Airbnb, Inc. stock research
FY2024 Q3
Airbnb (ABNB) Gross Margin — Quarter Ended Sep 30, 2024
Revenue increased compared to both the prior quarter and the same quarter a year ago, while gross profit also rose. Gross margin improved versus the prior quarter and was higher than the year-ago period, as cost of revenue grew at a slower pace relative to revenue.
Gross margin takeaway
Quarter ended Sep 30, 2024 · FY2024 Q3
Revenue increased compared to both the prior quarter and the same quarter a year ago, while gross profit also rose. Gross margin improved versus the prior quarter and was higher than the year-ago period, as cost of revenue grew at a slower pace relative to revenue.
- The strongest observable margin driver is the reduction in cost of revenue as a share of revenue, which enabled gross margin to widen sequentially.
- Compared to the prior quarter, revenue and gross profit were higher, and gross margin improved. Versus the same quarter one year earlier, revenue and gross profit were higher, and gross margin strengthened.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
87.5%
Gross profit
$3.3B
Revenue
$3.7B
Cost of revenue
$465.0M
Quarter-over-quarter change
+6.0 pts
Year-over-year change
+1.1 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Dec 31, 2023 | $2.2B | $1.8B | $384.0M | 82.7% |
| Mar 31, 2024 | $2.1B | $1.7B | $480.0M | 77.6% |
| Jun 30, 2024 | $2.7B | $2.2B | $506.0M | 81.6% |
| Sep 30, 2024 | $3.7B | $3.3B | $465.0M | 87.5% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 30, 2024
+6.0 pts
Year-over-year change
Sep 30, 2023
+1.1 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the reduction in cost of revenue as a share of revenue, which enabled gross margin to widen sequentially.
Compared to the prior quarter, revenue and gross profit were higher, and gross margin improved. Versus the same quarter one year earlier, revenue and gross profit were higher, and gross margin strengthened.
Monitor the trend in cost of revenue relative to revenue for potential impact on gross margin sustainability.