Saturday, 16 October 2021

Uber posts $1 bn loss in Q1 on growing revenue

SAN FRANCISCO: Ride share giant Uber reported a $1 billion loss in the first quarter of this year despite rising revenue and monthly users.

In its first earnings report as a publicly traded company, Uber said revenue climbed 20 percent to $3.1 billion from the same quarter last year, but that it lost $1 billion.

“In the first quarter, engagement across our platform was higher than ever, with an average of 17 million trips per day and an annualized gross bookings run-rate of $59 billion,” said Uber chief executive Dara Khosrowshahi.

The earnings were in line with Wall Street expectations. Uber shares were up 2.9 percent to $40.97 in after-market trades that followed release of the earnings figures.

After debuting at $45 for the initial public offering (IPO) – translating to a market value of $82 billion – Uber shares went into reverse.

The decline came amid doubts over Uber’s path to profitability despite one of the biggest tech IPOs ever.

Uber had dialed back some of its earlier ambitions for a value exceeding $100 billion after a rocky start for competitor Lyft earlier this year.

Check Also

Pentagon signals slow pullout from Afghanistan

(Photo by Joël SAGET / AFP / FILES) WASHINGTON: The US military could slow down ...

Leave a Reply