Airbnb Inc (ABNB)
Quick ratio
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 6,864,000 | 7,670,000 | 7,882,000 | 7,829,000 | 6,874,000 | 8,175,000 | 7,905,000 | 8,166,000 | 7,378,000 | 7,523,690 | 7,837,990 | 6,886,630 | 6,067,000 |
| Short-term investments | US$ in thousands | 3,747,000 | 3,583,000 | 3,369,000 | 3,264,000 | 3,197,000 | 2,787,000 | 2,435,000 | 2,428,000 | 2,244,000 | 2,103,900 | 2,057,490 | 2,435,660 | 2,255,000 |
| Receivables | US$ in thousands | 147,000 | 175,000 | 175,000 | 175,000 | 205,000 | 206,000 | 218,000 | 185,000 | 161,000 | 150,721 | 170,488 | 123,060 | 111,649 |
| Total current liabilities | US$ in thousands | 10,161,000 | 11,336,000 | 15,828,000 | 14,139,000 | 9,950,000 | 9,821,000 | 13,624,000 | 12,212,000 | 7,978,000 | 8,015,330 | 11,287,200 | 9,773,780 | 6,359,000 |
| Quick ratio | 1.06 | 1.01 | 0.72 | 0.80 | 1.03 | 1.14 | 0.77 | 0.88 | 1.23 | 1.22 | 0.89 | 0.97 | 1.33 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($6,864,000K
+ $3,747,000K
+ $147,000K)
÷ $10,161,000K
= 1.06
The quick ratio, also known as the acid-test ratio, is a liquidity ratio that measures a company's ability to meet its short-term obligations with its most liquid assets. A quick ratio of 1 or higher is generally considered healthy as it indicates that the company has enough liquid assets to cover its current liabilities.
Based on the data provided, Airbnb Inc's quick ratio fluctuated over the reporting periods. The quick ratio was 1.33 as of December 31, 2021, which indicates that the company had $1.33 of liquid assets available to cover each dollar of current liabilities.
However, the quick ratio decreased to 0.97 as of March 31, 2022, and further declined to 0.89 as of June 30, 2022, signaling a potential liquidity concern. The subsequent quarters showed fluctuations in the quick ratio, with ratios below 1 at various points.
It is worth noting that a quick ratio below 1 may suggest that the company may have difficulty meeting its short-term obligations with its liquid assets alone. Investors and analysts may want to further investigate the reasons behind the declining quick ratio to assess Airbnb Inc's liquidity position and overall financial health.
Peer comparison
Dec 31, 2024