Q3 21 EPS

$1.22

BEAT +62.67%

Est. $0.75

Q3 21 Revenue

$2.24B

BEAT +9.10%

Est. $2.05B

vs S&P Since Q3 21

-75.3%

TRAILING MARKET

ABNB -21.5% vs S&P +53.8%

Market Reaction

Did ABNB Beat Earnings? Q3 2021 Results

Airbnb delivered a blowout third quarter, posting earnings per share of $1.22 against a consensus estimate of $0.75, a beat of 62.67%, while revenue of $2.24 billion topped the $2.05 billion estimate by 9.10% and surged 66.7% year-over-year. The stan… Read more Airbnb delivered a blowout third quarter, posting earnings per share of $1.22 against a consensus estimate of $0.75, a beat of 62.67%, while revenue of $2.24 billion topped the $2.05 billion estimate by 9.10% and surged 66.7% year-over-year. The standout result was driven primarily by a powerful combination of surging travel demand and significantly higher Average Daily Rates, with ADR reaching approximately $149, as guests gravitated toward entire homes, North American destinations, and non-urban markets. Net income reached $833.89 million, up 280% year-over-year, while Adjusted EBITDA hit $1.10 billion on a 49% margin, reflecting disciplined cost management even as sales and marketing spend rose sharply to support brand campaigns. The quarter also underscored a structural shift in travel behavior, with long-term stays of 28 or more days growing to 20% of gross nights booked. Looking ahead, management guided Q4 2021 revenue of $1.39 billion to $1.48 billion, with Thanksgiving week bookings running 40% above 2019 levels, pointing to continued momentum well into 2022, even as competitors like Vrbo accelerate their own recovery strategies.

Key Takeaways

  • Strong travel rebound driven by increased vaccination rates and relaxation of travel restrictions
  • Significantly higher Average Daily Rates (ADR) up 33% vs Q3 2019 driven by mix shift to North America, entire homes, and non-urban destinations
  • Continued expense discipline with improved cost structure yielding 49% Adjusted EBITDA margin
  • Geographic mix favoring higher-ADR regions (North America and Europe) driving strong unit economics
  • Long-term stays of 28+ days accounted for 20% of gross nights booked, up from 14% in Q3 2019
  • Cross-border travel recovery to 33% of gross nights booked in Q3, up from 20% in Q1
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ABNB YoY Financials

Q3 2021 vs Q3 2020, source: SEC Filings