Q3 23 EPS

$6.63

BEAT +238.27%

Est. $1.96

Q3 23 Revenue

$3.40B

BEAT +6.88%

Est. $3.18B

vs S&P Since Q3 23

-45.3%

TRAILING MARKET

ABNB +22.0% vs S&P +67.3%

Market Reaction

Did ABNB Beat Earnings? Q3 2023 Results

Airbnb delivered a decisive beat in Q3 2023, posting earnings per share of $6.63 against a consensus estimate of $1.96, a 238.27% positive surprise, while revenue of $3.40 billion topped the $3.18 billion estimate by 6.88% and grew 17.8% year-over-ye… Read more Airbnb delivered a decisive beat in Q3 2023, posting earnings per share of $6.63 against a consensus estimate of $1.96, a 238.27% positive surprise, while revenue of $3.40 billion topped the $3.18 billion estimate by 6.88% and grew 17.8% year-over-year. The headline EPS figure was heavily influenced by a $2.80 billion one-time, non-cash tax benefit from the release of a valuation allowance on deferred tax assets; stripping that out, adjusted net income of $1.60 billion still reflected meaningful operational progress, supported by 113.2 million Nights and Experiences Booked, up 14% year-over-year. Adjusted EBITDA reached $1.83 billion, expanding margin to 54% from 51% a year ago, as expense discipline across most cost categories allowed revenue growth to fall through to the bottom line. With rival travel platforms also reporting robust demand, particularly in Asia-Pacific and Latin America, the broader travel environment remained a tailwind. Looking ahead, management guided Q4 revenue of $2.13 billion to $2.17 billion, implying 12-14% growth, while targeting full-year adjusted EBITDA margin roughly 150 basis points above 2022 levels.

Key Takeaways

  • Strong travel demand with 113.2 million Nights and Experiences Booked, up 14% YoY
  • Active listings grew 19% YoY with over 7 million active listings
  • Gross Booking Value of $18.3 billion, up 17% YoY
  • ADR of $161, up 3% YoY
  • Expense discipline with all operating expenses (ex-SBC) growing slower than revenue except G&A
  • Interest income of $192 million, up from $59 million in Q3 2022
  • FX tailwind contributed approximately 4 percentage points to revenue growth
  • Cross-border nights booked grew 17% YoY
  • App bookings increased to 53% of gross nights booked from 48% in Q3 2022
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ABNB YoY Financials

Q3 2023 vs Q3 2022, source: SEC Filings