Airbnb is on track. The company today reported a record fourth quarter, beating previous benchmarks in both revenue and net profit.
According to the company, Airbnb’s revenue in the fourth quarter reached $1.9 billion, up 24% year-over-year, driven by an increase in stays and experiences, Airbnb’s curated selection of tours and events. According to the company, stays and experiences booked in Q4 2022 increased 20% compared to a year ago, but guests stayed longer. In Q4 2022, his total nights booked for a week or more (a profitable customer segment) increased by 40% over Q4 2019.
Another factor driving Airbnb’s earnings even further is arguably the company’s decision to stop offering COVID-19-related refunds. Perks for hosts probably helped too. In addition, growth-oriented features such as a toggle to show room prices with charges helped.
In terms of net income, Airbnb posted $319 million in Q4 2022 compared to $264 million in Q4 2021. It’s unclear to what extent Airbnb’s adoption of a fully remote workplace played a role. Airbnb headcount is down 5% from 2019.
For the full year 2022, Airbnb generated $1.9 billion in net income. This is quite a turnaround from his 2021, when the company lost his $352 million.
Airbnb says it will see “strong demand” in 2023 and plans to focus on raising awareness about hosting, improving community support, and building new products and services. Airbnb recently launched a tool that allows renters to find apartments and let them Airbnb.
Airbnb stock is up about 5% at the time of publication.
