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Airbnb warned that revenue for the final three months of the year could be below analyst expectations, sending quarterly results into a record drop and sending the company’s shares lower in after-hours trading. .

The lodging company on Tuesday forecast revenue between $1.8 billion and $1.88 billion in the current quarter. While the bottom of that range would represent an increase from last year, it would be below analysts’ consensus estimate of $1.85 billion, according to a Refinitiv poll.

Although Airbnb said it saw “promising trends” in the first month of Q4, it warned a strong US dollar would cut rental income.

“[Average daily rates] will face some pressure from foreign exchange headwinds and business mix,” said management.

The company’s shares fell more than 7% in extended trading on Tuesday, despite about to post record profits and a revenue spike for the third quarter.

Airbnb reported record revenue of $2.9 billion, beating consensus estimates of $600 million. Net income of $1.2 billion – also a record – was nearly $200 million higher than analysts had expected and 46% higher than the same period a year earlier.

“Airbnb continues to drive growth and profitability at scale,” the company said in its earnings announcement. “Despite continued macro uncertainties, we believe we are well positioned for the way forward,” it continued, citing strength in guest demand and new server counts. on its platform.

The company acknowledges that the challenging US economy could bode well for the future for the home-sharing company, as homeowners look to tap income in the face of higher consumer prices and a growing market. The job market is starting to weaken.

“Just like during the Great Recession of 2008 when Airbnb started, people were particularly interested in making extra income through hosting.”