Airbnb Inc (NASDAQ:ABNB) reported better-than-expected revenue in the second quarter, as the vacation rental group was boosted by a post-pandemic surge in international travel.
The company posted an 18% percent jump in revenue in the three months ended on June 30 to $2.48 billion, topping Bloomberg consensus estimates of $2.42B. Earnings per share of $0.98 also beat projections for $0.80.
Gross booking value rose 13% to $19.1B. Airbnb said nights and experiences booked rose 11% from the same time last year to 115.1 million, its highest second quarter ever. It saw growth in all regions, with Asia Pacific notching the strongest increase. The San Francisco-based firm said it continues to see signs that travelers are returning to cities.
However, a move to mitigate price hikes led to just a 1% uptick in average daily rate globally, and a 1% decrease in North America. Analysts have flagged that demand for hotels in the U.S. has remained subdued as Americans opt to take advantage of lifted movement restrictions and a stronger U.S. dollar to go abroad for their holidays.
For the third quarter, Airbnb guided to revenue of $3.3B to $3.4B, above consensus. It expects a modest sequential increase in year-over-year growth in nights and experiences booked from the second to the third quarter.
“In terms of forward commentary, management continued to point to operating strength and better returns on marketing spend versus expectations going into [the second half of 2023],” analysts at Goldman Sachs (NYSE:GS) said in a note to clients.
Shares in Airbnb inched marginally lower in premarket trading on Friday.
