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The online hospitality network recovered from the pandemic travel slump with lightning speed: It cracked the Fortune 500 list of top companies by revenue for the first time in 2023, and analysts expect the company to grow revenue by 17% in 2023, to $9.8 billion, and by another 12% in 2024. Concerns over a possible inflation-driven travel slowdown put Airbnb’s share price on a yo-yo trajectory for most of 2023, but more bullish investors have applauded the company’s efforts to boost its inventory of less-expensive listings, and its potential to use AI to protect its profit margins.

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<span style="font-weight: 400">Since Hurricane Sandy struck in 2012, Airbnb has helped organize temporary housing for refugees, asylum seekers, and people displaced by disaster; it has served 75,000 people so far. In August, as Afghanistan fell to the Taliban, Airbnb’s nonprofit arm said it would pay for hosts to house 20,000 Afghans. In September, Airbnb said that support from the host community had helped exceed that goal.</span>

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Airbnb operates a global platform that allows hosts to offer accommodations and experiences to guests. Its marketplace connects users via web and mobile apps to book stays, activities, and experiences. Founded in 2007 and originally named AirBed &amp; Breakfast, the company adopted the Airbnb name in 2010; it became a publicly traded company in 2020.

Q2 2026

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Airbnb (ABNB): Company Profile, Stock Price, News, Rankings

legacy

Airbnb

airbnb

Good afternoon, and thank you for joining Airbnb's Earnings Conference Call for the 2025. As a reminder, this conference call is being recorded and will be available for replay from the Investor Relations section of Airbnb's website following this call. I will now hand the call over to Angela Yang, Director of Investor Relations. Please go ahead.

Good afternoon, and welcome to Airbnb's second quarter of twenty twenty five earnings call. Thank you for joining us today. On the call today, we have Airbnb's Co Founder and CEO, Brian Chesky and our Chief Financial Officer, Ellie Mertz. Earlier today, we issued a shareholder letter with our financial results and commentary for our 2025. These items were also posted on the Investor Relations section of AirBee's website.

During the call, we'll make brief opening remarks and then spend the remainder of time on Q and A. Before I turn it over to Brian, I would like to remind everyone that we will be making forward looking statements on the call that involve a number of risks and uncertainties. Actual results may differ materially from those expressed or implied in the forward looking statements due to a variety of factors. These factors are described under forward looking statements in our shareholder letter and in our most recent filings with the Securities and Exchange Commission. We urge you to consider these factors and remind you that we undertake no obligation to update information contained on this call to reflect subsequent events or circumstances.

You should be aware that these statements should be considered estimates only and are not a guarantee of future performance. Also during this call, we will discuss some non GAAP financial measures. We provided reconciliations to the most directly comparable GAAP financial measures in the shareholder letter posted to our Investor Relations website. These non GAAP measures are not intended to be a substitute for our GAAP results. With that, I'll pass the call to Brian.

All right. Thanks, Angela, and good afternoon, everyone. Thanks for joining. Airbnb had a strong q two. We exceeded expectations across key metrics, including bookings, revenue, and margin.

And while the quarter started with some global economic uncertainty, travel demand picked up, and nice booked in Airbnb accelerated from April to July. We also made meaningful progress across our three strategic priorities. First, we continue to perfect our core service. In q two, we made improvements to checkout, messaging, merchandising, and more flexible payment options, all of which helped us increase revenue. We also expand our new AI customer service agent in The US, reducing the percentage of hosting guests who need to contact a human agent by 15%.

Second, we accelerated growth in global markets. NICE booked on an origin basis and our expansion markets have now grown at twice the rate of our core markets for six consecutive quarters. And what this shows is that we're achieving product market fit, increasing brand awareness, and driving traffic in key countries outside The United States. So take Japan, for example. Late last year, we launched a brand campaign to raise awareness among Japanese travelers.

You might wanna take a trip, within Japan, and the early results are really encouraging. In q two, Japanese travelers booked more nights on Airbnb than they did in q one, driven by more domestic travel and a 15% year over year increase in first time bookers. We also announced several major partnerships to help accelerate growth in key markets, including a three year partnership with the Tour de France, a global live partnership, music partnership with Lollapalooza, and our continued partnership to IOC for upcoming Winter Olympics in Milan. And we just announced a three year partnership with FIFA and the World Cup, which is the largest event in the world. Large events have been a part of Airbnb's story from the very beginning.

They help us build brand awareness and grow supply in key markets. And while many of these partnerships are high profile, the events themselves are often very local, and that's what makes them so powerful. They highlight our ability to disperse travel beyond popular city centers and help strengthen relationships with local governments and communities. Finally, our third strategic priority is expand our business beyond stays. And in q two, we did that in a big way.

As part of our twenty twenty five summer release in May, we launched Airbnb services and completely reimagined Airbnb experiences. We also introduced an all new app, making it easier to book home, service, and experiences all in one place. Now this was our biggest launch to date, and it generated more than 13,000 press stories and nearly 660,000,000 social media impressions. After the launch, I traveled around the world to amplify the news in key markets. And over the next three weeks, I visited six countries and met with over 600 members of the press, policymakers, Airbnb partners, and Airbnb hosts.

And so far, the response to our summer release has been great. Guests say it's easier to discover new list, offerings on our homepage and find what they're looking for. And when they book a service experience, the feedback has been incredibly positive. The average guest rating for a service and experience since launch is 4.93 stars out of five stars. Now for context, this outperforms the already impressive 4.8 average rating for home during the same period.

And we're also seeing strong interest from potential hosts. Since launch, over 60,000 people have submitted applications to host a service or experience. We are really excited by the momentum. It's still early, but we believe that service and experiences could become sizable businesses for Airbnb. Now with that, I'll turn it over to Ellie for a financial update.

Thanks, Brian, and good afternoon, everyone. I'll start with a review of our q two financial results, and then I'll walk through our outlook for q three. As Brian mentioned, q two marked another strong quarter for us. We had a 134,000,000 nights and seats booked, up 7% year over year. We also saw an acceleration in year over year nights and seats booked with growth rates for May and June both outpacing q one.

Looking at the growth rates by region, Latin America grew in the high teens, Asia Pacific grew in the mid teens, EMEA in the middle single digits, and North America in the low single digits. It is worth highlighting that nights and seats booked is a new metric that now includes the number of nights booked for stays as well as the total number of seats booked for both services and experiences. Now turning to our q two financials. Revenue for the quarter was $3,100,000,000 up 13% year over year. In terms of profitability, we generated $1,000,000,000 of adjusted EBITDA, representing a 34% margin, up from 32.5% last year.

And finally, net income of $642,000,000 and EPS of 1.3 grew 1620% respectively. Next, I'll turn to our balance sheet and cash flow. We continue to generate significant cash in Q2, delivering $1,000,000,000 of free cash flow. Over the past twelve months, we've generated $4,300,000,000 representing a free cash flow margin of 37%. At the end of Q2, we had $11,400,000,000 of corporate cash and investments as well as $11,100,000,000 of funds held on behalf of guests.

Our strong balance sheet allowed us to repurchase $1,000,000,000 of our common stock during the quarter, and we ended Q2 with $1,500,000,000 remaining on our repurchase authorization. And today, we're announcing a new share repurchase program with authorization to purchase up to an additional $6,000,000,000 of our Class A common stock. Now since introducing our share repurchase program in 2022, we've reduced our fully diluted share count by 8%. Now let me shift to our q three and full year 2025 outlook. As we look to q three, we're encouraged by current demand trends, specifically the acceleration of nights booked from April through July.

We've seen this momentum globally with especially strong growth in The US. That said, we do expect year over year comparisons to get tougher towards the end of the quarter and that this dynamic will continue into q four, putting pressure on growth rates later in the year. Specifically for q three, we expect to generate 4,020,000,000.00 to 4,100,000,000.0, representing year over year growth of eight to 10%. This includes minimal impact for foreign exchange after factoring in our hedges. We expect nights and seats booked to grow at a similar rate to q two twenty twenty five and for ADR to increase modestly year over year, primarily driven by FX.

On profitability, we expect adjusted EBITDA in q three to exceed 2,000,000,000, and we anticipate that adjusted EBITDA margin will be lower than in q three twenty twenty four, primarily due to investments in new growth and policy initiatives. And we expect a similar year over year decline of adjusted EBITDA margin in q four twenty five due to growth investments and a tougher year over year top line comparison. For the full year, we continue to expect an adjusted EBITDA margin of at least 34.5%. This includes approximately $200,000,000 of investment towards new businesses in 2025. While we don't expect meaningful revenue from our new businesses in the near term, we expect or excuse me.

We believe the opportunity is significant and are building with a multiyear view. To wrap up, our q two results reflect strong execution across our strategic priorities, perfecting the core, accelerating growth in in global markets, and expanding beyond the core. We are acting with urgency and focus to drive growth of our core business and to scale services and experiences. And with our strong financial position, we are well equipped to invest in the future in order to create long term value for our investors. With that, I will open it up to Q and A.

We will now begin the question and answer session. Our first question will come from the line of Mark Mahaney with Evercore ISI. Please go ahead.

Okay, thanks. I think I'll just like to ask about Airbnb experiences. And Brian, what have you seen so far? What do you think would be success in terms of, I don't know, an attach rate? Like what's the what do you are there proxies or bogeys out there that you've seen other companies or in other industries with kind of the attach rate to a core offering that you think, yes, that's where Airbnb should be?

It seems to me like it's a natural cross sell or add on, but what's the goal and how long do you think it'll take to get there? Thank you very much.

Hey, Mark. Maybe I'll just, like, zoom out and just talk about experiences and what we've seen so far. We're very, very impressed and satisfied, personally, with the awareness of Airbnb experiences. The biggest problem we've had historically, even with the tax rate, people didn't know you even had Airbnb experiences. The launch turned over 13,000 articles, 660,000,000 social media impressions.

We've also seen increased visibility of our product through our newly redesigned homepage, and guests really love Airbnb experiences. We talked about, obviously, that they're significantly rated more highly than homes on Airbnb. There's a few things. I mean, attach rate, we're absolutely looking on looking at. We we don't have any numbers to share as far as what we see for potential attach rate.

But we think that attach rate could be significantly higher for the completely reimagined Airbnb experience than the prior iteration of the product. And the way we're gonna do that is, number one, we need to make sure that we have resident supply, supply that people really, really like. So we're making sure that we have great listings. This includes Airbnb originals, that are the very best experience on Airbnb. The next thing we wanna do is make sure we have significantly greater entry points for the products.

So we've really integrated experiences into the core flow. And the third thing is we're raising awareness about Airbnb experiences, and we think that not only sells experiences but sells more bookings. A couple other things I'll just share about Airbnb experiences. You know, we've had a huge amount of people wanting to list experiences on Airbnb, submit applications. And the other thing, I'll I'll just point out Airbnb originals.

40% of bookings for Airbnb originals are from locals for people in the kind of local area, where where the where the booking occurs. So what we're seeing with Airbnb experiences is even though they're designed for travelers, we also do expect to start to see more local demand. So I think what we're gonna see is over the next year, you're gonna see us really focusing on honing in on the tax rate in key cities. Right now, like, one of the cities we're really focused on is Paris. It's a really popular corridor from The United States, and we're really trying to see what we can do on attach rate in Paris and few other cities like that.

Once we get that attach rate up, that will give us a better indication of what's possible globally. But I'm very, very bullish. I think a large percent of travelers on Airbnb would love to use Airbnb experiences.

Our next question comes from the line of Richard Clarke with Bernstein. Please go ahead.

Hi, good afternoon. Thanks for taking my question. Just want to, pick maybe a little bit of the guidance. What is the size of the headwind you're expecting in Q3 maybe from the events, the Paris Olympics? And you talked about that maybe continuing to Q4.

So should we expect Q4 to be slower than Q3? And maybe in addition to that, you've called out three of your growth markets are now alive and kicking sort of Brazil, Japan and Germany. Any thoughts what you think the sort of right midterm growth rate is now for Airbnb given this sort of success in these newer newer geographies?

Sure, Richard. Let me let me talk a little bit about the trends for both q three and q four, and then we can turn to global markets. Excuse me. Just to remind you, the comps that we're referring to from last year, you you'll probably recall that at this time last year, we and others were seeing quite, depressed bookings in July. And so right now, we're we're kind of comping a a softer period from 2024.

But over the course of q three last year, we saw a nice acceleration and exited q three at a at a much stronger rate than we entered. And so that's the pattern that we are we are comping directly right now. It was a it was a couple point acceleration over the course of the quarter. What I'll also call your attention to is the acceleration that we saw beyond q three through the end of q four. So for our business last year, in q three, we grew approximately 8% in terms of of nights booked.

That accelerated over four points to over 12% in in q four. And so that's the acceleration that we're referring to in terms of the hard year over year comp. So when we look at kind of the history of our data and seasonality on the platform, what we're seeing right now is that 2023 is a is a bit more of a normalized comp for '25. And so when we look at that year over two year comp specifically to '23, what it implies is that the hard comp, that we will face on a year over year basis in q four could, could result in a bit of a decel from q three to q four on a year over year basis, and we would just wanted to highlight that heading into the back half of the year. Your second question was around, expansion markets.

You know, obviously, we called out, the the real success we're having in Brazil, in Japan, in Germany, you know, other places that I would call out that we didn't know in the lender in the letter. India is doing quite well. Rest of Latin America also doing quite well. What we've called out for some time with regard to our expansion market strategy is that the composition of our business historically has been so concentrated in the core markets that it will take a period of, you know, aggregated, business mix shift for the, elevated level of growth in the expansion markets to be a meaningful contributor to the overall consolidated totals. I think the good news is that the success that we have had in these expansion markets has already started to move the needle in terms of diversifying our global business away from North America.

I would say just if you look on a year over year basis, the the acceleration or the the strength of growth that we've seen in Latin America has allowed Latin America to take about 200 basis points of business share within Airbnb from North America and therefore contribute more meaningfully to growth. So, you know, the intent of our strategy is to continue to invest in these markets, continue to gain market share in them. And as they grow as a percent of our overall business, the contribution to growth will, commensurately grow as well.

Our next question will come from the line of Eric Sheridan with Goldman Sachs. Please go ahead.

Thanks so much for taking the questions. I'm curious about from a marketing perspective as you continue to sort of reposition or position Airbnb as a brand globally and move into these areas such as services and experiences and new growth markets. What are some of the key learnings about the intensity of marketing spend that's needed to put these dynamics into the market and grow and scale them? And how might sort of the channels of those marketing investments continue to evolve when you think about looking out just beyond 2025 and more of a medium to longer term view about how you bring the platform closer to consumers? Thanks so much.

Yeah. Hey, Eric. I can start. We we think that, probably going forward, the best way to market services and experiences is to actually market the entire offering of Airbnb. So immediately upon, the launch, we did launch some Airbnb experiences, specific ads.

But this fall, we're gonna be launching ads that market home services and experiences, the bundled offering. And we think this is a really, really key principle that only Airbnb offers all of this in one app. And so we don't think that the marketing intensity per se has to increase because we think we can get a lot more for our dollar by marketing all of our offerings. And it makes more sense. Right?

Airbnb, in a sense, is these aren't disparate offerings. If you book a home, you're very likely to want a service or experience. So we can market all three. The second thing is channel. So that's just the strategy.

We think that the channels for service experiences and home is increasing in the shift to social. Now why is this gonna be the case? Well, one of the things we're noticing, obviously, in the whole world seeing is that a lot of travel is switching from desktop to mobile and from Google search to social media. And so increasingly, people are spending time on social media, and social media is gradually taking over as the number one place for travel search from Google. And travel is becoming more of an inspiration base than a high intent search based, destination platform.

So, you know, Airbnb, we think, is really prime for social media. You know, we are probably the most relevant brand for young American travelers that is the kinda heart and soul of kind of the social media audience. And I think that, you know, you're gonna see a lot more of social media native advertising. So we're shifting a lot of our advertising from TV to social. And we are and the great thing about social is we can target.

We know a lot more about the customers. We know if they're Airbnb customers. We can actually, when they watch an ad, we can link it to inventory and get them to go directly to the app. So it's it's actually, we think, very, very performative. So this is, this is what we're gonna be doing with marketing.

Brian, if I could just add, one comment to that. In terms of overall marketing intensity, the $200,000,000 that we have highlighted in terms of investments behind experiences and services for 2025, it is not an increase in programmatic marketing. Our overall programmatic marketing for the year is relatively stable from a percent of revenue basis. Instead, the increase in sales and marketing that you see associated with, services and experiences is focused in particular on our field operations, go to market activities and supply acquisition. It is not spending more to, effectively advertise multiple brands.

Instead, to Brian's point, we are spending behind a single brand.

Our next question comes from the line of John Colottone with Jefferies. Please go ahead.

Great. Thanks for taking my questions. I wanted to ask one about Experiences. I'm curious to get your perspective on the approach that you're taking to building inventory in Experiences. There's a lot of variability in the quality across the Experiences industry.

So I'm curious how you're approaching balancing building supply that's consistent with the differentiation of Airbnb's accommodations offering versus building more commoditized supply that's maybe easier to build scale around? Thanks.

Yeah, John. Actually, we actually are managing the quality of experience and even more than managing the quality of homes. I think the evidence of that is two things. The input is that we actually vet every single experience on Airbnb before it comes on the platform. We do not vet every home to what we vet every experience on Airbnb.

The result of that is that the average home is got a 4.8 rating. The average experience has a greater than 4.93 rating. So we think this is working. Now as far as scale, we actually think we can do this, like, quite effectively. We are working with a of third party vendors.

We built a fairly sophisticated operation, to do vetting. You know, we vet, through the first thing we do is we vet their profile, make sure everyone's got a verified identity. We vet their credentials. There's a number of third party sites we can do use for that. And we also make sure they have right certifications and licenses, which I think is really, really important for all these nascent different industries.

But we think we can be very, very efficient with this vetting approach. And we ultimately think that this could actually make the market more effective because quality is critical to customer satisfaction and building trust and people really trying something new on Airbnb.

Our next question comes from the line of Jed Kelly with Oppenheimer. Please go ahead.

Hey, great. Thanks for taking my question. Just on overall company strategy, how do you think about potentially implementing a strategy or acquiring a company that potentially could reaccelerate or reaccelerate your revenue, reaccelerate your nights versus building organically? Thank you.

Hey, Jed. We're always we're always open to buying companies. We've purchased a few companies in the past. Our, you know, Hotel Tonight has been, you know, a successful, application that we acquired a number of years ago before the pandemic. We've historically primarily focused on building organically, but, you know, we absolutely are open to acquisitions, and we are gonna be looking at it.

And I think that we are now, in a better place to consider acquisitions now that we've rebuilt our tech platform from the ground up, and we have this new expanded strategy where we're focused not just on all aspects of traveling, but also living. And so I think there's absolutely acquisitions on the table that we could be looking at. We always wanna make sure that if we do an acquisition, is one of the most perishable opportunities that the integration costs don't outweigh the, like, the benefit of the revenue that we get. But we are absolutely opportunistic when it comes to acquisitions. I think we're more prepared to do them now than before.

The next question comes from the line of Colin Sebastian with Baird. Please go ahead.

Great. Good afternoon. Thanks for taking the question. Brian, you touched on this a little bit, but curious if you have any more color on the impact or observations on the way homes or nights are booked from the app following the redesign. And just one point of clarification from the release.

It sounds like booking lead times are now back to a normal level versus what you were seeing earlier in the quarter. Elliot, if can just confirm that. Thank you.

Yeah. Hey, Colin. What we're seeing with homes is some pretty exciting patterns. We're seeing a giant uptick in the number of people that are booking a home from the homepage on Airbnb. So this has been a major behavioral change from, you know, basically, the last seventeen years of Airbnb's history.

So if you go to most apps, especially OTA, they you open the app, and every single person goes essentially to the search box. They type in something on the search box, and they enter dates, and they get a bunch of search results. And this is how everyone searched for travel over the last twenty, twenty five years. The holy grail is to get more and more people to be in browse and discovery mode, almost like on Netflix or, say, DoorDash. DoorDash was very search driven. They're now more of a browse and discovery application. And it's been a really hard nut to crack within travel, but we think we've done it.

Because what we've seen is that increasingly more and more guests are engaging, not just to service experience from a home page, but with homes. Now this is very strategic. Why is this strategic for us? The reason why is if people can engage with our home page rather than typing in a destination, then we can divert travel more broadly to where we have available supply, thereby increasing conversion rate of our traffic, if this makes sense. So the more intent based our traffic is, people have a very specific destination, very specific dates.

And if they're only going based on high intent, you're gonna lose people that are either lower intent or people where you might have a home, but it's a little bit outside their search radius or a little bit outside their date that they're looking for. So this is one of the things that we've seen. We've also seen, a lot more people engage with a new trip tab. Our trip tab is essentially our itinerary, and, we are seeing a lot more engagement on the itinerary. And this itinerary is really important because this is the application that you use when you're on your trip.

This is critical because if we can get people to use the application on trip and we can get co travelers to use it on trip, then what we're really saying is we have this point of sale during the trip to cross sell other things. So, for example, one of the things we've seen with experiences and services is a lot of people like to book service experiences last minute, including people often like to book service experiences when they're on a trip. And so, you know, if we can get more people to open our app during a trip and go to the homepage and browse Discover, then this goes to, one of the kind of questions I asked earlier about how we cross sell for Mark and get more people to book services experiences. So there's been many other things that I could call out about the launch, but that would be the key thing. People are engaged on their app while on trip, and they're engaged with their homepage. This is really, really critical to booking more homes, but also to cross selling services experiences.

And I just wanna wrap by saying these are two things I don't think OTAs have cracked. I don't think OTAs have cracked how to get anyone to scroll on their homepage. I don't think OTAs have cracked how to get people to use their app during the trip. So I think that these are distinctly things that Airbnb has started to open the door for.

and I think there was a point question, Ali.

Colin, just your second question was about lead times. The question, you know, have they normalized compared to earlier in q two? The answer is yes. As you recall, back in April, lead times were heavily compressed. They were down about 7% year over year.

Over the course of the quarter, as booking confidence rose, bookings accelerated, we saw lead times normalize. And then heading into Q3, they've actually lengthened a little bit compared to last year, which is a great sign in terms of booking confidence and overall guest demand.

Our next question will come from the line of Justin Post with BofA. Please go ahead.

Great. A couple of questions. Fred, I'm sure you would say there's still a lot of room to grow in The U. S. So maybe help us understand why the growth rate is in the single digits, how supply is growing and how you might be able to accelerate that?

And then on Events and Experiences, any thoughts on what you're hoping for or targeting for long term attach rates on on a per trip basis? Thank you.

Brian, take the the acceleration. Yeah. So when we think about, The US, it is our largest market, but it actually has, we believe, a huge amount of room to grow. In particular, when we look at The US, it remains a heavily hotel dominated market. So when we reference that, you know, one in 10 nights that are stayed outside the home are in an Airbnb, that is actually directionally true for The US, and is actually, you know, a lower, percentage penetration in terms of short term rentals than we see in other markets.

So think structurally, The US has a huge area to grow. How are we how are we going to drive incremental growth in The US? It's really consistent with the strategies that we've laid out, in particular, around perfecting the core. We know that there are some user gaps in terms of converting more hotel users to Airbnb guests, and those are the are the gaps that we're working to close. I think, you know, one is is obviously pricing affordability.

We've we've made some, I would say, great progress there in terms of little price display, better pricing tips, but there's, I would say, a lot more work to do to make sure that we are always, you know, the greatest value and are attracting a wide variety of US demographics. Second, you know, another strategy that we've talked about for some time that we are seeing good results from is targeting specific demos that we are underpenetrated in. The two that we've called out and and have made progress against are, one, The US Hispanic population, and second, what we call the Heartland states, you know, states in the middle of the country that we have historically had lower levels of penetration. And then I would say, more broadly, there's a series of things coming in terms of increasing usability, exploring more diversity of payment options that we think will be also incrementally accretive to The US.

Yeah. Maybe, I can just add on a little bit. Know, we think we're just scratching just to kind of kind of follow-up with what always said. I think, we're just completely scratching the surface of the scale of home sharing in Airbnb. Why do I think this is the case?

Well, let's look at supply and let's look at demand. On the supply side, we have around 10,000,000 homes. I think we can have tens of millions more on Airbnb. When you ask people, why don't you put your home in Airbnb? The two most common reasons are it's too much work and, like, a k, I don't have the time, or I don't want people I don't know in my home.

Regarding if too much work, you know, we found a lot of success with cohosting. Cohosting, just to remind you, is a marketplace where we connect the best host in Airbnb with people who have homes that don't have time to host. We now have, a 100,000 listings managed by cohost. They posted 10,000,000 nights. I think this could lead to millions and millions more homes on Airbnb.

It's a very, very successful program, and we are prepared to scale this in the coming years. So this should unlock a lot more supply. Regarding, people just being nervous about guests being in their home, you know, we're the only company that has a 3,000,000, guarantee called Aircover that protects you against theft and property damage. But we're also investing a lot more in trust and safety. You know, we have more than 200,000,000 verified identities on Airbnb, more than almost any other platform of any kind on the Internet, and we're gonna be investing a lot more on Airbnb.

You know, think on a lot of other platforms, you don't really know who the guests are. Oftentimes, they don't even have accounts. On our platform, they're gonna have rich profiles. They're gonna know a lot more about them. So I think if we do these two things, and then to Ellie's point, if we focus on getting more homes in our top markets where we're supply constrained, we focus on quality, reliability, and continue to make progress on affordability, then I think we're gonna look back and say that we're just scratching the surface of, the growth of our core business in in US.

I think the other thing I'll just say on growth generally is the following. You know, we are looking to reaccelerate the growth of Airbnb. We are not satisfied with the company growing approximately 10% year over year. We want the company to reaccelerate. We think we have a great plan to reaccelerate.

The three strategic priorities we have, perfecting our core, expanding global markets, and these new products and services, They're all essentially starting from a small base, but they're gonna be scaling, you know, and they're gonna all pay off in different times, but we're we have a lot of bets that are growing. We have services. We have experiences. We have hotels in Airbnb that are starting to scale. We've got about eight countries globally that, you know obviously, Brazil's been a huge success story, but also Japan, we call that in the letter.

We started marketing Japan late December. November, December, we're starting to see real big growth in Japan. So we're gonna see a lot of these areas really pay off, I think, around the same time. And this is why I feel very confident this company can reaccelerate. And I do not think we're coming close to reaching any type of saturation in any market around home sharing.

There's a huge amount of homes that aren't listed that could be if you make hosting easier and safer. And I think that, you know, one in nine people, you know, stay or one in 10 people stay in Airbnb. If that was two in 10, that would double our business.

Our next question comes from the line of Doug Anmuth with JPMorgan. Please go ahead.

Thanks for taking the questions. Brian, I have two. There's been a lot of discussion on experiences. I was just hoping you could talk a little bit about the launch of services and just where you're most focused there across supply and building demand or just overall product. And then you talked about the opportunities and partnerships around major events.

How do these help in terms of incremental bookings, but then also on brand and and product awareness? Thanks.

Yeah. I mean, on services, services are earlier than experiences, obviously, because experiences existed. We launched in 02/2016, and we basically reimagined it.

Services is essentially 10 different businesses. I mean, every category of services is kind of like a different business. You know? Photography is different than chefs. It's different than masseuse.

So we essentially launched 10 categories, 10 different businesses and services. We launched them around the world. What we're really focused on doing right now is trying to crack in a few key markets. Los Angeles, for example, is a market that we've been spending a lot of time on. We think it's a really great, market to test services in.

And what we're really trying to do is build out the catalog of these services and really increase the attach rate. One of things I'm really excited about with services is about 10% of bookings for services are actually from locals or people that are nearby. Essentially, locals are people booking them in their own city. And I think there could be a huge opportunity for demand of local booking services. You know?

Think about all the people that would let a chef come to their home, that aren't traveling. So people that want a massage to come to their home, that aren't traveling. So I think there's a huge opportunity here. So we're gonna be looking at attach rate in key markets and also the amount of locals that are booking as well. What we are seeing is that the satisfaction rate of services is similar to the satisfaction rate of homes from guests, and it's higher than, sorry.

Similar to experience and higher than homes. So it's around 4.93 for services versus 4.8 for homes. So we're seeing a lot of promising traction, but it's incredibly early, and it's earlier for services than experiences. So we expect this bet to play out over a longer time horizon. I do think, that services is probably a significantly larger opportunity than experiences because the 10 categories they launched are just the beginning.

There are dozens and dozens of categories of experience you can book. Imagine getting to Airbnb and there's a catalog of services, anything you can imagine. I think this could be where we can take this product, but we're going to focus on getting these 10 to work in a few markets.

Our next question comes from the line of Trevor Young with Barclays. Please go ahead.

Sorry. Sorry. I did not answer the question about events. Can I just do that real quick?

Airbnb (ABNB) Q2 2025 Earnings Call Transcript

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