Uber beats estimates as revenue and bookings see double-digit growth

Uber CEO Dara Khosrowshahi appears on through the APEC CEO Summit at Moscone West on November 15, 2023 in San Francisco, California.

Justin Sullivan | Getty Images

Uber reported fourth-quarter results Wednesday that beat analysts’ estimates on high and backside traces.

Shares fell greater than 1% in premarket buying and selling.

Here’s how the corporate did:

  • Earnings per share: 66 cents vs. 17 cents anticipated by LSEG, previously identified as Refinitiv.
  • Revenue: $9.94 billion vs. $9.76 billion anticipated by LSEG.

Uber reported internet earnings of $1.4 billion, or 66 cents per share, in contrast with a internet earnings of $595 million, or 29 cents per share, in the identical quarter final 12 months. Uber’s internet earnings features a $1 billion internet tailwind due to “unrealized good points” from revaluations of its fairness investments, in keeping with a launch.

The firm’s revenue for the quarter was up 15% from the identical quarter final 12 months. Uber’s gross bookings got here in at $37.6 billion, up 22% 12 months over 12 months.

CEO Dara Khosrowshahi mentioned 2023 marked a 12 months of “sustainable, worthwhile growth for Uber,” in keeping with a ready assertion. In an interview with CNBC’s “Squawk Box” on Wednesday, he mentioned the continued shift in client spending from retail to companies has been a boon for the corporate.

“We proceed to see client energy, and particularly client energy as it pertains to companies,” Khosrowshahi mentioned. “People are going out to dinner, they are going out to concert events, sports activities occasions, and so on. And when folks exit and they spend cash, or when they need something delivered to their house, Uber advantages.”

Uber reported adjusted EBITDA of $1.28 billion, up 93% 12 months over 12 months, which is barely above the $1.23 billion anticipated by analysts polled by StreetAccount. Uber’s adjusted EBITDA additionally got here in above the corporate’s steerage of $1.18 billion to $1.24 billion.

For the primary quarter of 2024, Uber mentioned it expects to report gross bookings between $37 billion and $38.5 billion, in contrast with StreetAccount estimates of $37.43 billion. Uber anticipates an adjusted EBITDA of $1.26 billion to $1.34 billion, in comparison with the $1.26 billion anticipated by analysts.

The variety of Uber’s month-to-month energetic platform shoppers reached 150 million in its fourth quarter, up 15% 12 months over 12 months from 131 million. There have been 2.6 billion journeys accomplished on the platform through the interval, up 24% 12 months over 12 months.

Here’s how Uber’s largest enterprise segments carried out:

Mobility (gross bookings): $19.3 billion, up 29% 12 months over 12 months

Delivery (gross bookings): $17.0 billion, up 19% 12 months over 12 months

Uber’s mobility phase reported $5.5 billion in revenue, up 34% from the 12 months earlier, whereas its supply phase reported $3.1 billion, up 6% from the 12 months prior. 

The firm’s freight enterprise booked $1.28 billion in gross sales for the quarter, a 17% decline 12 months over 12 months. Freight continues to be a sticking level for Uber since shoppers are spending extra on companies than on transport items following the pandemic. Last quarter, Uber’s freight enterprise additionally reported $1.28 billion in revenue, which marked a 27% decline 12 months over 12 months.

“We are seeing some glimmers of sunshine when it comes to spot freight charges, but it surely’s far too quickly to imagine the glimmer will flip right into a development,” Khosrowshahi mentioned in his ready remarks.

Uber will host its quarterly name with buyers at 8 a.m. ET.

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