What's Driving Uber's Q2 Into the Ground
Uber Technologies, Inc. (NYSE: UBER) released second-quarter financial results after markets closed Wednesday. The company said that it had a net loss of $4.72 per share and $3.17 billion in revenue, compared with consensus estimates that called for a net loss of $3.19 per share and $3.36 billion in revenue. The same period from last year had a net loss of $2.01 per share and $2.77 billion in revenue.
During the quarter, gross bookings increased 31% year over year to $15.76 billion, up 37% in constant currency. Monthly Active Platform Consumers (MAPCs) increased by 30% to 99 million, up from 76 million.
Also, the total number of trips increased 30% year over year to 1.68 billion; in the same period last year, Uber reported 1.24 billion trips.
Uber Eats MAPCs grew over 140% year-over-year. Over 40% of new Eats consumers had never used Uber’s platform before. Uber Eats restaurant selection continued to improve, reaching 320,000 restaurant partners at the end of the quarter.
The company did not offer any guidance in the report. However, consensus estimates are calling for a net loss of $0.91 per share and $3.64 billion in revenue for the coming quarter.
Dara Khosrowshahi, CEO, commented:
Our platform strategy continues to deliver strong results, with Trips up 35% and Gross Bookings up 37% in constant currency, compared to the second quarter of last year. In July, the Uber platform reached over 100 million Monthly Active Platform Consumers for the first time, as we become a more and more integral part of everyday life in cities around the world.
Shares of Uber closed Thursday at $42.97, with a post-IPO range of $36.08 to $47.08. The consensus analyst price target is $52.10. Following the announcement, the stock was down 11% at $38.20 in the after-hours session.