ABNB 4Q25 First Take: Results came in ahead of expectations. Core operating metrics accelerated across the board, defying prior guidance for a slowdown and marking the year's strongest growth. The rub: opex expanded sharply, pressuring margins, though absolute profit still beat.

Details:

1) Core operating metrics were strong, with nights booked up 9.8%, the highest rate of the year vs. prior mid-single-digit guidance. The key driver was firmer-than-feared travel demand in the U.S. and Europe, with signs of acceleration.

2) On strong GBV, revenue grew 12%, topping the 9.4% estimate. However, the net take rate fell 50bps YoY, a larger decline than expected, so revenue growth trailed GBV. Management cited booking-to-stay timing shifts.

3) A notable negative was opex expansion, with total operating expenses up nearly 25% YoY, far above the prior slightly-above-10% pace.

By line, spend accelerated across the board, led by sales & marketing +27% and G&A up 60%+ off a low base. As a result, adj. EBITDA margin fell 260bps YoY, below expectations. Strong growth still drove profit above estimates.

4) Guidance: revenue is expected to grow 14–16% next quarter, with a ~3ppt FX tailwind; on a const.-FX basis, the midpoint is 12%, ~1ppt faster than this quarter. Operationally, nights are guided to grow high single digits YoY, and ADR to continue rising on FX support.