Airbnb Inc. boosted its annual revenue forecast for the second time this year, projecting annual revenue growth to improve to "at least mid-teens" from its previous guidance of "low- to mid-teens" provided in May. This revised outlook surpasses the average analyst expectation of a 14% jump, according to Bloomberg data. The company also increased its full-year forecast for adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) margin to "at least 35.5%" from at least 35%.
This upward revision is attributed to robust global travel demand, with significant strength observed in the US and Europe. Earlier in February, Airbnb had anticipated annual sales to gain "at least low double digits," and analysts had projected a 12% jump. The company's Q1 2026 financial results showed strong performance, with revenue growing 18% year-over-year to $2.7 billion, exceeding guidance, and gross booking value increasing 19% year-over-year.
Key drivers for the strong Q1 performance included a 9% growth in Nights and Seats Booked and an acceleration in nights booked on the app, growing 22% year-over-year. First-time booker growth also accelerated to 10%, the highest since early 2022, with notable strength in expansion markets like Brazil, Japan, and India. Despite macroeconomic and geopolitical uncertainties, such as elevated cancellations in EMEA and Asia Pacific due to the Middle East conflict, Airbnb's model has shown resilience.
