Airbnb faces significant risks related to lodging tax obligations in various jurisdictions, potentially leading to substantial additional liabilities. Ongoing legal proceedings, including tax audits by the IRS and international authorities, pose financial risks. The company's exposure to foreign exchange risk and the potential for unrealized losses on investments also present financial uncertainties. Uncertainties regarding the realization of deferred tax assets, particularly California research and development credits, are also a risk.
Financial Upside
Airbnb's revenue grew 10% in the three months ended September 30, 2024, and 12% in the nine months ended September 30, 2024. Adjusted EBITDA increased 7% in the three-month period and 11% in the nine-month period. The company repurchased 8.7 million shares of Class A common stock in the three-month period, with $4.2 billion remaining under its share repurchase program. Strong growth in Nights and Experiences Booked and Gross Booking Value (GBV) are positive indicators.
