Airbnb tops revenue estimates, but Middle East cancellations rise due to Iran war

Brian Chesky, co-founder and chief executive officer of Airbnb Inc., during a news conference in Los Angeles, California, US, on Wednesday, May 1, 2024. Eric Thayer | Bloomberg | Airbnb reported mixed first-quarter results after the bell on Thursday and warned of regional weakness spurred by the war in Iran. Here's how the company did versus the LSEG estimates: Earnings per share : 26 cents vs. 29 cents expected Revenue : $2.68 billion vs. $2.62 billion expected Revenue grew 18% during the quarter from $2.27 billion last year. Net income increased to $160 million, or 26 cents per share, from $154 million, or 24 cents per share, last year. For the current quarter, Airbnb issued an upbeat forecast, calling for revenue between $3.54 billion and $3.60 billion. Analysts expected $3.46 billion in revenue. The company lifted revenue guidance for the year to "low to mid teens" growth from a 12% forecast. Like many travel and airline companies, Airbnb is feeling the pressure from the Iran war, which has spiked oil prices, cancelled flights, and fueled widespread regional uncertainty. The company expects a 100-basis-point headwind to nights and seats booked in the second quarter, and a deceleration relative to the first quarter, due to the war. …