Bernard McTernan: On margins. So 2 impacts on ADRs, the mix shift in the pricing. It sounds like mix shift is contemplated in that flat EBITDA margin guide for ’23, but can you still achieve flat EBITDA margins if that pricing benefit does come out modestly of ADRs. And as a follow-up, just if there’s an estimate for how much FX weighed on EBITDA margins in ’22, that would be helpful.
David Stephenson: Yes. On the 2 impacts, I mean, as you said, large forecast that we have for ADR moderation is due to the mix shift. Clearly, we want to make sure that we are giving tools to host to price effectively so that we have great value. We’re not — it will be — time will tell how much change we’re seeing ADR from those overall changes. I do have a fair amount of levers, as I said, over time, that I can pull in order to continue to improve the cost efficiency. And if ADRs come down more, then I may need to pull a few more levers, but I feel confident we can deliver our EBITDA margin neutral in the face of whatever ADR headwinds that we see this year. So I think that’s the main end piece. And then your second question again?
Bernard McTernan: Just if there is an estimate for how much FX weighed on EBITDA margins this year given the differential between where revenues are generated and where the costs are in the U.S.
David Stephenson: Maybe we can follow up off-line on that. I mean it was a material probably several hundred million dollars, but we would have to give you the — maybe we work off-line on a specific calculation.
Operator: Your next question comes from the line of Tom White with D.A. Davidson.
Thomas White: Any color or metrics you guys can provide on how cohorts of guests that you acquired during the height of the pandemic have been performing over the last several months kind of relative to customers acquired pre-pandemic. I’m just curious whether it looks like there might be any meaningful differences when it comes to, I don’t know, frequency, spend levels, repeat rates, anything like that?
David Stephenson: No, the actual frequencies take rate spend rates have obviously been very consistent with kind of pre-COVID acquired guests. So we feel really good about the new guests coming on and having them look very similar to historic guests, and so very consistent.
Operator: Your next question comes from the line of Deepak Mathivanan with Wolfe Research.
Deepak Mathivanan: Just a couple of ones. First, it’s nice to see the supply growth, but can you talk about trends on the utilization side? I know you don’t look at occupancy in a traditional sense. But any color on how the product initiatives like changing the search experience or I’m flexible from 2022 is kind of helping with utilization or occupancy on the platform? And then second question, mix of long-term stays remains stable near 20%. How should we think about that for 2023? Is that a potential opportunity and an area of focus for 2023? What sort of product initiatives can you do to kind of take that mix higher given that it obviously helps with the marketplace balance.
David Stephenson: Yes. Deepak, on the supply growth, I think the best measure to look at is you just look at the growth in supply that we had versus 2019 that we grew at 26% and our nights and Experiences book grew 24%, kind of largely in line — we’re not seeing any major shifts in overall kind of utilization rate that give us any concern. We feel like we continue to keep, in aggregate this nice balance of growing supply and growing demand, and we want to keep that relative balance, as I mentioned earlier in the call. If one gets out of whack too much than either the host aren’t happy or the guests aren’t happy. But I’m very pleased with the way in which we’ve been able to keep that balanced. And then in terms of long-term stays, I mean, if you actually rewind the tape all the way back to pre-COVID time.
Q1 of 2019, our long-term stays were about 13% of nights. By the end of the year, it was maybe 16% at nights. So I think 13% to 16%. Last year, it was kind of 19% to 21% or so, 21%, obviously, in the fourth quarter. So it’s been elevated and fairly stable. I think we see in Q1 this year is that we continue to see really strong growth in short-term stays and short-term stays kind of outpacing our growth a little bit in — versus long-term stays here in the first quarter. So I anticipate it coming down just a little bit here in the first quarter on a mix basis, but it’s largely just driven by the short-term acceleration that we’re seeing and it’s still remaining significantly elevated over 2019 rates.
Operator: This concludes our Q&A session for today. I turn the call back over to Brian for closing remarks.
Brian Chesky: All right, everyone. Thank you for joining us today. To recap, we had another record year in 2022. Revenue and adjusted EBITDA were both record high and free cash flow was $3.4 billion. I’m really proud of these results. And before I go, I just want to say how proud I am of our team. If you think about what we — what this team has been through the last 3 years, initially losing 80% of our business, kind of rebuilding the company from the ground up and now just becoming a much more focused, disciplined company. This is a lot of momentum inside the company. And looking forward, we’re already seeing some really strong demand in Q1. Consumer confidence to travel remains really high. I think part of that is like no matter what happens in the world, people want to travel.
And for many people, the office is now Zoom, the Mall of now Amazon, the theater is now Netflix. Travel is going to become a very important way that people experience the world this year. And so therefore, this is going to be an exciting year for Airbnb and for traveling all around the world. So with that, thank you all, and we’ll talk to you next quarter.
Operator: This concludes today’s conference call. Thank you for attending. You may now disconnect.
