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Despite a slowdown in the U.S. and economic uncertainty across the world, Airbnb continued its profitability and growth streaks as the company earned $154 million in profit from $2.3 billion in total revenue generated from charges to both travelers and hosts who run the platform.
Gross booking volume — the total amount that travelers spend on reservations on Airbnb — was $24.5 billion in the quarter. Both gross booking volume and profit were up 7 percent compared to a year earlier.
The company used its results to proclaim that Airbnb was stable amid economic calamity.
“Our results show that no matter what’s happening in the world, people continue to choose Airbnb,” the company said. “That’s because our model is inherently adaptable.”
The company said its strength came from its broad scope of offerings, with millions of homes for rent in various price points and in regions across the world.
“And for hosts, Airbnb remains an incredible way to earn extra income,” the company said. “As the world changes, we’ll continue to adapt.”
The company noted that travel demand was stronger internationally, and that it had softened in the U.S. amid broader economic uncertainties.
The earnings were slightly better than the company expected when it reported its fourth quarter earnings in February, at which time it told investors it expected to generate between $2.23 billion and $2.27 billion in the first quarter of this year.
The company reported having $11.5 billion in cash and cash equivalents on hand at the end of the first quarter. It has been using some of that cash to repurchase shares.
The company’s implied take rate, or the amount of revenue it earns from bookings, was 9.3 percent per booking in the quarter, the same as it was in the first quarter of 2024.
The average cost to book an Airbnb listing was $171 in the quarter. That’s about 7 percent higher than it was four years ago, but down about 1 percent compared to a year earlier.
Coming changes
Airbnb CEO Brian Chesky has been hinting at major updates the company will make that will be announced at its annual summer release on May 13.
The company is keeping those details secret until the release, but Chesky has often suggested that Airbnb planned to expand beyond its core business of booking night stays and experiences.
He has likened the coming changes to Amazon’s origins as a discount bookseller before it expanded into a global retail, shipping and data powerhouse.
Airbnb said that it had completely rebuilt its app on a new technology stack to support the anticipated updates, suggesting the changes will go beyond a focus on booked experiences or nights stayed.
“On May 13,” the company said in its letter, “Airbnb will go beyond places to stay.”
