Uber Reports $2.4 Billion Net Loss in Q3 as Rides Return to Normal

San Francisco, November 5: Ride-hailing company Uber witnessed wider losses to the tune of 2.4 billion dollars in the third quarter (Q3), owing to a drop in the value of its investment holdings and particularly in China-based online mobility firm Didi. For the third quarter of 2021, Uber reported a net loss of 2.4 billion dollars or 1.28 dollar per share, compared to a loss of 1.1 billion dollar or 0.62 dollar per share in the year-ago period. The net loss was partially offset by unrealised gains related to the revaluation of Uber’s Zomato, Aurora and Joby stakes.

Revenue grew 72 per cent (on-year) to 4.8 billion dollars, or 69 per cent on a constant currency basis, the company said on Thursday. “Our early and decisive investments in driver growth are still paying dividends, with drivers steadily returning to the platform, leading to further improvement in the consumer experience,” said Uber CEO Dara Khosrowshahi. “This is especially important as mobility reignites. Mobility gross bookings are up 18 per cent over just the last two months and this Halloween weekend surpassed 2019 levels,” he said. Paytm’s Parent Company One97 Communications Limited Expected to list in Indian Stock Market by November 2021 With $3 Billion IPO.

Gross bookings on Uber reached an all-time high of 23.1 billion dollar, up 57 per cent year-over-year. Uber saw 1.64 billion trips in the third quarter and monthly active platform consumers reached 109 million. “While we recognise it’s just a step, reaching total-company Adjusted EBITDA profitability is an important milestone for Uber,” said Nelson Chai, CFO. “Not only did our mobility business recover to pre-Covid margins this quarter, our core restaurant delivery business was profitable on an Adjusted EBITDA basis for the first time as well, bringing the full delivery segment close to breakeven,” he informed.

(The above story first appeared on Morning Tidings on Nov 05, 2021 12:13 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website morningtidings.com).