Airbnb’s CFO Warns of Slower Growth Ahead: Sees ‘Difficult Year-Over-Year Comparison’ After Booking Surge In 2024 — Stock Dips Over 6% – Airbnb (NASDAQ:ABNB)

Vacation rental platform, Airbnb Inc. ABNB, is warning investors to brace for a deceleration in growth during the latter half of this year, as the company reels from tough year-over-year comparisons, due to its unusually strong performance in late-2024.

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Tough Comps In Second Half of 2025 Despite Strong Momentum

During its second-quarter earnings call on Wednesday, Airbnb’s CFO, Ellie Mertz, said that she expects year-over-year comparisons to get tougher towards the end of this quarter, which she says, “will continue into Q4, putting pressure on growth rates later in the year.”

Mertz warns that the company is now facing an elevated benchmark as it heads into the back half of 2025. “Over the course of Q3 last year, we saw a nice acceleration and exited Q3 at a much stronger rate than we entered,” she said.

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Mertz says that Airbnb’s business gained momentum throughout the second half of 2024, which sets up more challenging comparisons.

“For our business last year in Q3, we grew approximately 8% in terms of nights booked. That accelerated over 4 points to over 12% in Q4,” she said, describing it as “the acceleration that we’re referring to in terms of the difficult year-over-year comparison.”

The company, however, emphasized that its current booking momentum remains healthy, particularly in the United States, with Mertz saying, “As we look to Q3, we’re encouraged by current demand trends, specifically the acceleration of nights booked from April through July.”

Stock Plunges After Hours Despite Earnings Beat, $6.5 Billion In Buybacks

The company released its second-quarter results on Wednesday, reporting $3.1 billion in revenue, up 13% year-over-year, and ahead of consensus estimates at $3.03 billion. It reported a profit of $1.03 per share, which again beat analyst estimates at $0.93 per share, according to Benzinga Pro.

Airbnb also authorized a new $6 billion stock buyback program, adding to its existing authorizations worth $1.5 billion.

The stock was up 0.42% on Wednesday, closing at $130.50, but is down 6.20% after hours, following its earnings announcement.

Airbnb scores well on Growth in Benzinga’s Edge Stock Rankings while having an unfavorable price trend in the short and long terms. It does, however, have a favorable price trend in the medium term. Click here for deeper insights into the stock, its peers and competitors.