By Airbnb Inc. impressively exceeded analysts’ revenue estimates and provided strong guidance in its quarterly report. Despite a net loss of $349 million in the fiscal fourth quarter, compared to a net income of $319 million in the same period last year, Airbnb’s sales rose by 17% to $2.22 billion, outperforming the year-ago quarter’s $1.9 billion.
The company’s financial performance surpassed expectations, as analysts had predicted adjusted earnings of 66 cents per share and revenue of $2.165 billion on average. However, Airbnb announced that it expects first-quarter sales to range from $2.03 billion to $2.07 billion, whereas FactSet analysts forecasted $2.03 billion.
Initially, Airbnb’s stock surged by 17% immediately after the report’s release. However, the gains were quickly reversed, and the stock was only up by 1% in after-hours trading.
In a letter to shareholders, Airbnb declared that it is currently at an inflection point. Having spent the past three years refining its core service, the company is now ready to embark on its next chapter.
Over the past year, Airbnb’s shares have demonstrated their resilience, climbing by 25%. This notable performance far exceeds the broader S&P 500 index, which has advanced by 20%.
With these impressive results and positive outlook, Airbnb is well-positioned for future success.
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