Wednesday 21 August 2019

Uber hit by €2bn loss despite leap in bookings

The San Francisco-based group was said to have sunk into the red by more than $800m (€770m) in the third quarter after it was hit by a price war with rival Lyft in America and spending on ambitious growth plans
The San Francisco-based group was said to have sunk into the red by more than $800m (€770m) in the third quarter after it was hit by a price war with rival Lyft in America and spending on ambitious growth plans

Holly Williams

Taxi-hailing app Uber has reportedly racked up losses of more than $2.2bn (€2.1bn) in the first nine months of 2016 despite seeing a jump in bookings and revenues.

The San Francisco-based group was said to have sunk into the red by more than $800m (€770m) in the third quarter after it was hit by a price war with rival Lyft in America and spending on ambitious growth plans.

The figures, first reported by technology news site The Information, suggested Uber was on track for full-year losses of $3bn (€2.9bn) this year.

But the leaked figures were understood to show net revenue climbing to around $3.8bn in the first nine months and set to reach more than $5.5bn over the full year.

Bookings - the total fares paid by passengers - reportedly rose to $5.4bn in the third quarter, up from $5bn in the previous three months and $3.8bn in the first quarter. Net revenues - the amount of money Uber made after it paid its drivers - was understood to have risen 54pc quarter-on-quarter to $1.7bn in the three months to the end of September. The group has ramped up spending on new technology and other initiatives, including its controversial self-driving car service.

Irish Independent

Today's news headlines, directly to your inbox every morning.

Editors Choice

Also in World News