Airbnb Sees 33% Growth in ‘Nights and Experiences’ in Latin America

Worldwide, the company had 99.7 million hosting bookings in the third quarter, just below analysts’ expectations

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Bloomberg Línea — The San Francisco-based home-sharing platform Airbnb (ABNB) said “nights and experiences” booked by the app in Latin America grew 33% in Q3 2022 compared to the same period last year.

The company said it saw a “continued resilience in certain countries, such as Mexico and Brazil, where both domestic and inbound cross-border travel remain strong.” Worldwide, the company had 99.7 million booked accommodations in the third quarter, just below the 99.9 million expected by analysts.

Even so, shares of the platform fell 9% in after-market trading, with guidance for “moderate” growth for the fourth quarter because of different booking behavior compared to the previous year, with people turning to city-based accommodations, which typically have lower rates because they are smaller accommodations.

Airbnb had a record revenue of $2.9 billion in the third quarter, growing 29% year over year. Net income for the third quarter was also a record $1.2 billion, improving by $380 million compared to Q3 2021.

The San Francisco-based app said that in Q3 2022 it delivered a net profit margin of 42%, up from 37% in Q3 2021.

Third-quarter adjusted EBITDA was also a record $1.5 billion, up 32% compared to $1.1 billion in Q3 2021. Adjusted EBITDA margin was 51% in Q3 2022, up from 49% in the same period last year.

“The third quarter was our largest and most profitable quarter ever, despite geopolitical and macroeconomic headwinds,” Airbnb said in a letter to shareholders.

“Guest demand remains strong. We believe in new types of accommodation, including long-term stays and travel, as millions of people have new flexibility in where they live and work. At the same time, we have also seen a recovery in urban and overseas travel, which comprised the vast majority of our business before the pandemic.”