San Francisco-Based Rental Giant Faces Mixed Market Response Despite Strong Q1 Performance
Airbnb (ABNB) reported a notable increase in quarterly profit, with first-quarter revenue reaching $2.14 billion, marking an 18% rise compared to the previous year. However, the company’s second-quarter revenue forecast fell short of Wall Street expectations, prompting an 8% drop in share prices early on Thursday.
Despite robust performance in regions like Asia-Pacific and Latin America, where travel demand surged, Airbnb cited factors such as currency exchange rates and the timing of the Easter holiday for the subdued second-quarter outlook. While first-quarter bookings saw a significant uptick, the company anticipates a potential slowdown in the second quarter due to the holiday’s impact.
Chief Financial Officer Ellie Mertz expressed a desire for higher growth but acknowledged the prevailing trends shaping the company’s outlook. Despite challenges, Airbnb reported a net income of $264 million for the quarter, surpassing analyst expectations.
Looking ahead, Airbnb remains optimistic about summer revenue growth, expecting acceleration in the third quarter driven by international events like the Olympics and Euro Cup.
You might like this article:Advancing Cancer Therapy: CytomX’s Positive Clinical Data and Future Milestones
