Friday, April 19

Uber Loss Widens amid Costs Rise

5th Nov 2019, California– Cab aggregator firm Uber posted a third-quarter result which shows the loss of the company widens in each quarter of 2019.

The reason for these losses is deep discounts and invests heavily in loss-making new business ventures, said the ride-hailing company.

After the announcement of third-quarter results, Uber shares drop 5.5% in after-hours trading.

However, Uber said it would be profitable by the end of 2021 as quarterly revenues, driven by its global ride-hailing business, beat expectations.

Uber Chief Executive Dara Khosrowshahi told Pixr8 News, “the company as a whole would achieve adjusted EBITDA profitability for the full year of 2021, but declined to provide details on the performance of individual business units by that time.”

As per the stats released by Uber, the cost of operations jumped about 33% to $4.92 billion (£3.81 billion) in the latest quarter. Gross bookings, which include ride-hailing, mobility, food delivery, and freight payments, rose 29% from a year earlier to $16.47 billion.