Airbnb reports $834 million 3Q profit as revenue soars

Airbnb said Thursday that it earned $834 million on record revenue in the third quarter as more people got vaccinated and went back to traveling.

When companies closed offices in response to the COVID-19 pandemic, that freed some employees to work remotely using video technology, and Airbnb said the result was a huge jump in rentals.

The San Francisco-based home-sharing company said in a letter to shareholders that it believes the trend of work flexibility will accelerate. It noted that major companies including Ford and Amazon have announced flexible work policies, and it predicted others will do the same.

Airbnb said its net income was nearly four times the $219 million that it earned a year earlier and nearly triple the $267 million it reported in the third quarter of 2019.

Revenue rose 67% from a year ago and 36% from the same quarter in 2019, to $2.24 billion. Analysts expected $2.06 billion, according to FactSet.

However, cancellations remained higher than they were before the pandemic.

The third quarter is usually Airbnb’s best. It often loses money in the other quarters.

Airbnb said stays of 28 days or longer continue to be its fastest-growing category, accounting for 20% of nights booked in the most recent quarter, up from 14% before the pandemic.

The company said bookings in North America grew 10% and Latin America was up 20% over the same period two years ago. Bookings in the wide swath of Europe, the Middle East and Asia have not yet recovered to 2019 levels, and business in the Asia-Pacific region remained depressed because of the slower recovery of international travel, however.

Copyright 2021 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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