Uber reported record earnings in the most recent quarter on Tuesday, saying more drivers and delivery companies are using its platform than ever before, putting the company in a much better position than it was two years ago. suggests we are emerging from a pandemic-fueled recession. Still, Uber lost him nearly $2 billion on investments in other ride-hailing services.
The company beat analyst expectations, shrugged off fears of high inflation, and reached $8 billion in revenue. That’s a 105% jump for him from the previous year, when the world was just coming out of pandemic lockdown. Growth in Uber’s ride-hailing business drove the increase, while the food delivery division saw him grow 37% year-over-year.
A record 122 million monthly Uber riders combined to make 1.8 billion rides in the April-June quarter, up 24% year-over-year.
Uber shares rose more than 10% in premarket trading on Tuesday.
Uber said it generated $382 million in free cash flow. This was the first positive free cash flow in the quarter, meaning the company generated more profit from its operations than it lost. It’s a milestone that CEO Dara Khosrowshahi is aiming for, as he seeks to steer Uber in a consistently profitable direction. Khosrowshahi told employees: Reduce costs and focus on profitability.
Khosrowshahi said in a prepared remark on Tuesday:
Following various reports from other tech companies such as Amazon and Microsoft, Uber’s strong performance is not without blemish. The company is still missing $2.6 billion, including his $1.7 billion from investments in other ride-hailing businesses such as Aurora, Grab and Zomato.
However, the company noted other positive signs. Uber has had to contend with high gas prices and has been embroiled in various legal disputes across the country over driver employment, but now he has nearly 5 million drivers worldwide and is on record. number and an increase of 31%. from a year ago.
On Friday, Uber said it would Start Driver Authorization We’ve made it possible to verify destinations and travel earnings before accepting passengers. According to the company, the change is intended to give drivers more flexibility and support. Uber spokeswoman Alix Anfang said the new program, Upfront Pricing, is being tested in about 20 U.S. markets this year, and will roll out in the next few months, excluding California and a few other markets. , will be available in most US markets.
