Uber loses 959 million in the first quarter of 2021

Uber has presented the accounts for the first quarter of 2021 recording a loss of 359 million global plus 600 million to resolve the resolutions of fines and lobbying of the United Kingdom related to the classification of drivers.

Losses have amounted to 6 cents a share and revenues have reached 2.9 billion, far from expected and in part due to the 1.6 billion dollars in profit from the sale of its autonomous unit, ATG. Uber’s operating loss remained high for the quarter in more than 1,500 million.

Here’s how Uber’s largest business segments performed in Q1 2021:

Mobility (gross reserves): $ 6.77 billion, 38% less than a year ago
Delivery (gross reserves): $ 12.46 billion, 166% more than a year ago
Revenue from delivery also exceeded its core transportation business by 1.7 billion, compared to 853 million.

If Uber fails to raise demand for drivers – unlikely – the company could face customers who have to shell out more cash or may even have to offer more incentives.

Uber also received a blow in the UK after the Supreme Court upheld the ruling that drivers are employees and not self-employed.

The company said it had a loss of $ 600 million between fines and lobbying “due to the backlog made for the resolution of historical claims in the UK related to the classification of drivers.”

Classifying drivers as self-employed allows companies to avoid employee costs. If a similar measure ends up being approved in Europe and the United States, surely Uber will never achieve profitability.