Airbnb Inc (ABNB)

Financial leverage ratio

		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
Total assets	US$ in thousands	20,645,000	21,439,000	21,188,000	20,018,000	16,038,000	16,076,600	19,059,100	17,068,400	13,708,000	13,582,000	15,484,800	12,339,100
Total stockholders’ equity	US$ in thousands	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	4,448,930	3,393,200	3,159,420
Financial leverage ratio		2.53	2.35	4.19	3.78	2.88	2.90	3.63	3.60	2.87	3.05	4.56	3.91

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $20,645,000K ÷ $8,165,000K
= 2.53

The financial leverage ratio of Airbnb Inc has shown some fluctuation over the past eight quarters. The ratio ranged from a low of 2.35 in Q3 2023 to a high of 4.19 in Q2 2023, with an average of around 3.20 during this period. A higher financial leverage ratio indicates that the company is relying more on debt to finance its operations and investments, which can increase both potential returns and risks. In Q2 2023, the ratio spiked significantly, suggesting a substantial increase in debt relative to equity in that quarter. It is important for investors and stakeholders to closely monitor the financial leverage ratio to assess the company's risk profile and financial health.