Airbnb bookings jump 52% as vaccinations spur vacation rental demand

Tiger Newspress2021-05-14

May 13 (Reuters) - Airbnb Inc beat Wall Street expectations for first-quarter gross bookings and revenue on Thursday, as speedy COVID-19 vaccinations and easing restrictions encouraged more people to check into its vacation rentals.

Gross bookings jumped 52% to $10.29 billion in the quarter, easily beating analysts' estimates of $6.93 billion.

"For guests aged 60 and above in the U.S., who were amongst the first groups to benefit from vaccine rollouts, searches on our platform for summer travel increased by more than 60% between February and March 2021," Airbnb said.

The San Francisco-based company expects second-quarter revenue to be similar to 2019 levels, adding that the return of urban and cross-border travel is likely to underpin growth over the coming quarters.

Airbnb is also set to benefit from demand for longer stays and a shift to traveling in groups by business travelers, Chief Executive Officer Brian Chesky said on a post-earnings call.

The company has weathered the pandemic better than rivals as people turned to its offering of larger spaces and locations away from major cities in the era of social distancing.

It recorded a surge in bookings in Britain after the government laid down plans in February to exit lockdown, while the easing of travel restrictions in France earlier this month also lifted demand.

Airbnb, however, said it was too early to predict if the recovery momentum would continue at the same pace in the second half of 2021.

Its revenue rose 5.4% to $886.9 million in the first quarter ended March 31, exceeding estimates of $714.4 million, according to Refinitiv IBES data.

Adjusted loss before interest, taxes, depreciation and amortization narrowed to $59 million, from $334 million a year earlier, largely due to cost cuts.

Airbnb shares once gainde 2% in after hour trading.

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Comments

  • dabao111
    2021-06-17
    dabao111
    Cool
  • beankim
    2021-05-16
    beankim
    i find abnb very expensive as for now. Will keep monitoring as it is a great company. anyone know if airbnb platform cannot be used in any other country other than japan?
  • TaiWoeiHaur
    2021-05-15
    TaiWoeiHaur
    Try. 
  • Abundance Thankful
    2021-05-14
    Abundance Thankful
    Go higher… time to buy more!
  • TaiWoeiHaur
    2021-05-14
    TaiWoeiHaur
    Wait. 
  • Longgs
    2021-05-14
    Longgs
    Good sign
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