Uber Reported Mixed Financial Results for Q4

Uber Technologies Inc (NYSE:UBER) was founded by Garrett Camp and Travis Kalanick back in 2009, with an aim to enhance the traveling experience of people by offering them affordable and quick ride-sharing service. Soon after its inception, Uber became increasingly popular not just in the U.S., but in several countries around the world. It has completely changed the way people travel. The company over the years has expanded into new areas such as food delivery, and helicopter service.

The San Francisco-based company on Wednesday announced mixed financial results for the fourth quarter. It reported a loss of 54 cents per share for the quarter, narrower than a loss of 56 cents per share projected by analysts. Revenue came in at $3.17 billion, missing the consensus forecast of $3.58 billion.

Uber shares slightly moved up on Thursday following the fourth-quarter results.

Mobility revenue in the quarter fell 52 percent on a year-over-year basis to $1.47 billion. However, it improved 8 percent versus the prior quarter despite new lockdown restrictions across the U.S. and Europe. Comparatively, delivery revenue climbed by more than three folds to nearly $1.36 billion.

Speaking on the results, CEO Dara Khosrowshahi said in a statement, “While 2020 certainly tested our resilience, it also dramatically accelerated our capabilities in local commerce, with our Delivery business more than doubling over the year to a nearly $44 billion annual bookings run-rate in December.”

Membership count for Uber Pass, Eats Pass and Postmates Unlimited crossed the 5 million mark in the quarter.

Uber shares have performed well over the past year despite a difficult operating environment caused by the pandemic. UBER stock’s value has increased about 54 percent during the past 12 months.