Shares of Airbnb Inc. traded higher on Tuesday after-hours after it delivered positive fourth-quarter results.
The property rental company gained 3.63% to $186.60 per share, adding $4.09 billion to its market value.
It followed its uptrend of 6.14% to $180.07 per share in the regular trading period.
Moreover, the firm moves 4.28% higher year-to-date with a total valuation of $114.41 billion.
Accordingly, Airbnb beat Wall Street estimates on earnings and revenue, flagging a rebound from the Covid-19 pandemic.
Its EPS came at $0.08 per share, significantly beyond the market consensus of $0.03.
Then, the travel firm reported total revenue of $1.53 billion, topping analysts’ expectations of $1.46 billion.
At the same time, the reportable segment significantly edged up 78.00% from the $859.00 million a year earlier.
In line with this, the business had an annual increase of 56.00% to $300.60 million for the full-year revenue.
Subsequently, Airbnb noted 73.40 million nights and experiences booked in the fourth quarter.
The figure came in lower than the expected 74.96 million nights and experiences for the quarter.
Nevertheless, it still mirrors a 59.00% annual increase, a rebound when the Covid-19 pandemic heavily weighed on the travel industry.
The business emphasized that the impact of the Omicron coronavirus variant was lower than the delta variant.
Airbnb posted $55.00 million in net income, decreasing from the prior quarter. However, it represents a vast improvement from the $3.89 billion a year ago.
Gross booking value totaled $11.30 billion, higher than the projected $11.08 billion and past the $5.90 billion records.
In December, gross night bookings increased by 40.00% compared to 2020 levels.
Additionally, solid demand helped push up prices charged by hosts, with average daily rates up 20.00% year-over-year at $154.00.
Likewise, the average trip length in the past two years increased by 15.00%.
Airbnb Gives Strong Outlook
Moreover, Airbnb anticipated a better-than-expected first-quarter revenue after reporting buoyant quarterly results.
It forecasts the current-period revenue in the range of $1.41 billion and $1.48 billion, beating the expected $1.24 billion.
Eventually, the firm projected bookings to outpace pre-pandemic levels significantly. The company also said it had the most significant listings but did not release a figure.
Meanwhile, Marriott International Inc also beat estimates in its latest earnings release, noting that travel recovery remained intact.
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