Airbnb Inc (ABNB)
Debt-to-capital ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,995,000 | 1,991,000 | 1,987,000 | 1,983,000 |
| Total stockholders’ equity | US$ in thousands | 8,412,000 | 8,165,000 | 5,560,000 | 4,775,000 |
| Debt-to-capital ratio | 0.19 | 0.20 | 0.26 | 0.29 |
December 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $1,995,000K ÷ ($1,995,000K + $8,412,000K)
= 0.19
The debt-to-capital ratio of Airbnb Inc has exhibited a declining trend over the specified period, decreasing from 0.29 as of December 31, 2021, to 0.19 as of December 31, 2024. This signifies a reduction in the proportion of debt in relation to the total capital employed by the company. A decreasing debt-to-capital ratio indicates that Airbnb is relying less on debt financing and is potentially becoming more financially stable. Lower debt levels relative to capital can enhance the company's financial flexibility and decrease its financial risk. Overall, the downward trajectory of Airbnb's debt-to-capital ratio suggests a positive trend towards a healthier financial structure and reduced leverage.
Peer comparison
Dec 31, 2024