In the second quarter, Uber lost $5.24 billion which is its largest quarterly loss ever – later than making huge stock-based payouts in the months subsequent to its primary public offering.
Uber said Wednesday it paid $3.9 billion in stock-based reimbursement as well as its expenses during the quarter. It also paid cash to drivers to show appreciation in connection with the IPO and $298 million in stock.
The earnings of Uber release comes a day after an opponent Lyft improved its 2019 outlook, in spite of a projected loss of almost $1 billion.
Dara Khosrowshahi, Uber CEO in a conference call with reporters said, ‘We can push the business to break even if we wanted to, honestly, but I think what you will see from us is minor losses going forward at the same time as we forcefully invest in new growth levers.’ ‘But in my mind there is no doubt that ultimately the business will be a break even and money-making business
After-hours trading, shares of Uber fell 11%.
Gross bookings, which is the total dollar value of Uber Eats meals and rides and the amount paid by freight shippers, increased 31% to 37% in the steady currency as compared with the same time previous year.
Edwin Santos was born and raised in Puerto Rico. He has contributed to Discovery Magazine, Details and the Huffington Post. Edwin has also served as a commentator for NPR and MSNBC. As a journalist for Nosy Media, Edwin mostly covers national news. Aside from earning a living as a freelance journalist, Edwin also works as photographer.