Airbnb, which reportedly is telling potential investors it projects revenues of US$10 billion by 2020, could be valued at US$24 billion after it closes its current US$1 billion funding round, according to multiple published reports. The valuation would exceed Marriott International’s, which today sits at approximately US$21 billion.
The Wall Street Journal reported Airbnb has been telling prospective investors it expects US$850 million in revenue this year — more than triple 2013 recorded revenue of US$250 million.
Airbnb recently raised that projection to more than US$900 million after its site performed better than expected in the first quarter, according to the Journal’s sources.
The forecasts also show Airbnb’s business becoming profitable, reaching US$3 billion of earnings before interest, taxes, depreciation and amortization in 2020, according to the same sources. At the moment, Airbnb this year is forecasting an operating loss of US$150 million.