Uber, lifting financial veil, says sales growth outpaces losses

Brittany BishopApr 16, 2017

Uber opened up its books in an interview with Bloomberg this week, and claimed that its revenue growth is outpacing its losses, which number in the billions for the year.

While gross bookings more than doubled to $20billion, net revenue stood at $6.5 billion, the report states. In numbers that excluded its China business - Uber sold its operation to rival Didi Chuxing last summer, ending an expensive rivalry that cost the company at least $1 billion in losses a year ago - Uber insisted its sales growth outpaced its losses.

Uber did not report its first-quarter numbers saying they were in line with expectations. The company said it's pleased to see revenue growth far exceeding losses last year and that its business is still performing well this year even as it faces unyielding controversy.

"We're fortunate to have a healthy and growing business, giving us the room to make the changes we know are needed on management and accountability, our culture and organization, and our relationship with drives", Uber's regional general manager of the USA and Canada, Rachel Holt, said in a statement.

The ride-hailing company admitted to using a secret program called Greyball to deceive law enforcement officials.

The company is in the process of hiring a chief operating officer to help Kalanick manage it, fix its tarnished image and improve its culture.

Uber sold its China business to domestic rival Didi Chuxing in August past year.

For the final quarter of 2016, gross bookings increased 28 per cent from the previous quarter, to $US6.9 billion. The company generated $2.9 billion in revenue, a 74 percent increase from the third quarter.

In the last quarter of 2016, losses rose 6.1% to $991 million. The financials show that Uber continues to grow with impressive speed and despite its staggeringly high losses might be finding a handle to its constant cash burn. That tally would be even larger if other costs which would be counted under generally accepted accounting principles, or GAAP, had been factored.

Business Insider asked Uber for clarification on how entire UberPool fares can be counted towards revenue when it has to pay drivers out of those fares.

Related Articles:

« Previous article
Next article »

Popular Pages

Title race now more interesting - Conte
The Saints are winless in their last two Premier League matches, including a scoreless draw against Bournemouth on Saturday. Conte added: "If you compare this defeat with the other defeats we are another team". "I feel the team was unbalanced".

What you need to know about Susan Rice and the unmasking controversy
Plus, the process is subject to stringent rules and must be reviewed by lawyers. "I have asked the Intelligence Committee, Sen". It is important for Rice to be called in as a witness before the House and Senate intelligence committee hearings, King said.

Apple may team up with Foxconn to bid for Toshiba's chip business
Auditors suggest - "It is an unusual move for a Japanese company-and with a warning that the entire company could collapse". The report said Apple is also considering a joint bid with Foxconn Technology, which manufactures the iPhone.

Applause, Dismay, as Branstad Signs Gun Rights Bill
Branstad acknowledged the national publicity the bill has received. Branstad has announced he will sign the bill Thursday. Part of the bill went into effect Thursday.

Wikileaks Is A 'Hostile Intelligence Service — Trump's CIA Director
He died in Havana in 2008. "They cling to this fiction, even though their disclosures often inflict irreparable harm". Pompeo spoke at the Center for Strategic and International Studies. "They ask really hard questions", he said.

US sends dozens of troops to Somalia, 1st time in decades
A day later, a suicide bombing at a military academy in Mogadishu killed at least five soldiers. This month marks 10 years since the AU Mission in Somalia (AMISOM) started.

EPA Considers Repealing Another Obama-Era Coal Regulation
Pruitt said his own biggest objection with the accord is that "America was put last". The public has 30 days to comment.

Despite The Delay, the iPhone 8 Brings Good News As Well
However, the release date of the anticipated iPhone 8 might be delayed due to 3D sensing technology issues. Apple-related news chains are filled with rumours on the premium iPhone 8 model costing in excess of $1000.

Alli deserves Player of the Year nomination - Pochettino
The English youngster even finds time to formulate intricate goal celebrations involving a variety of handshakes with teammates. But many Reds thinks Sadio Mane's exclusion is unfair and have taken to Twitter to air their disappointment.

Atletico and Leicester both relatively satisfied with result
Atletico coach Diego Simeone lamented his side's inability to kill the tie, but lauded Leicester's defensive effort. Leicester thought they had a tough night tonight, it will be a lot tougher next week.