Airbnb Inc (ABNB)
Working capital turnover
Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
---|---|---|---|---|
Revenue | US$ in thousands | 9,917,000 | 8,337,000 | 5,577,050 |
Total current assets | US$ in thousands | 16,509,000 | 14,861,000 | 12,386,000 |
Total current liabilities | US$ in thousands | 9,950,000 | 7,978,000 | 6,359,000 |
Working capital turnover | 1.51 | 1.21 | 0.93 |
December 31, 2023 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $9,917,000K ÷ ($16,509,000K – $9,950,000K)
= 1.51
The working capital turnover for Airbnb Inc has fluctuated over the past five years. The ratio indicates how efficiently the company is utilizing its working capital to generate revenue.
In 2019, the working capital turnover was significantly high at 3.62, suggesting that Airbnb was effectively using its working capital to generate revenue. However, this figure dropped to 0.89 in 2020, indicating a decrease in efficiency.
Subsequently, we see an improvement in the working capital turnover ratio in 2021 and 2022, reaching 0.99 and 1.22 respectively. This suggests that Airbnb was able to better utilize its working capital to generate revenue during these years.
The ratio further increased to 1.51 in 2023, indicating an improvement in efficiency in utilizing working capital to generate revenue compared to the previous year.
Overall, the trend in the working capital turnover ratio for Airbnb Inc shows fluctuations, with some years demonstrating more efficient utilization of working capital than others.
Peer comparison
Dec 31, 2023