Using walkie-talkie with Airpods

Having trouble using the new walkie-talkie feature with Airpods. I'm able to speak through the microphone, but when it comes to receiving incoming messages, the audio still defaults to the Apple Watch speakers. Tested phone calls to make sure the Airpods were connected properly, and it worked fine.

Is the walkie-talkie function incapable of outputting audio to Airpods?

Gear: Series 2 Watch with iPhone 7+