NASDAQ$ABNB

Airbnb Inc · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

Airbnb's Q4 2020 results demonstrated resilience with revenue down only 22% year-over-year and significant improvements in Adjusted EBITDA despite the impact of COVID-19.

Airbnb's Q4 2020 revenue reached $859 million, a 22% decrease year-over-year, while net loss was $3.9 billion, impacted by IPO-related charges. Adjusted EBITDA improved significantly to $(21) million, showcasing the company's resilience and cost management.

  • Q4 2020 revenue was down only 22% year-over-year, demonstrating Airbnb’s resilience.
  • Q4 2020 net loss was impacted by charges related to our IPO, including $2.8B of stock-based compensation expense.
  • Q4 2020 Adjusted EBITDA was materially improved from a year ago, despite the impact of COVID-19 on our revenue.
  • Due to our strong financial discipline in 2020, all operating expenses (excluding stock-based compensation and stock- settlement obligations) were down from a year ago.

Headline financials

Total Revenue

$859M

Previous: $1.11B-22.4%
EPS (adj)

-$2.43

Previous: -$0.66-267.0%
Net Income

-$3.9B

Previous: -$352M-1009.4%
Operating Income

-$3.1B

Previous: -$328M-845.4%

Revenue & EPS history

Airbnb · Revenue · Quarterly

$859M

Q4 2020-22.4%vs Q4 2019
Beat estimate in 9 of 11 quarters(82%)
ActualEstimate

Forward guidance

In the near term, anticipate that year-over-year comparisons for Nights and Experiences Booked, as well as for Gross Booking Value, will be volatile and unreliable measures of the steady-state growth of our business.

Tailwinds

  • Levels in Q1 2021 will be higher than those of Q1 2020, but lower than Q1 2019.
  • The year-over-year decline in Q1 2021 is expected to be less than that of Q4 2020.
  • Continue to see gradual improvements in guests’ willingness to book stays.
  • Will be focused on making continued progress in expanding our Adjusted EBITDA margin as we scale.
  • Plan to continue to improve our variable costs, materially increase our marketing efficiency and tightly manage our fixed expenses.

Headwinds

  • Year-over-year comparisons for Nights and Experiences Booked, as well as for Gross Booking Value, will be volatile and unreliable measures of the steady-state growth of our business.
  • It is too early to predict overall recovery trends for the travel industry and their impact on our business.
  • Continue to have limited visibility for growth trends in 2021 given the difficulty in determining the pace of vaccine roll-outs and the related impact on willingness to travel.
  • Not providing an outlook for the rest of 2021 at this time.
  • Anticipate our Adjusted EBITDA margin to also be at its lowest during Q1.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2020

Historical avgQ4 2020

+0.5%

Avg return

Earnings day

-1.5%

Avg return

5 days after

-2.1%

Avg return

30 days after

50%

11 / 22 earnings

Positive

+17.7%

Q4 2022

Best reaction

-11.7%

Q3 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.2%-5.7%-4.9%
Q4 2025+4.6%+7.2%+8.9%
Q3 2025-3.9%+1.0%+3.1%
Q2 2025-8.0%-6.8%-5.1%
Q1 2025+1.0%-0.7%+4.0%
Q4 2024+14.4%+12.0%-12.9%
Q3 2024-4.5%-5.5%-2.8%
Q2 2024-9.8%-8.2%-7.3%
Q1 2024-8.0%-6.7%-8.2%
Q4 2023-3.6%-0.8%+8.2%
Q3 2023-2.4%-0.1%+14.1%
Q2 2023-3.0%-3.5%-8.2%
Q1 2023-9.9%-16.2%-8.1%
Q4 2022+17.7%+13.0%+3.1%
Q3 2022-11.7%-10.1%-5.3%
Q2 2022+3.4%+5.3%+2.0%
Q1 2022+2.2%-11.1%-20.6%
Q4 2021+10.0%+3.1%-7.1%
Q3 2021+16.6%+12.6%-3.5%
Q2 2021+3.1%-2.9%+11.5%
Q1 2021+0.7%-3.7%+5.8%
Q4 2020+3.1%-5.1%-12.9%
Q3 2020
Q2 2020
Q1 2020
Q4 2019
Q3 2019

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