Record bookings at Airbnb as travel bounces back

US company expects to deliver record revenue and profits in the next quarter

Airbnb has unveiled record bookings as the travel industry recovers from the pandemic and hosts scramble to sign up.

The holiday rental firm said it is “in the midst of our strongest peak travel season yet” and July 4 was its highest single day revenue ever.

The US company expects to deliver record revenue and profits in its third quarter, ending in September.

The number of listings climbed by nearly a quarter, both in urban and non-urban destinations. The group secured 103.7m bookings in the three months to June, a 24pc jump from 2019.

Revenue surged to $2.1bn (£1.7bn), up 73pc from two years ago, and profits swung to $379m from a $297m loss in the same period.

Airbnb said that its strong performance was driven by spending cuts during the pandemic, which led to 1,900 layoffs, and its “adaptable” business model.

The rise in host numbers may be driven in part by a global cost of living squeeze which has sparked a race by households to supplement their income.

Chief executive Brian Chesky said: “The second quarter of 2022 demonstrates we have achieved growth and profitability at scale.

“Our strength this quarter is the result of our ability to stay focused and disciplined while continuing to relentlessly innovate.”

Shares lost 7pc in after-hours trading, having dropped by over a third since the start of the year.

During the quarter, the company closed its arm in China because of the “costly and complex challenges of operating in the country”, exacerbated by the zero-Covid policy and continued lockdowns. All listings in the region were taken down in July.

It unveiled an alternative to the standard search option in in May in the hope of offering a solution to overtourism, which critics say it has contributed to.

The homepage now shows a series of destinations that are being suggested to users, which can still search by destination and date if they wish.

In its previous financial update, the company had upgraded the outlook for its summer quarter over hopes that travel would return to pre-pandemic levels.

Bookings in the first quarter had topped 2019 figures for the first time since the spread of Covid-19.

It comes as authorities in the UK crack down on short-term holiday lets, including on websites such as Airbnb.

Earlier this week the Scottish government approved plans to control rentals in Edinburgh and force Airbnb hosts to apply for a licence to rent their properties.

Last month the Welsh government announced a similar measure alongside a cap on the number of second homes.