Shares in Airbnb saw a 14% drop in after-hours trading, following the company’s reports that second-quarter bookings fell short of expectations – raising concerns that Americans are less interested in short-term rentals.

There was an 8.7% increase in second-quarter bookings, a number which fell short of the predicted reservations. Co-founder and CEO Brian Chesky warned shareholders that the company was seeing “shorter booking lead times globally in some signs of slowing demand from U.S. guests,” even as Airbnb invested in increasing quality control.

“Our Quarter Three outlook incorporates these recent trends, whereas watching these trends closely along with the impact any macroeconomic pressures might be causing,” Chesky told investors. “And we’re continuing to execute against our growth strategy by improving our service, expanding a less-penetrated market, and introducing new offerings. We believe this growth strategy will, over the long term, offset any transitory macro trend.”

Chesky also highlighted enthusiasm around major summer events, including the Olympics and the EuroCup, as positive news for Airbnb. Latin American and Asian-Pacific numbers were also promising – with Chesky pointing to the two regions as the company’s fastest growing markets.

Still this quarter marks the company’s slowest pace of growth since 2020, when the pandemic decimated the travel industry. Chesky told investors that long-term bookings dropped off in 2020 because customers had no confidence in their ability to take trips, then increased in 2022 and 2023 when people were enthusiastic about their ability to travel again.

The CEO characterized 2024 as a “return to normal” but many in the industry are highlighting concerns that travel will continue to decline, in light of economic concerns. Other industry players, including Marriott International, Delta Airlines and Kayak parent company Booking Holdings Inc., reported concerning forecasts for the next quarter in recent projections.