By Janet H. Cho
Vacation rental site Airbnb reported first-quarter revenue and gross booking that beat expectations, but also said travel plans are being impacted by the conflict in the Middle East.
Shares were down 2.6%, below $137 a share, in late trading, after closing up 0.4% at $140.46 on Thursday.
Airbnb said first-quarter revenue increased 18% from a year ago to $2.7 billion, "exceeding the high end of our guidance." Adjusted Ebitda, or earnings before interest, taxes, depreciation, and amortization, of $519 million rose 24% from last year.
Wall Street was expecting revenue of $2.62 billion and adjusted Ebitda of $485 million, according to FactSet.
"We're navigating a period of macroeconomic and geopolitical uncertainty, " Airbnb said. "We saw that show up in slightly elevated cancellations this quarter in EMEA and Asia Pacific, primarily driven by the conflict in the Middle East. But this is exactly where our model demonstrates its resilience."
Airbnb explains that when travel patterns shift, it can adapt with them. Last year's tariff uncertainty led to fewer people traveling to the U.S., but "they still came to Airbnb and found somewhere else to go," the company said.
"We're seeing a similar dynamic now. We have millions of homes, everywhere in the world, at every price point, and that's something most travel companies can't replicate," it added.
This is breaking news. Please check back for further updates.
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(END) Dow Jones Newswires
May 07, 2026 16:33 ET (20:33 GMT)
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