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Uber raises 6% to correct outlook higher

Uber CEO Dara Khosrowshahi will speak at a product launch event in San Francisco, CA on September 26, 2019.

Philippe Pacheco | AFP via Getty Images

Uber With a third-quarter financial outlook revised on Tuesday, booked and adjusted earnings are expected to be better than initially reported.

The San Francisco-based company expects SEC Filing to adjust total bookings for the quarter from $ 22 billion to $ 24 billion in its second-quarter earnings announcement, from $ 22.8 billion to $ 23.2 billion. I said that I am doing it.

Total bookings for the second quarter were $ 21.5 billion, mobility was $ 8.6 billion, and food delivery was $ 12.9 billion.

“They say the crisis creates opportunities, which certainly applies to Uber in the last 18 months,” Uber CEO Dara Khosrowshahi said in a filing.

The company’s stock rose about 6% in pre-market trading on the New York Stock Exchange.

He also said he expects adjusted EBITDA (referring to interest, taxes, depreciation, and income before amortization) to fall between a loss of $ 25 million or a profit of $ 25 million. Uber previously said it expects adjusted EBITDA for the third quarter to be better than a $ 100 million loss.

Going forward, Uber reiterated that it expects profits in the fourth quarter on an adjusted EBITDA basis. However, it was noted that “significant forecast uncertainty” was still a factor.

Uber reported 1.51 billion trips on the platform in the second quarter. This is an increase of 4% from the first quarter and 105% from the same period last year. Uber said drivers and courier companies made a total of $ 7.9 billion during the quarter.

Uber and other competitors are suffering from a supply-demand imbalance due to the coronavirus pandemic, leading to higher prices and higher latency. Kosloshahi said in a phone call with investors that prices and waiting times did not meet the company’s goals.

“In the second quarter, we made strong progress by investing in drivers to recover, with US monthly active drivers and courier companies about 42 from February to July, Kosloshahi said in a statement. The number of people has increased by 10,000. “

— Additional report by Jessica Bursztynsky on CNBC.

Uber raises 6% to correct outlook higher

Source link Uber raises 6% to correct outlook higher

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