Airbnb, Inc.

Airbnb reported Q2 revenue of $3.6 billion, up 17% year over year, and gross booking value of $27.2 billion, up 16%. Nights and seats booked grew 10% year over year, while ADR increased 5% year over year, or 4% excluding FX. Net income was $816 million, adjusted EBITDA was $1.3 billion, and adjusted EBITDA margin was 35%, up more than 100 basis points year over year. Free cash flow was $1.3 billion in the quarter, and trailing 12-month free cash flow was $4.8 billion with a 37% margin. For Q3, Airbnb expects revenue of $4.69 billion to $4.77 billion, implying 15% to 17% growth, with adjusted EBITDA up year over year but margin slightly down versus Q3 2025 due to investment timing. For full-year 2026, the company raised revenue growth guidance to at least mid-teens and expects adjusted EBITDA margin of at least 35.5%, up from 35% previously.

Brian Chesky framed the quarter as evidence of a broader business transformation, not a one-off product win. He said Airbnb has rebuilt itself as an AI-native company, cutting time from concept to launch by as much as 60% and increasing shipped features and improvements by nearly 80% versus the same six months last year. He emphasized that AI is improving search, checkout, hosting tools, customer support, and the speed at which Airbnb can expand into hotels, services, and experiences.

Ellie Mertz highlighted that the quarter outperformed despite Middle East conflict, with the impact less severe than expected and strong global demand continuing. She cited Q2 revenue of $3.6 billion, net income of $816 million, adjusted EBITDA of $1.3 billion at a 35% margin, and $1.3 billion of free cash flow. She also said Airbnb bought back $1.1 billion of stock in Q2, noted support costs per booking were down about 16% year over year, and explained that full-year guidance assumes a material increase in AI spend while still expanding margins.

Analysts focused on hotels, AI search, pricing, experiences, services, and whether Airbnb could become more of a full-trip platform or even a B2B business. Management said hotels are performing better than expected, are now growing about three times faster than homes, and are seeing traction in both supply-constrained and non-constrained markets; they also said roughly 35% of first-time hotel guests later return to book a home. On AI search, Brian Chesky said tests begin this month with a small share of traffic and will expand based on conversion, while positioning it as an additive layer on top of core search rather than an immediate full replacement.