Monday, December 6, 2021

Uber’s Q3 Loss Increased Due to Investment Loss, Revenue Up 72%

SAN FRANCISCO (AP) – Uber on Thursday reported strong third-quarter revenue growth thanks to passengers and drivers returning from the pandemic, but its net loss was wider than Wall Street expected.

The San Francisco-based company said its third-quarter loss increased to $ 2.42 billion, or $ 1.28 a share, from $ 1.1 billion, or 62 cents a share, a year earlier.

The latest quarter included stock-based compensation expenses as well as significant unrealized losses associated with the investment in Didi. The Chinese car-sharing company went public on the New York Stock Exchange in late June, and a few days later faced cybersecurity scrutiny from a Chinese internet watcher. Uber estimated the impact of the pretax Didi cut at $ 3.2 billion, offset in part by unrealized gains from Zomato and other investments.

Revenue for the quarter ended September 30 rose 72% year-over-year to $ 4.85 billion, while gross orders rose 57% to $ 23.1 billion. The company noted that gross mobility orders for Halloween weekend – after the end of the quarter – exceeded 2019 levels.

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On average, analysts polled by FactSet forecast a 33 cents per share loss on $ 4.42 billion in revenues.

Uber said its adjusted earnings before interest, taxes, depreciation and amortization – or EBITDA – were $ 8 million during the quarter, which was positive for the first time in the company’s history. The restaurant delivery segment is also close to breakeven.

In the fourth quarter, Uber Technologies Inc. expects gross profit of $ 25 billion to $ 26 billion and Adjusted EBITDA of $ 25 million to $ 75 million.

Uber Technologies Inc. rose about 1% after the close of trading. The stock is down about 11% since the start of the year.

Nation World News Deskhttps://nationworldnews.com
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