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$46 Million Profit For 2018 Reported By Airbnb For Business Outside U.S., China


11/24/2019


$46 Million Profit For 2018 Reported By Airbnb For Business Outside U.S., China
According to an earnings statement Airbnb filed in Dublin, Ireland, and made public on Friday showed that the company managed to generate a net profit of $46.47 million in 2018 from its business activities outside of the United States and China. The same figure for the same region was a loss of $97.22 million.
 
Incorporated in Ireland, Airbnb International Unlimited Company is a wholly owned subsidiary of Airbnb Inc. This is the first time that the company has made its results public after the government of Ireland made some changes to the Irish Companies Act.
 
The revenue calculated for Airbnb is the fee that is paid to the company as a part of the deals with hosts and not the total money collected from hosts and it came in at almost $2.42 billion in 2018. That number was 35 per cent more year on year for the international business of the company excluding its business revenues from the United States and China.
 
Earlier media reports had said that for all of 2017, the revenues of Airbnb Inc was more than $2.5 billion which was a rise of 50 per cent for the figure compared to the year earlier. For 2017 and 2018, its earnings before interest, taxes, depreciation, and amortization were positive, the company has said. It has not disclosed revenue for 2018.
 
In the first quarter this year, the operating loss for Airbnb more than doubled to touch $306 million year-on-year because of some very large investments that were made by the company in marketing, claimed a report last month by The Information.
 
The company has announced that it intends to get itself listed sometime in 2020 and therefore the profitability of the company are numbers that are being closely watched by the market and investors. This is because most of the startups that have been making consistent losses and got themselves publicly listed have seen flop shows at the stock markets.
 
Airbnb raised $3.2 billion from investors and that the company has “more money in the bank than we’ve raise,” said the company’s CEO Brian Chesky in an interview with the New York Times earlier this month.
 
(Source:www.nyt.com)