⁍ Airbnb burned through more than $1.2 billion in cash between mid-2019 and mid-2020, the Information reported.

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⁍ The biggest portion of the cash burn was in the first quarter of this year, when the company had to pay out travel refunds due to the pandemic.

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⁍ Reuters reported last week that Airbnb is aiming to raise around $3 billion in its upcoming IPO.

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– The travel bug wiped out more than a third of Airbnb’s cash reserves in the first quarter of this year, according to financial documents seen by Reuters. The company, which is planning an IPO in the fall, burned through $1.2 billion in cash between mid- 2019 and mid- 2020, according to financial documents seen by the Information website. The documents show that the burn was caused by spending on marketing, hiring, and compensation in the wake of the travel bug, which caused millions of people to cancel travel plans. In March, Airbnb said its founders would take no salary for the next six months and top executives would take a 50% cut. The documents show that the burn depleted more than a third of Airbnb’s cash reserves as of March. Earlier this year, the company raised $2 billion in debt. Reuters reported last week that Airbnb is aiming to raise around $3 billion in its upcoming IPO, citing people familiar with the matter, as it takes advantage of the unexpectedly sharp recovery in its business. According to the Information report, Airbnb is expected to use that money in part to pay off the debt.