Airbnb Inc (ABNB)

Return on equity (ROE)

		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
Net income (ttm)	US$ in thousands	2,648,000	1,838,000	4,844,000	4,939,000	4,792,000	5,460,000	2,300,000	2,029,000	1,893,000	1,628,535	1,248,428	801,211	-351,999
Total stockholders’ equity	US$ in thousands	8,412,000	8,488,000	8,002,000	7,896,000	8,165,000	9,123,000	5,059,000	5,291,000	5,560,000	5,540,000	5,245,000	4,737,000	4,775,000
ROE		31.48%	21.65%	60.53%	62.55%	58.69%	59.85%	45.46%	38.35%	34.05%	29.40%	23.80%	16.91%	-7.37%

December 31, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $2,648,000K ÷ $8,412,000K
= 31.48%

Airbnb Inc's return on equity (ROE) has displayed fluctuating trends over the analyzed period, ranging from negative values to significant positive percentages.

- As of December 31, 2021, the ROE was negative at -7.37%, indicating that the company's net income was insufficient to generate a positive return for shareholders.
- Subsequently, the ROE showed a positive turnaround, reaching 16.91% by March 31, 2022, and further increasing to 23.80% by June 30, 2022.
- The trend continued upward, with ROE reaching 29.40% by September 30, 2022, and peaking at 34.05% by December 31, 2022.
- Further improvements were seen in the following periods, with ROE values of 38.35% by March 31, 2023, and 45.46% by June 30, 2023.
- The highest ROE value during the analyzed period was recorded on September 30, 2023, at 59.85%, showcasing strong profitability in relation to shareholders' equity.
- However, a slight decline was observed by December 31, 2023, with ROE at 58.69%, which was followed by a notable increase to 62.55% by March 31, 2024.
- The trend reversed in the subsequent periods, with ROE values of 60.53% by June 30, 2024, but declining significantly to 21.65% by September 30, 2024, before recovering to 31.48% by December 31, 2024.

Overall, the fluctuations in Airbnb Inc's ROE suggest varying levels of profitability and efficiency in generating returns for shareholders over the analyzed period. It indicates the company's ability to effectively utilize shareholders' equity to generate profits, with periods of both strong and weaker performance.