Airbnb Surpasses Wall Street Expectations for Q2 Revenue and Earnings

Key Points

Airbnb reported second-quarter results that beat analysts’ expectations.
Revenue increased 13% year over year to $3.1 billion.
Airbnb expects to report third-quarter revenue of $4.02 billion to $4.1 billion.

Airbnb delivered second-quarter results on Wednesday that surpassed what analysts had anticipated.

The company performed as follows against average analysts’ estimates from LSEG:

Earnings per share: $1.03 vs. 93 cents expected
Revenue: $3.10 billion vs. $3.04 billion expected

Revenue climbed 13% from $2.75 billion in the same quarter last year. The company posted net income of $642 million, or $1.03 per share, rising from $555 million, or 86 cents per share, in the previous year.

For the third quarter, Airbnb projects revenue between $4.02 billion and $4.10 billion, with $4.06 billion at the midpoint. Analysts had forecast $4.05 billion for this period, according to LSEG.

The company told shareholders in a letter that it achieved a robust second quarter despite facing an unpredictable macroeconomic environment. U.S. President Donald Trump’s extensive tariff and trade policies threw markets into turmoil throughout much of April.

“Despite global economic uncertainty early in the quarter, travel demand picked up, and nights booked on Airbnb accelerated from April to July,” the company said.

Airbnb recorded 134.4 million nights and seats booked, marking a 7% increase from the previous year and exceeding the 133.35 million that StreetAccount had projected.

Gross booking value, which Airbnb uses to track host earnings, service fees, cleaning fees and taxes, reached $23.5 billion in the second quarter. This number exceeded the $22.66 billion that analysts surveyed by StreetAccount had expected.

Airbnb announced it secured approval for a new share repurchase program worth up to an additional $6 billion of Class A common stock. The company bought back $1 billion of Class A common stock during the second quarter and maintained authorization to purchase $1.5 billion more as of June 30.

Airbnb shares dropped slightly in after-hours trading. The stock has declined 0.7% year-to-date through Wednesday’s close, while the Nasdaq has gained nearly 10%.

Airbnb will conduct its quarterly investor call at 4:30 p.m. ET.