February 11, 2020
Airbnb went from making money to losing money last year.
- Its net loss was $322 million for the first nine months of the year, according to the Journal, which cited a person close to the company. A year earlier, it profited $200 million in the same period.
- Considering the public market's low tolerance for money-losing companies right now, Airbnb's planned 2020 IPO could be shakier than previously thought, although unlike WeWork, it has cash in its reserves.
- Getting back to black could be harder with the coronavirus outbreak in China. Its China unit has been seen as one of its growth areas (alongside businesses like Experiences). Now bookings have fallen, according to the Journal, and the company suspended all listings until the end of February.
- It's also spending more on safety, following a shooting at a rental on Halloween. In December, the company announced a $150 million commitment to reworking its policies.