Uber’s revenue doubles, but adjusted loss weighs on inventory


Uber Technologies Inc. said on Wednesday that it made a profit in the second quarter and that bookings and gross revenue doubled year over year, but investors still lowered its stock as part of it. ‘a prolonged negotiation.

Uber UBER,
shares fell 9% after-hours, after falling more than 2% in the regular session to close at $ 41.81.

Uber’s profit was largely due to its investments. Without them, the company lost over half a billion dollars in the quarter. The company also said it had 101 million monthly consumers of active platforms in the quarter, an 84% increase year-over-year, but well below analysts’ expectations of 108.9 million.

Gross bookings reached $ 21.9 billion, above analysts’ expectations of $ 21.25 billion. Mobility’s gross bookings reached $ 8.6 billion, beating expectations by $ 8.3 billion. Delivery continued to outperform groceries, with gross bookings reaching $ 12.9 billion, above the $ 12.6 billion expected by analysts. Revenue reached $ 3.93 billion, up from $ 1.91 billion in the quarter last year.

Uber reported second quarter net income of $ 1.1 billion, or 58 cents a share, largely due to unrealized gains on its investments in Didi Global Inc. DIDI,
and the autonomous car company Aurora. That compares to a loss of $ 1.8 billion, or $ 1.02 per share, over the period last year. Adjusted for restructuring, stock-based compensation and other costs, the company’s EBITDA loss was $ 509 million, an improvement from a year-over-year loss of $ 837 million but more significant than analysts’ expectations of $ 321.7 million.

Analysts polled by FactSet had forecast a loss of 52 cents a share on revenue of $ 3.76 billion.

Uber chief executive Dara Khosrowshahi highlighted the positives for the company during the earnings call. He said the company’s driver supply issue was going in the right direction – it added 30% more US drivers from June to July – so Uber is already removing the incentives, and demand for rides is ” back to almost normal “in some markets. .

CFO Nelson Chai said he expects Uber to achieve EBITDA profitability in the fourth quarter.

Uber shares have fallen 18% so far this year and have risen over 25% last year, while the S&P 500 SPX index,
has increased by over 17% since the start of the year and is almost 33% higher in the past 52 weeks.

The company posted earnings a day after Lyft’s results also showed continued resumption of the pandemic, but also lingering uncertainty.

See: Lyft stock sinks amid concerns over outlook, pandemic uncertainty and growth

See: Uber and Lyft drivers on strike for one day, say incomes have fallen despite driver shortage

Source link


About Author


Comments are closed.