Airbnb beats on benefit and income, inventory is up

Brian Chesky, CEO and Co-founder of Airbnb

Mike Segar | Reuters

Stocks of Airbnb rose about 9% in prolonged buying and selling Tuesday after the corporate launched fourth-quarter profits that beat analysts’ estimates on most sensible and backside strains.

Here is how the corporate did:

EPS: 48 cents vs. 25 cents anticipated by means of analysts, in step with Refinitiv.Income: $1.90 billion vs. $1.86 billion anticipated by means of analysts, in step with Refinitiv.

Income for the fourth quarter used to be up 24% yr over yr. Airbnb reported $319 million in internet source of revenue for the quarter, up from $55 million a yr previous, and changed profits ahead of hobby, taxes, depreciation, and amortization of $506 million, surpassing the $432 million anticipated by means of analysts, in step with StreetAccount.

In its shareholder letter, Airbnb mentioned it is seeing endured sturdy call for at first of 2023. The corporate mentioned income within the first quarter shall be between $1.75 billion and $1.82 billion, above the $1.69 billion anticipated by means of analysts polled by means of Refinitiv.

Airbnb mentioned it made tough possible choices to chop spending right through the pandemic however has modestly higher its head depend during the last two years. The corporate mentioned it expects to “proceed hiring at a even handed tempo in 2023” and that when put next with 2019 its head depend is down 5% whilst income is up 75%.

Gross reserving worth, which Airbnb makes use of to trace host profits, carrier charges, cleansing charges and taxes, totaled $13.5 billion within the fourth quarter. The corporate reported 88.2 million nights and reports booked within the fourth quarter, up 20% yr over yr, however underneath the 89.7 million anticipated by means of analysts, in step with StreetAccount.

Airbnb mentioned within the investor letter that vacationers are returning to main towns, which has traditionally been one of the most “most powerful spaces” of its trade. The corporate mentioned home and short-distance trip endured to be sturdy, nevertheless it noticed “even additional growth” in longer-distance and cross-border trip right through the quarter.

Airbnb mentioned visitor call for and provide expansion remained sturdy all through 2022.

Moderate day by day charges diminished by means of 1% from a yr in the past to $153 within the fourth quarter. The corporate ended 2022 with 6.6 million lively listings, which displays an building up of over 900,000, or 16%, when put next with 2021.

Airbnb mentioned it is “in particular inspired” by means of marketplace proportion features in Latin The us, endured restoration inside Asia Pacific, and Ecu vacationers who’re reserving summer time holidays early.

The corporate will cling its quarterly name with traders Tuesday at 4:30 p.m. ET.