Airbnb Misses Analysts’ Q2 Projections

Airbnb shares slid as much as 6% in extended trading on Thursday after the short-term home-rental company reported a smaller sum of nights and experience booked in the second quarter than analysts had projected.

Q2 Performance Highlights

• Earnings: 98 cents per share.
• Revenue: $2.48 billion.

It was not immediately clear whether these numbers are comparable with analysts’ estimates.

Airbnb’s revenue grew 18% year over year in the quarter, according to a statement. Net income reached $650 million, compared with about $379 million, or 56 cents per share, in the year-ago quarter.

The company reported $19.1 billion in gross booking value for the quarter. That was up 12% from the second quarter of last year and above the $18.99 billion consensus among analysts surveyed by StreetAccount.

Airbnb said it had 115.1 million nights and experiences booked during the quarter, up almost 11%, but less than the 117.6 million StreetAccount consensus. Nights and experienced booked increased 19% in the first quarter.

In a letter to shareholders, Airbnb said the nights and experiences booked number was up against a tough comparison.

“We saw an improvement in year-over-year Nights and Experiences Booked growth during the quarter from 10% in April to 15% in June,” the company said. “In particular, we were encouraged by the acceleration in year-over-year nights in North America throughout the quarter, and the recovery in EMEA in June following challenging holiday comparisons in May.”

Gross booking value per night, at $166.01, was up 1% year over year.

Guidance and Future Outlook

With respect to guidance, Airbnb called for $3.3 billion to $3.4 billion in third-quarter revenue, or 14% to 18% growth. Analysts polled by Refinitiv had been looking for $3.22 billion. Management called for a “modest” sequential acceleration in nights and experiences booked.

Introduction of Rooms and Stock Performance

During the quarter, Airbnb introduced Rooms to play up the appeal of affordable private bedrooms for rent, averaging $67 per night.

Notwithstanding the after-hours move, Airbnb shares have risen about 64% so far this year, outperforming the S&P 500 stock index, which is up 17% over the same period.

Conference Call and Updates

Executives will discuss the results with analysts on a conference call starting at 4:30 p.m. ET.

Breaking News and Expert Opinion

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