2024-05-08 16:40:40 ET
Airbnb Inc (NASDAQ: ABNB) is trading down in extended trading on Wednesday even though it came in ahead of Street estimates in its fiscal first quarter.
Why is Airbnb stock down in after-hours?
Investors are concerned because issued somewhat of a muted guidance for the future. The vacation rental company now expects its revenue to fall between $2.68 billion and $2.74 billion in Q2.
Analysts had called for $2.74 billion. Brian Chesky – the chief executive of Airbnb said in a letter to shareholders today:
Looking ahead to the peak summer travel season, we are already experiencing robust demand for travel around international events such as the Olympics and Euro Cup.
The Nasdaq-listed firm recorded an 3.0% increase in daily rates on average to $173 in the first quarter that it ended with a record number of active listings – up 15% versus last year. Airbnb stock is now up roughly 15% versus the start of 2024.
Watch here: https://www.youtube.com/embed/m0QEg6hcLLM?feature=oembedAirbnb Q1 earnings snapshot
- Earned $264 million versus the year-ago $117 million
- Per-share earnings also jumped from 18 cents to 41 cents
- Adjusted EPS printed at as per the earnings report
- Revenue climbed 18% year-over-year to $2.06 billion
- Consensus was 23 cents a share on $2.14 billion in revenue
Airbnb reported a better-than-expected 9.5% annualised increase in nights and experiences booked while its gross booking value gained 12% to $22.9 billion in Q1 – also ahead of estimates. CEO Chesky also said on Wednesday:
Our strong balance sheet and significant cash flow generation provides us the opportunity to pursue all three capital allocation priorities [organic growth, strategic acquisitions, return to shareholders].”
This is a developing story. Check back in a few minutes for more updates!
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