Analysis of Solvency Ratios
Quarterly Data
Solvency ratios also known as long-term debt ratios measure a company ability to meet long-term obligations.
Solvency Ratios (Summary)
Airbnb Inc., solvency ratios (quarterly data)
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
- Debt to Equity Ratio
- The debt to equity ratio demonstrates a general downward trend from March 2021 to September 2023, decreasing from 0.63 to 0.22, indicating reduced reliance on debt relative to shareholders' equity over this period. Post-September 2023, the ratio stabilizes and slightly increases, fluctuating around 0.24 to 0.25 through March 2025, which suggests a more balanced but consistent use of debt financing thereafter.
- Debt to Capital Ratio
- There is a similar pattern in the debt to capital ratio, which decreases steadily from 0.39 in March 2021 to a low of 0.18 in September 2023. Following this point, the ratio remains relatively stable, with minor fluctuations between 0.19 and 0.20 through March 2025. This trend reflects a gradual improvement in capital structure by reducing the proportion of debt within the company's capital base, followed by a stabilization phase.
- Debt to Assets Ratio
- The debt to assets ratio shows less pronounced variation but generally trends downward from 0.16 in March 2021 to around 0.08 by March 2025, with intermittent minor increases. This suggests a consistent effort to minimize the use of debt financing relative to total assets, contributing to a more conservative asset financing approach over time.
- Financial Leverage Ratio
- The financial leverage ratio exhibits significant volatility throughout the periods analyzed. Starting at 3.91 in March 2021, it peaks at 4.56 in June 2021, then declines sharply to 2.35 by September 2023. Thereafter, it fluctuates moderately, rising again to 3.29 in June 2024 before settling at 3.16 in March 2025. This fluctuation reflects varying degrees of reliance on debt to amplify returns on equity, with a notable reduction in leverage in the middle period followed by increased leverage in the later periods, indicating possible strategic financial adjustments or operational changes.
Debt Ratios
Debt to Equity
Airbnb Inc., debt to equity calculation (quarterly data)
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||
| Current portion of long-term debt | 1,996) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | ||||||
| Long-term debt, net of current portion | —) | 1,995) | 1,994) | 1,993) | 1,992) | 1,991) | 1,990) | 1,989) | 1,988) | 1,987) | 1,986) | 1,985) | 1,984) | 1,983) | 1,981) | 1,980) | 1,979) | ||||||
| Total debt | 1,996) | 1,995) | 1,994) | 1,993) | 1,992) | 1,991) | 1,990) | 1,989) | 1,988) | 1,987) | 1,986) | 1,985) | 1,984) | 1,983) | 1,981) | 1,980) | 1,979) | ||||||
| Stockholders’ equity | 7,937) | 8,412) | 8,488) | 8,002) | 7,896) | 8,165) | 9,123) | 5,059) | 5,291) | 5,560) | 5,540) | 5,245) | 4,737) | 4,776) | 4,449) | 3,393) | 3,159) | ||||||
| Solvency Ratio | |||||||||||||||||||||||
| Debt to equity1 | 0.25 | 0.24 | 0.23 | 0.25 | 0.25 | 0.24 | 0.22 | 0.39 | 0.38 | 0.36 | 0.36 | 0.38 | 0.42 | 0.42 | 0.45 | 0.58 | 0.63 | ||||||
| Benchmarks | |||||||||||||||||||||||
| Debt to Equity, Competitors2 | |||||||||||||||||||||||
| Booking Holdings Inc. | — | — | — | — | — | — | — | — | 11.29 | 4.49 | 2.50 | 2.37 | 2.23 | 1.77 | 1.99 | 2.54 | 2.90 | ||||||
| Chipotle Mexican Grill Inc. | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | ||||||
| McDonald’s Corp. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Starbucks Corp. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q1 2025 Calculation
Debt to equity = Total debt ÷ Stockholders’ equity
= 1,996 ÷ 7,937 = 0.25
2 Click competitor name to see calculations.
- Total Debt
- The total debt remained nearly constant over the entire period, showing a very slight increase from US$1,979 million in March 2021 to US$1,996 million by March 2025. This indicates that the company has maintained a stable debt level without significant borrowing or repayment fluctuations.
- Stockholders’ Equity
- Stockholders' equity demonstrated considerable variability throughout the period. It initially increased steadily from US$3,159 million in March 2021 to a peak of US$5,560 million in December 2022. Following this peak, there was a decline, reaching US$5,059 million in June 2023, before experiencing a sharp and substantial surge to US$9,123 million in September 2023. After this spike, equity decreased again to a more moderate level around US$7,937 million by March 2025. This pattern may suggest episodic capital infusions or revaluation effects impacting equity.
- Debt to Equity Ratio
- The debt to equity ratio trended downward from 0.63 in March 2021 to a low of around 0.22 in September 2023, reflecting stronger equity growth relative to debt. After this low point, the ratio slightly increased but stabilized within a range of approximately 0.23 to 0.25 through March 2025. This trend indicates an overall improvement in financial leverage, with the company decreasing its reliance on debt financing compared to equity over the long term.
Debt to Capital
Airbnb Inc., debt to capital calculation (quarterly data)
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||
| Current portion of long-term debt | 1,996) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | ||||||
| Long-term debt, net of current portion | —) | 1,995) | 1,994) | 1,993) | 1,992) | 1,991) | 1,990) | 1,989) | 1,988) | 1,987) | 1,986) | 1,985) | 1,984) | 1,983) | 1,981) | 1,980) | 1,979) | ||||||
| Total debt | 1,996) | 1,995) | 1,994) | 1,993) | 1,992) | 1,991) | 1,990) | 1,989) | 1,988) | 1,987) | 1,986) | 1,985) | 1,984) | 1,983) | 1,981) | 1,980) | 1,979) | ||||||
| Stockholders’ equity | 7,937) | 8,412) | 8,488) | 8,002) | 7,896) | 8,165) | 9,123) | 5,059) | 5,291) | 5,560) | 5,540) | 5,245) | 4,737) | 4,776) | 4,449) | 3,393) | 3,159) | ||||||
| Total capital | 9,933) | 10,407) | 10,482) | 9,995) | 9,888) | 10,156) | 11,113) | 7,048) | 7,279) | 7,547) | 7,526) | 7,230) | 6,721) | 6,758) | 6,430) | 5,374) | 5,139) | ||||||
| Solvency Ratio | |||||||||||||||||||||||
| Debt to capital1 | 0.20 | 0.19 | 0.19 | 0.20 | 0.20 | 0.20 | 0.18 | 0.28 | 0.27 | 0.26 | 0.26 | 0.27 | 0.30 | 0.29 | 0.31 | 0.37 | 0.39 | ||||||
| Benchmarks | |||||||||||||||||||||||
| Debt to Capital, Competitors2 | |||||||||||||||||||||||
| Booking Holdings Inc. | 1.62 | 1.32 | 1.29 | 1.34 | 1.32 | 1.24 | 1.05 | 1.05 | 0.92 | 0.82 | 0.71 | 0.70 | 0.69 | 0.64 | 0.67 | 0.72 | 0.74 | ||||||
| Chipotle Mexican Grill Inc. | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | ||||||
| McDonald’s Corp. | 1.10 | 1.11 | 1.15 | 1.14 | 1.15 | 1.14 | 1.15 | 1.16 | 1.18 | 1.20 | 1.23 | 1.23 | 1.21 | 1.15 | 1.19 | 1.20 | 1.25 | ||||||
| Starbucks Corp. | 1.92 | 1.92 | 2.04 | 2.18 | 2.35 | 2.08 | 2.18 | 2.22 | 2.39 | 2.37 | 2.34 | 2.21 | 2.34 | 1.57 | 1.87 | 2.09 | 1.99 | ||||||
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q1 2025 Calculation
Debt to capital = Total debt ÷ Total capital
= 1,996 ÷ 9,933 = 0.20
2 Click competitor name to see calculations.
The financial data reflects a detailed overview of debt levels, capital structure, and leverage ratios over multiple quarters from March 2021 through March 2025. Key trends and insights derived from the data are summarized below.
- Total Debt
- Total debt remains remarkably stable over the entire period, exhibiting a nominal incremental increase of US$17 million — from 1979 million in March 2021 to 1996 million in March 2025. This near-flat trend suggests a consistent debt management strategy with minimal additional borrowing or repayment activity. The figure essentially stays around the 1980 million mark, showing no significant fluctuations.
- Total Capital
- Total capital experiences more pronounced variation across the quarters. Starting at US$5139 million in March 2021, it generally trends upward, peaking significantly at 11113 million in September 2023. Following this peak, total capital decreases to 9933 million by March 2025. This fluctuation indicates periods of capital infusion or asset growth, particularly evident during 2023, followed by a moderate contraction or realignment in capital levels through 2024 and early 2025.
- Debt to Capital Ratio
- The debt to capital ratio shows a declining trend from 0.39 in March 2021 to a low of 0.18 in September 2023, reflecting a reduction in leverage relative to the company's capital base. This decline aligns with the rise in total capital during the same period while total debt remains constant. After this trough, the ratio slightly increases, stabilizing around 0.19-0.20 between December 2023 and March 2025, indicative of a minor shift towards increased leverage as capital levels decrease.
Overall, the data reveals a strategic pattern of stable debt levels combined with dynamic changes in total capital, resulting in evolving leverage conditions. The company appears to strengthen its equity base or other capital components significantly up to late 2023, which reduces reliance on debt financing, followed by a partial reversal leading to moderate leverage increases thereafter.
Debt to Assets
Airbnb Inc., debt to assets calculation (quarterly data)
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||
| Current portion of long-term debt | 1,996) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | ||||||
| Long-term debt, net of current portion | —) | 1,995) | 1,994) | 1,993) | 1,992) | 1,991) | 1,990) | 1,989) | 1,988) | 1,987) | 1,986) | 1,985) | 1,984) | 1,983) | 1,981) | 1,980) | 1,979) | ||||||
| Total debt | 1,996) | 1,995) | 1,994) | 1,993) | 1,992) | 1,991) | 1,990) | 1,989) | 1,988) | 1,987) | 1,986) | 1,985) | 1,984) | 1,983) | 1,981) | 1,980) | 1,979) | ||||||
| Total assets | 25,056) | 20,959) | 22,172) | 26,320) | 24,537) | 20,645) | 21,439) | 21,188) | 20,018) | 16,038) | 16,077) | 19,059) | 17,068) | 13,708) | 13,582) | 15,485) | 12,339) | ||||||
| Solvency Ratio | |||||||||||||||||||||||
| Debt to assets1 | 0.08 | 0.10 | 0.09 | 0.08 | 0.08 | 0.10 | 0.09 | 0.09 | 0.10 | 0.12 | 0.12 | 0.10 | 0.12 | 0.14 | 0.15 | 0.13 | 0.16 | ||||||
| Benchmarks | |||||||||||||||||||||||
| Debt to Assets, Competitors2 | |||||||||||||||||||||||
| Booking Holdings Inc. | 0.59 | 0.60 | 0.58 | 0.59 | 0.61 | 0.58 | 0.54 | 0.53 | 0.48 | 0.49 | 0.42 | 0.39 | 0.44 | 0.46 | 0.47 | 0.51 | 0.58 | ||||||
| Chipotle Mexican Grill Inc. | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | ||||||
| McDonald’s Corp. | 0.69 | 0.70 | 0.70 | 0.72 | 0.70 | 0.70 | 0.72 | 0.71 | 0.71 | 0.71 | 0.72 | 0.70 | 0.67 | 0.66 | 0.67 | 0.68 | 0.70 | ||||||
| Starbucks Corp. | 0.49 | 0.50 | 0.52 | 0.53 | 0.51 | 0.52 | 0.54 | 0.54 | 0.53 | 0.54 | 0.54 | 0.55 | 0.51 | 0.47 | 0.50 | 0.52 | 0.53 | ||||||
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q1 2025 Calculation
Debt to assets = Total debt ÷ Total assets
= 1,996 ÷ 25,056 = 0.08
2 Click competitor name to see calculations.
- Total Debt
- The total debt remained remarkably stable over the entire period analyzed, starting at approximately 1,979 million US dollars in March 2021 and showing a marginal increase each quarter, reaching about 1,996 million US dollars by March 2025. This slight upward trajectory suggests a cautious approach to leverage, with no significant borrowing spikes or reductions.
- Total Assets
- Total assets exhibited considerable fluctuations throughout the timeframe. There was a noticeable increase from 12,339 million US dollars in March 2021 to a peak of 26,320 million US dollars by June 2024. However, after reaching this peak, assets decreased notably, ending at 25,056 million US dollars in March 2025. The general trend over the years indicates asset growth, albeit with periods of volatility and intermittent declines.
- Debt to Assets Ratio
- The debt to assets ratio steadily declined from 0.16 in March 2021 to a low of 0.08 in June 2024 and March 2025. This diminishing ratio, despite the slight increase in total debt, is mainly attributable to the significant growth in total assets. The ratio's reduction highlights an improving capital structure with relatively lower leverage risk, as asset growth outpaced debt accumulation consistently across the quarters.
Financial Leverage
Airbnb Inc., financial leverage calculation (quarterly data)
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||
| Total assets | 25,056) | 20,959) | 22,172) | 26,320) | 24,537) | 20,645) | 21,439) | 21,188) | 20,018) | 16,038) | 16,077) | 19,059) | 17,068) | 13,708) | 13,582) | 15,485) | 12,339) | ||||||
| Stockholders’ equity | 7,937) | 8,412) | 8,488) | 8,002) | 7,896) | 8,165) | 9,123) | 5,059) | 5,291) | 5,560) | 5,540) | 5,245) | 4,737) | 4,776) | 4,449) | 3,393) | 3,159) | ||||||
| Solvency Ratio | |||||||||||||||||||||||
| Financial leverage1 | 3.16 | 2.49 | 2.61 | 3.29 | 3.11 | 2.53 | 2.35 | 4.19 | 3.78 | 2.88 | 2.90 | 3.63 | 3.60 | 2.87 | 3.05 | 4.56 | 3.91 | ||||||
| Benchmarks | |||||||||||||||||||||||
| Financial Leverage, Competitors2 | |||||||||||||||||||||||
| Booking Holdings Inc. | — | — | — | — | — | — | — | — | 23.47 | 9.12 | 6.01 | 6.12 | 5.12 | 3.83 | 4.21 | 4.98 | 4.97 | ||||||
| Chipotle Mexican Grill Inc. | 2.59 | 2.52 | 2.49 | 2.40 | 2.50 | 2.63 | 2.74 | 2.73 | 2.84 | 2.93 | 2.93 | 3.04 | 3.03 | 2.90 | 2.87 | 2.91 | 2.93 | ||||||
| McDonald’s Corp. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Starbucks Corp. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q1 2025 Calculation
Financial leverage = Total assets ÷ Stockholders’ equity
= 25,056 ÷ 7,937 = 3.16
2 Click competitor name to see calculations.
The financial data reveals notable fluctuations in key balance sheet metrics over the examined quarters. Total assets experienced a general upward trend with intermittent declines. From March 31, 2021 to June 30, 2021, total assets increased significantly from approximately 12.3 billion US dollars to 15.5 billion US dollars, followed by a decrease to around 13.6 billion US dollars in September 2021. A similar pattern of rises and falls persists throughout subsequent quarters, with the asset base peaking on March 31, 2024 at about 24.5 billion US dollars before slightly tapering off and then rebounding again to 25.1 billion US dollars by March 31, 2025.
Stockholders’ equity showed a progressively increasing trend through much of the period, starting at roughly 3.2 billion US dollars in March 2021 and reaching peaks above 9 billion US dollars in the fourth quarter of 2023. However, after this peak, equity declined substantially to around 7.9 billion US dollars by the end of 2024 and early 2025, suggesting periods of equity repurchases, losses, or other capital adjustments. The equity position thus demonstrates some volatility, particularly in the latter part of the timeframe.
Financial leverage, measured as the ratio of total assets to stockholders’ equity, fluctuated considerably between quarters. High leverage ratios were recorded at the beginning and middle of the period, peaking at 4.56 in June 2021, indicating a relatively aggressive capital structure with higher asset backing per unit of equity. This ratio diminished significantly in some quarters, notably dropping to 2.35 in September 2023, the lowest in the dataset, indicative of a stronger equity buffer relative to assets at that point. Subsequent periods saw the leverage metric increase again but remained generally lower than early peaks, ending at 3.16 by March 31, 2025.
In summary, the data depicts a dynamic financial position characterized by expanding total assets and fluctuating equity, leading to variable leverage. The shifts in leverage imply alternating strategies or market conditions affecting the company’s financing mix between debt and equity. High asset values combined with uneven equity changes suggest periods of both capital growth and consolidation. The patterns highlight the importance of ongoing capital management to balance growth ambitions with financial stability.