Uber Shares Slide as Losses Mount and Q2 Bookings Disappoint

Uber Shares Slide as Losses Mount and Q2 Bookings Disappoint

Uber Technologies Inc. has reported mixed financial results for the first quarter. While the company's revenue increased by 15% to $10.13 billion, narrowly surpassing the $10.11 billion forecast, it also experienced an unexpected net loss of $654 million. This loss included a significant $721 million in unrealized losses related to the revaluation of the company's equity investments. Consequently, Uber's stock experienced a sharp decline, falling more than 6% in pre-market trading.

For the upcoming second quarter, the company has projected gross bookings that fall short of market expectations. This forecast suggests a potential slowdown in demand for its ride-sharing and food delivery services. Despite this, Uber's core profit for the first quarter outperformed Wall Street's predictions, with an 82% increase to $1.38 billion from the previous year.

Looking ahead, Uber anticipates second-quarter gross bookings to be in the range of $38.75 billion to $40.25 billion, compared to analysts' estimates of $40 billion. The number of monthly active platform consumers reached 149 million, a 15% increase from the same period last year. Uber's CEO, Dara Khosrowshahi, remains optimistic, attributing the company's broader growth to its expanded global presence and a diverse range of services.


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