Supported by cost reduction
Dubai – Al Arabiya.net
Posted on: August 01, 2023: 06:31 PM GST Last updated: August 01, 2023: 08:41 PM GST
Uber shares fell by 4%, in Tuesday’s session, after the company announced second-quarter revenue, which was contrary to analysts’ expectations, but in return provided positive future directions.
The company posted a quarterly profit of 18 cents per share, against expectations of a loss of 1 cent on the dollar, according to Refinitiv.
Revenues for this quarter increased by 14% compared to the same quarter last year, to record levels of $9.23 billion, compared to expectations of $9.33 billion.
The cost-cutting policy, such as layoffs and lower transaction costs, helped the company achieve its target of recording its first-ever operating profit.
Uber reported net income of $394 million, or 18 cents per share, compared to a net loss of $2.6 billion, or $1.33 per share, in the same quarter last year. This includes net interest of $386 million from a revaluation of Uber’s equity investments.
“Strong demand, new growth initiatives and continued cost discipline led to an excellent quarter, with trips up 22% and an operating profit for the first time in the company’s history,” said Uber’s CEO.
Uber ranks fourth as the largest holdings of the Saudi Public Investment Fund with regard to American companies, with a rate of 8.4%, equivalent to $ 2.3 billion.
The company said CFO Nelson Chai will leave Uber on January 5 next year.
2023-08-01 16:41:44
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