Uber’s losses top $1 billion, trumping better than expected revenues
Better than expected revenues couldn’t divert investor attention from the fact that Uber still managed to lose more than $1 billion in the most recent quarter as the company’s stock fell in after-hours trading.
There are bright spots in the latest earnings report, not least that the company managed to stanch the bleeding that had cost the company over $5 billion in the previous quarter.
Revenue grew to $3.8 billion, up from $2.9 billion in the year-ago period, representing a 30% boost. But even as Uber’s core business shows signs of stabilizing and its core markets continue to show growth, its other business units appear to be hemorrhaging cash at increasingly high rates.
“Our results this quarter decisively demonstrate the growing profitability of our Rides segment,” said Dara Khosrowshahi, the company’s chief executive, in a statement. “Rides Adjusted EBITDA is up 52% year-over-year and now more than covers our corporate overhead. Revenue growth and take rates in our Eats business also accelerated nicely. We’re pleased to see the impact that continued category leadership, greater financial discipline, and an industry-wide shift towards healthier growth are already having on our financial performance.”