 10%.

Positive Outlook

  • Robust demand for travel around international events such as the Olympics and Euro Cup.
  • Year-over-year revenue growth expected to accelerate in Q3 2024 compared to Q2 2024.
  • Year-over-year growth rate of nights booked in Q2 2024 to be relatively stable to that of Q1 2024.
  • ADR for the quarter will be modestly up compared to Q2 2023 due to mix shift, partially offset by the impact of FX rate changes.
  • For the full-year 2024, consistent with prior guidance, we expect to grow Adjusted EBITDA on a nominal basis and to deliver an Adjusted EBITDA Margin of at least 35%.

Challenges Ahead

  • Year-over-year revenue growth in Q2 2024 will face a significant sequential headwind primarily due to the timing of the Easter holiday.
  • The inclusion of Leap Day in Q1 2024.
  • The impact of FX rate changes.
  • Adjusted EBITDA to be flat to up on a nominal basis, but down on an Adjusted EBITDA Margin basis, relative to Q2 2023.
  • Margin compression is primarily driven by pressure from the timing of Easter (the benefit to margin in Q1 2024 will become a headwind in Q2 2024), one-time payment processing incentive benefits impacting Q2 2023, and higher marketing expense (partially due to timing).