Airbnb raised its annual forecast supported by robust bookings in key markets in the Americas, while recording a strong increase in spending as part of its business diversification strategy.
The vacation rental company said it expects annual revenue to “accelerate to high- to mid-teens digit growth” (anywhere from just over 10% to the low 15% range). In February, Airbnb told investors it expected “at least low double-digit” growth in annual sales. Analysts, on average, projected an increase of 12%, according to data compiled by Bloomberg.
“Our outlook for 2026 is supported by continued momentum in our core business — especially strong growth in nights booked in North America and Latin America, our fastest growing region,” Airbnb said on Thursday in a letter to shareholders.
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The company recorded net profit of US$160 million in the first quarter, below analysts’ average estimate of US$180 million. Sales and marketing expenses rose 33% from the previous year to $751 million — well above the $681 million projected by Wall Street.
Known mainly for seasonal home rentals, Airbnb began offering rooms in boutique hotels in markets where this type of rental is more strictly regulated. The company is also adding new à la carte services in select markets, such as refrigerator fulfillment via Instacart and car transportation services from airports.
Shares were up about 1% on Friday morning in New York. For the year, the stock has risen approximately 4.3%, compared to a 7.9% gain for the S&P 500 index.
Airbnb’s optimistic outlook suggests that global travel demand should remain healthy, even as companies such as United Airlines, American Airlines and Booking cut forecasts based on an assessment that the war in Iran would reduce the flow of tourists to the region.
Airbnb reported that there was an increase in cancellations in the first quarter in the region that includes the Middle East. Even so, the total number of nights booked increased 9% compared to the same period of the previous year, thanks to much stronger growth in other areas, exceeding analysts’ estimates. In Asia, the number of new users in India grew by more than 75%, and in Latin America, Mexico maintained double-digit growth in booked nights.
The company expects the impacts of the conflict in the Middle East to persist in the second quarter, which should result in slower growth in daily rates and reserved seats in the period.
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On the other hand, the boost in demand as a whole is positive for Airbnb, which expects to welcome tens of thousands of new guests and hosts in the Northern Hemisphere summer, before the World Cup, a global football competition that will be held in the United States, Canada and Mexico. More than 100,000 properties in the 16 host cities were listed on Airbnb for the first time, the company said.
The company projects revenue between US$3.54 billion and US$3.6 billion for the quarter ending in June, also above market estimates.
© 2026 Bloomberg L.P.
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