Stock Analysis on Net
Stock Analysis on Net

Airbnb Inc. (NASDAQ:ABNB)

Analysis of Goodwill and Intangible Assets

Microsoft Excel

Goodwill and Intangible Asset Disclosure

Airbnb Inc., balance sheet: goodwill and intangible assets

US$ in millions

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Goodwill 752 650 653 656
Identifiable intangible assets, gross carrying amount 95 77 113 130
Accumulated amortization (55) (43) (60) (54)
Identifiable intangible assets, net carrying value 40 34 52 76
Intangible assets and goodwill 792 684 705 732

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

Item Description The company
Goodwill Amount after accumulated impairment loss of an asset representing future economic benefits arising from other assets acquired in a business combination that are not individually identified and separately recognized. Airbnb Inc. goodwill decreased from 2021 to 2022 but then increased from 2022 to 2023 exceeding 2021 level.
Identifiable intangible assets, net carrying value Sum of the carrying amounts of all intangible assets, excluding goodwill, as of the balance sheet date, net of accumulated amortization and impairment charges. Airbnb Inc. identifiable intangible assets, net carrying value decreased from 2021 to 2022 but then slightly increased from 2022 to 2023.
Intangible assets and goodwill Sum of the carrying amounts of all intangible assets, including goodwill, as of the balance sheet date, net of accumulated amortization and impairment charges. Airbnb Inc. intangible assets and goodwill decreased from 2021 to 2022 but then increased from 2022 to 2023 exceeding 2021 level.

Adjustments to Financial Statements: Removal of Goodwill

Airbnb Inc., adjustments to financial statements

US$ in millions

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Adjustment to Total Assets
Total assets (as reported) 20,645 16,038 13,708 10,491
Less: Goodwill 752 650 653 656
Total assets (adjusted) 19,893 15,388 13,056 9,836
Adjustment to Stockholders’ Equity
Stockholders’ equity (as reported) 8,165 5,560 4,776 2,902
Less: Goodwill 752 650 653 656
Stockholders’ equity (adjusted) 7,413 4,910 4,123 2,246

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

Airbnb Inc., Financial Data: Reported vs. Adjusted

Adjusted Financial Ratios: Removal of Goodwill (Summary)

Airbnb Inc., adjusted financial ratios

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Total Asset Turnover
Reported total asset turnover 0.48 0.52 0.44 0.32
Adjusted total asset turnover 0.50 0.55 0.46 0.34
Financial Leverage
Reported financial leverage 2.53 2.88 2.87 3.62
Adjusted financial leverage 2.68 3.13 3.17 4.38
Return on Equity (ROE)
Reported ROE 58.69% 34.05% -7.37% -158.00%
Adjusted ROE 64.64% 38.55% -8.54% -204.13%
Return on Assets (ROA)
Reported ROA 23.21% 11.80% -2.57% -43.70%
Adjusted ROA 24.09% 12.30% -2.70% -46.61%

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

Financial ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. Airbnb Inc. adjusted total asset turnover ratio improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023 not reaching 2021 level.
Adjusted financial leverage A measure of financial leverage calculated as adjusted total assets divided by adjusted total equity.
Financial leverage is the extent to which a company can effect, through the use of debt, a proportional change in the return on common equity that is greater than a given proportional change in operating income.		 Airbnb Inc. adjusted financial leverage ratio decreased from 2021 to 2022 and from 2022 to 2023.
Adjusted ROE A profitability ratio calculated as net income divided by adjusted shareholders’ equity. Airbnb Inc. adjusted ROE improved from 2021 to 2022 and from 2022 to 2023.
Adjusted ROA A profitability ratio calculated as net income divided by adjusted total assets. Airbnb Inc. adjusted ROA improved from 2021 to 2022 and from 2022 to 2023.

Airbnb Inc., Financial Ratios: Reported vs. Adjusted

Adjusted Total Asset Turnover

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
As Reported
Selected Financial Data (US$ in millions)
Revenue 9,917 8,399 5,992 3,378
Total assets 20,645 16,038 13,708 10,491
Activity Ratio
Total asset turnover1 0.48 0.52 0.44 0.32
Adjusted for Goodwill
Selected Financial Data (US$ in millions)
Revenue 9,917 8,399 5,992 3,378
Adjusted total assets 19,893 15,388 13,056 9,836
Activity Ratio
Adjusted total asset turnover2 0.50 0.55 0.46 0.34

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

2023 Calculations

1 Total asset turnover = Revenue ÷ Total assets
= 9,917 ÷ 20,645 = 0.48

2 Adjusted total asset turnover = Revenue ÷ Adjusted total assets
= 9,917 ÷ 19,893 = 0.50

Activity ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. Airbnb Inc. adjusted total asset turnover ratio improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023 not reaching 2021 level.

Adjusted Financial Leverage

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
As Reported
Selected Financial Data (US$ in millions)
Total assets 20,645 16,038 13,708 10,491
Stockholders’ equity 8,165 5,560 4,776 2,902
Solvency Ratio
Financial leverage1 2.53 2.88 2.87 3.62
Adjusted for Goodwill
Selected Financial Data (US$ in millions)
Adjusted total assets 19,893 15,388 13,056 9,836
Adjusted stockholders’ equity 7,413 4,910 4,123 2,246
Solvency Ratio
Adjusted financial leverage2 2.68 3.13 3.17 4.38

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

2023 Calculations

1 Financial leverage = Total assets ÷ Stockholders’ equity
= 20,645 ÷ 8,165 = 2.53

2 Adjusted financial leverage = Adjusted total assets ÷ Adjusted stockholders’ equity
= 19,893 ÷ 7,413 = 2.68

Solvency ratio Description The company
Adjusted financial leverage A measure of financial leverage calculated as adjusted total assets divided by adjusted total equity.
Financial leverage is the extent to which a company can effect, through the use of debt, a proportional change in the return on common equity that is greater than a given proportional change in operating income.		 Airbnb Inc. adjusted financial leverage ratio decreased from 2021 to 2022 and from 2022 to 2023.

Adjusted Return on Equity (ROE)

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
As Reported
Selected Financial Data (US$ in millions)
Net income (loss) 4,792 1,893 (352) (4,585)
Stockholders’ equity 8,165 5,560 4,776 2,902
Profitability Ratio
ROE1 58.69% 34.05% -7.37% -158.00%
Adjusted for Goodwill
Selected Financial Data (US$ in millions)
Net income (loss) 4,792 1,893 (352) (4,585)
Adjusted stockholders’ equity 7,413 4,910 4,123 2,246
Profitability Ratio
Adjusted ROE2 64.64% 38.55% -8.54% -204.13%

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

2023 Calculations

1 ROE = 100 × Net income (loss) ÷ Stockholders’ equity
= 100 × 4,792 ÷ 8,165 = 58.69%

2 Adjusted ROE = 100 × Net income (loss) ÷ Adjusted stockholders’ equity
= 100 × 4,792 ÷ 7,413 = 64.64%

Profitability ratio Description The company
Adjusted ROE A profitability ratio calculated as net income divided by adjusted shareholders’ equity. Airbnb Inc. adjusted ROE improved from 2021 to 2022 and from 2022 to 2023.

Adjusted Return on Assets (ROA)

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
As Reported
Selected Financial Data (US$ in millions)
Net income (loss) 4,792 1,893 (352) (4,585)
Total assets 20,645 16,038 13,708 10,491
Profitability Ratio
ROA1 23.21% 11.80% -2.57% -43.70%
Adjusted for Goodwill
Selected Financial Data (US$ in millions)
Net income (loss) 4,792 1,893 (352) (4,585)
Adjusted total assets 19,893 15,388 13,056 9,836
Profitability Ratio
Adjusted ROA2 24.09% 12.30% -2.70% -46.61%

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

2023 Calculations

1 ROA = 100 × Net income (loss) ÷ Total assets
= 100 × 4,792 ÷ 20,645 = 23.21%

2 Adjusted ROA = 100 × Net income (loss) ÷ Adjusted total assets
= 100 × 4,792 ÷ 19,893 = 24.09%

Profitability ratio Description The company
Adjusted ROA A profitability ratio calculated as net income divided by adjusted total assets. Airbnb Inc. adjusted ROA improved from 2021 to 2022 and from 2022 to 2023.