Airbnb CEO Brian Chesky appears at “The Game Plan: Strategies for Entrepreneurs” at Airbnb Open in Los Angeles on Nov. 19, 2016.
Kurt Krieger – Corbis | Getty Images Entertainment | Getty Images
Airbnb reported results for the primary quarter that were mostly in step with estimates, but the corporate issued a disappointing revenue forecast for the present period.
Shares declined about 4%.
Here’s how the corporate did in comparison with LSEG estimates:
- Earnings per share: 24 cents per share vs. 24 cents expected
- Revenue: $2.27 billion vs. $2.26 billion estimate.
Revenue increased 6% from about $2.1 billion a yr ago. Net income fell to $154 million, or 24 cents per share, from $264 million, or 41 cents per share, in the identical period a yr earlier.
For the second quarter, Airbnb said it expects revenue of between $2.99 billion and $3.05 billion, or $3.02 billion at the center of the range. Analysts had forecast $3.04 billion in revenue for the present period. The corporate said it expects the period to incorporate a two percentage point profit because of Easter timing.
“Within the U.S., we have seen relatively softer results, which we consider has been largely driven by broader economic uncertainties,” the corporate said in a letter to shareholders.
While the corporate said it experienced strong year-over-year growth in North America “despite broad macro uncertainty,” it reported “softness” in travel from Canada to the U.S. toward the tip of the quarter.
Tariffs are the story of this earnings season, as investors search for signs that President Donald Trump’s sweeping levies on imports are weighing on costs and consumer spending.
Gross booking value, which measures host earnings, service fees, cleansing fees and taxes, increased 7% yr over yr to $24.5 billion, in step with estimates. Night and experiences booked rose 8% from a yr ago and totaled 143.1 million, in comparison with the 143.4 million estimate from analysts.
Excluding North America, Airbnb said that nights and experiences grew 11% from a yr ago. Nights booked by Canadian guests visiting Mexico jumped 27% from a yr ago in March. The corporate said it expects nights and experiences booked to “moderate” in the present period from the primary quarter.
“During April, we saw strong demand for Easter travel from Latin America–which stays our fastest growing region,” Airbnb said.
Airbnb also teased recent updates to its app coming later this month that may go “beyond places to remain.” The corporate said it has removed 450,000 listing since updating its host quality system in 2023.
Airbnb executives will host an earnings call with analysts at 4:30 p.m. ET.
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