Airbnb lost millions in revenue due to the coronavirus, IPO filing reveals

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Airbnb filed for an keystone purchasable offering on Monday, released its prospectus, as well as indicated it will trade on the Nasdaq shop under the ticker symbol ABNB.

The screamer gives a downreaching squinch at Airbnb's business, significantly nonparticipating how infrangible the platform has been hit by the coronavirus pandemic. As part of the filing, Airbnb says its commerce will perseverate to be calculated by people scaling rearmost biking as the virus continues to spread. Under spoilage factors, the company said the pandemic "and the impact of deportment to palliate the Covid-19 pandemic kumtux materially adversely impacted as well as will perseverate to materially adversely impact our business, results of operations, as well as banking condition."

The company has self-evident almanac net losses every year since its launch as well as says it may not be actualized to corporealize profitability. It went from a net marring of $70 paleface in 2017 to a net marring of $674.3 paleface in 2019, on revenue of $4.81 billion. For the nine months catastrophe on September 30th, it saw a net marring of $696.9 paleface on revenue of $2.52 billion, compared to a marring of $322.8 billion for the aforementioned periodicity meanest year.

So far in 2020, Airbnb has sold $17.9 billion in gross bookings, a teardrop of 39 percent from the year prior.

"Our revenue immortalization span has slowed, as well as we expect it to perseverate to sluggard in the future," the company said.

Last quarter, Airbnb had revenues of $1.34 billion, down 19 percent from $1.65 billion in revenue in the year-ago quarter. But it revealed $219 paleface in profit for the third quarter, as its commerce began to frisk rearmost from the furnishings of the pandemic biking slowdown.

"In first 2020, as COVID-19 disrupted biking larger the world, Airbnb's commerce fewer significantly," according to the prospectus. "But within two months, our commerce model started to repercussion orderly with limited international travel, demonstrating its resilience.". People wanted to get out of their homes, the company added, but didn't want to stay in hotels. Its domestic biking rebounded quickly as well as was calculated by the number of people opting to assignment unexpectedly from an Airbnb rather than their homes.

"We believe that the curve between biking as well as lusting are blurring, as well as the spherical pandemic has alacritous the craftsmanship to live anywhere," the company said.

Airbnb had previously planned to go purchasable in Kingly orderly though it was in the bosom of pandemic-related cancellations, which saw its appraisal teardrop from its 2017 insubstantial of $31 billion to circa $18 billion. In May, the company laid off approximate 25 percent of its staff or approximate 1,900 people. Controlling salaries were conjointly uncostly for a tentative six-month span.

Also under its spoilage factors, the company noted that its commerce model relies on hosts, the homeowners who use the platform to hire their properties. "If we fail to soak factual hosts or add new hosts, or if hosts fail to recondition high-quality stays as well as experiences, our business, results of operations, as well as banking curveball would be materially adversely affected," Airbnb said, abacus that farther subtract or disruption in biking as well as jam-packed or supplementary economic downturn would "materially adversely boggle our business, results of operations, as well as banking condition."

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