Vacation rental site Airbnb beat second-quarter earnings expectations and again raised its full-year outlook, crediting an accelerated pace of bookings and continued strong travel demand despite higher costs.

Airbnb shares were up more than 11% in after hours trading, after closing down 0.6% at $151.64 in regular trading.

Airbnb said it delivered some of the strongest results in years during the first half of 2026, and that it exceeded its outlook across every key metric for the second quarter.

Revenue in the quarter rose 17% from a year ago, to $3.6 billion, above the $3.58 billion Wall Street was expecting, according to FactSet.

Net income of $816 million beat the $764 million expected, and adjusted Ebitda, or earnings before interest, taxes, depreciation, and amortization, of $1.3 billion rose 21% from a year ago and surpassed estimates for $1.23 million.

Gross bookings of $27.2 billion, the total retail value of transactions booked, including taxes and fees, rose 16%, "driven by continued strong demand as well as a moderate increase in Average Daily Rate," and surpassed the $26.45 billion analysts expected.

Nights and Seats Booked increased 10%, accelerating from the first quarter, to 148.3 million, above the 145.8 million expected.

"One of the most encouraging trends in Q2 was that we saw year-over-year growth accelerate not just in our expansion markets, but in many of our largest core markets as well," Airbnb told shareholders in a letter. Net origin nights booked in the U.S., France, the U.K., and Australia all accelerated in the second quarter, "reinforcing our confidence that our product innovation is driving demand across our business."

"We've rebuilt Airbnb from the ground up to be an AI-native company, and it's showing up in our results," reducing the time from concept to delivery by up to 60%, and helping Airbnb outperform its largest peers, the company said.

Airbnb raised its full-year guidance for revenue growth and adjusted Ebitda margin, saying it now expects revenue growth to increase "at least mid-teens," supported by the accelerated pace of Nights and Seats Booked, traction from product and growth initiatives, and continued strong travel demand.

It now expects full-year adjusted Ebitda margin of "at least 35.5%" from 2025, because of stronger topline growth and underlying operating leverage in its core business, as well as opportunities for future growth.

For the current third quarter, Airbnb expects revenue of $4.69 billion to $4.77 billion, up 15% to 17% from a year ago. Gross booking volume is expected to grow by a mid-teen percentage, driven by low double-digit growth in Nights and Seats Booked and a moderate increase in average daily rates.

Adjusted Ebitda is expected to increase, while adjusted Ebitda margin will decline slightly compared with the third quarter of 2025, because of the timing of investments.