Uber shares jump as revenue takes off

Key takeaways

  • Uber Technologies (UBER) Reported Q1 2023 Earnings Above Analysts " revenue, loss per share and EBITDA estimates.
  • Gross bookings for the company's ride-sharing business jumped 40% as customers resumed the road after the pandemic slows.
  • Uber shares posted gains of 11% on May 2 and are currently up 47% in 2023.

Uber's actions ( UBER) soared 11% as the ride-hailing company's revenue soared and it cut losses significantly.

Uber announced the figure for First-quarter business jumped 29% to $8.82 billion. Its loss of $0.08 per share was down from $3.04 per share a year earlier. Earnings before interest, taxes, depreciation and amortization (EBITDA) were $761 million. All three were better than analysts' forecasts.

The number of trips made jumped 24% to 2.12 billion. Gross reservations revenue climbed 19% to $31.4 billion. Gross bookings for the company's Mobility unit soared 40% to nearly $15 billion as customers resumed service following the COVID-19 pandemic crisis. Gross delivery bookings, which skyrocketed during the pandemic shutdowns, were also $15 billion, a gain of 8%.

CEO Dara Khosrowshahi said : “Uber is off to a strong start in 2023.” He noted that as the market faces tighter capital availability and higher interest rates, “we are well positioned to improve our competitive position.”

Using AI

Khosrowshahi also noted that Uber incorporates artificial intelligence (AI) into its operations and was already using the technology to predict “very accurate” arrival times for pickups and deliveries. The CEO explained that the company is in the “early stages of using big data models to improve user experience and efficiency.”

Uber Technologies are 47% higher this year.


Source: investopedia.com

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