Airbnb posts record-breaking revenue, touts resilient travel demand
Jeremy Poland

Airbnb (NASDAQ:ABNB) shares slid sharply in Tuesdayâs extended session despite reporting stronger than expected earnings for the second quarter.
The online accommodation provider posted EPS of $0.56 alongside a 57.6% jump in revenue to $2.1B. Analysts had anticipated $0.52 and $2.1B, respectively. The beat on the bottom line was particularly significant as management indicated the quarter was its most profitable on record. 
âFrom a profitability perspective, we had our most profitable Q2 ever with net income of $379Mâa nearly $700M improvement from Q2 2019,â the companyâs shareholder letter read. âWe generated $795M of FCF in the quarterâa nearly $1.1B improvement from the -$263M FCF from the depths of the pandemic two years ago.â
The companyâs total cash balance at the end of the quarter neared $10B, according to the letter. Based on this ballooning figure, management approved a $2B share repurchase program. 
The shareholder letter also forecasts record revenue for the third quarter. 
âIn Q3 2022, we anticipate the highest quarterly revenue in Airbnb history,â it stated. âWe expect to deliver Q3 2022 revenue between $2.78 billion and $2.88 billion, representing year-over-year growth of between 24% and 29%, and a 69% to 75% increase relative to 2019.â
Despite the solid report and bullish forecast, shares fell 10.32% shortly after the numbers were posted. It is worth noting that the stock had run exceptionally hot into the print, rising more than 20% in the month ahead of the announcement. The post-market decline projects the stock to give back essentially the last week of gains.
The forecast of "stable" bookings into the third quarter may also be to blame, as the flat expectation may not have satiated uber-bullish expectations for the company.
Dig into the details of the quarter.