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.