Airbnb Q1 earnings: olympics expected to deliver a solid summer quarter

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 $ABNB issued somewhat of a muted guidance for the future. The vacation rental company expects its revenue to fall between $2.68 billion and $2.74 billion in Q2.

Analysts were at the top end of its range ($2.74 billion). Brian Chesky – the chief executive of Airbnb said in a letter to shareholders today:

The Nasdaq-listed firm recorded a 3.0% increase in average daily rates 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.

Airbnb Q1 earnings snapshot

• Earned $264 million versus the year-ago $117 million
• Per-share earnings also jumped from 18 cents to 41 cents
• Adjusted EBITDA printed at $424 million 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. According to CEO Brian Chesky: