TLDR
- Airbnb Q1 revenue hit $2.68B, up 18% year-over-year, beating the $2.62B forecast
- EPS of $0.26 missed the $0.31 estimate by 16%
- Gross booking value rose 19% to $29.2B; nights booked up 9% to 156.2M
- Middle East conflict caused elevated cancellations in EMEA and Asia Pacific
- Full-year 2026 guidance raised; revenue growth expected in low- to mid-teens
Airbnb posted a mixed Q1 2026 report after the bell Wednesday. Revenue beat, but earnings per share fell short, and the stock slipped roughly 1% to $139.08 in premarket trading Friday.
The stock had closed up 0.4% at $140.46 on Thursday. After-hours trading briefly pushed it to $140.97 before the premarket dip.
Q1 revenue came in at $2.68 billion, up 18% from a year ago. That topped the Wall Street consensus of $2.62 billion.
$ABNB (Airbnb) #earnings are out: pic.twitter.com/lVOquSxVDs
— The Earnings Correspondent (@earnings_guy) May 7, 2026
EPS landed at $0.26, missing the forecast of $0.31 by about 16%. That gap raised some eyebrows around cost pressures.
Adjusted EBITDA came in at $519 million, a 24% jump year-over-year and above the $485 million analysts expected.
Gross booking value reached $29.2 billion, up 19%. Nights and seats booked hit 156.2 million, a 9% increase and slightly ahead of the 155.7 million estimate.
Free cash flow for the quarter was $1.7 billion.
Middle East Conflict Weighing on Bookings
Airbnb flagged geopolitical headwinds during the quarter. The company said the conflict in the Middle East led to slightly elevated cancellations in EMEA and Asia Pacific.
For Q2, Airbnb is factoring in an estimated 100 basis points of headwind tied directly to that conflict.
CEO Brian Chesky pointed to the company’s flexibility as a buffer. When U.S.-bound travel slowed due to tariff uncertainty last year, travelers rerouted through Airbnb to other destinations.
“We have millions of homes, everywhere in the world, at every price point, and that’s something most travel companies can’t replicate,” the company said.
Q2 and Full-Year Guidance
For the second quarter, Airbnb guided revenue of $3.54 billion to $3.6 billion, up 14% to 16% year-over-year. It also expects adjusted EBITDA and adjusted EBITDA margin to grow versus last year.
Gross booking value growth is projected in the low double digits. Nights and seats booked growth is expected to “slightly decelerate” compared to Q1.
On the full year, Airbnb raised its 2026 guidance. It now expects revenue growth to accelerate in the low- to mid-teens, with adjusted EBITDA margin of at least 35%.
That’s an upgrade from prior guidance and signals management confidence despite the macro uncertainty.
Airbnb is also expanding its Reserve Now, Pay Later feature and leaning into AI tools, both of which the company expects to support future growth.
CFO Dave Stephenson acknowledged the cost pressures but said the revenue trajectory and strategic investments keep the company well-positioned.
Airbnb’s stock is up 3.5% year-to-date through Thursday’s close and up 11.1% over the past 12 months.
The EPS miss was the clearest soft spot in the report, and it appears to be what’s driving the premarket pullback despite the otherwise solid numbers.
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