San Francisco, November 17: Airbnb’s IPO filing revealed a third-quarter profit on the back of cost cuts and travel recovery, as it prepares for one of the most anticipated stock market debuts. Airbnb released its prospectus and indicated it will trade on the Nasdaq exchange under the ticker symbol ABNB.
The home-sharing startup hopes to raise $3 billion with its IPO, which would give it a valuation of about $30 billion. Airbnb is yet to set a date for the IPO but it is laying the groundwork by filing financial records with US securities regulators. Airbnb Plans to File IPO Next Week Despite Spike in COVID-19 Cases: Reports.
Airbnb’s revenue fell 18 percent in the third quarter to $1.34 billion from a year earlier, but it reported a net profit of about $219 million. According to a Reuters report, Airbnb publicly revealed the documents for its IPO, providing a glimpse into the company's financials. The documents show that leading up to the coronavirus outbreak earlier this year, Airbnb was spending heavily on technology and marketing to grow its business.
The documents further revealed that its revenue jumped 32 percent to $4.8 billion in 2019, but it reported a net loss of $674 million that year. The company also lost money in 2018 and 2017.