(Bloomberg) -- Airbnb Inc. gave a disappointing outlook for a third consecutive quarter as it warned of slowing demand from US travelers — a sign that momentum in travel spending will continue to taper off even during the peak summer season. The company expects “sequential moderation” of growth on the key metric of nights and experiences booked in the current period, the company said Tuesday in a letter to shareholders.
As it is, Airbnb posted an 8.7% gain for the most recent quarter, falling short of investors’ estimates. Third-quarter gains will be even flatter, then, while analysts had been projecting an 11% boost.
This sets up the slowest pace of growth since 2020 as demand and travel habits return to normal following an especially brisk vacation season in 2023 that coincided with the formal end of the Covid-19 pandemic — headwinds that have dogged the broader industry. Last week, Booking Holdings Inc. gave worse-than-expected guidance, blaming “mild moderation” in the European travel market and “mild indication” of some consumers opting for lower-star hotels and shorter stays, particularly in the US.
“We are seeing shorter booking lead times globally and some signs of slowing demand from US guests,” Airbnb said in the letter regarding recent booking trends. Latin America and Asia Pacific continue to be its fastest-growing regions, it added. Shares of Airbnb plunged more than 10% in extended trading on Tuesday.
The company’s revenue for the current.