Uber has announced robust third-quarter results, revealing revenue of $13.47 billion, a significant increase from the $13.26 billion anticipated by analysts. This marks a 21% rise compared to the same period last year. The company’s earnings per share (EPS) reached $1.20, exceeding the expected $0.70, while adjusted EBITDA rose to $2.3 billion, up 33% from the previous year. However, net income surged to $6.6 billion, although it’s important to note that $4.9 billion of this was attributable to a tax valuation benefit rather than operational performance.
The company also reported that its monthly active platform consumers (MAPCs) increased to 189 million, surpassing the expected 184.1 million and reflecting a year-over-year growth of 17%. Gross bookings saw a considerable increase as well, climbing to $48.7 billion, slightly short of the anticipated $48.96 billion but still registering a 21% year-on-year uptick.
Looking forward, Uber provided guidance for the fourth quarter, forecasting gross bookings between $52.25 billion and $53.75 billion, compared to the $52.33 billion estimated by analysts. The adjusted EBITDA is projected in the range of $2.41 billion to $2.51 billion, also above analysts’ expectations of $2.49 billion. Despite these strong numbers, Uber’s stock fell by 5% in pre-market trading, a response that may indicate investor expectations were set higher following a notable year-to-date increase of 65% prior to the earnings release.
Uber CEO Dara Khosrowshahi highlighted the company’s robust growth, stating that the third quarter marked one of the largest increases in trip volume in its history. He emphasized the company’s commitment to investing in long-term customer relationships, enhancing their local commerce strategy, and leveraging advancements in artificial intelligence and autonomy.
Recently, Uber has intensified its focus on the autonomous vehicle sector. A notable development was the announcement of a partnership with Nvidia to create what they claim will be the world’s largest network of near-autonomous vehicles (Level 4). This partnership aims to build 100,000 vehicles starting in 2027, utilizing Nvidia’s Drive AGX Hyperion 10 platform and Drive AV software, designed to enable Level 4 autonomy.
Additionally, earlier partnerships have emerged in the autonomous space, including a collaboration with Lucid Motors for a robotaxi service utilizing Lucid EVs on Uber’s platform, powered by Nuro’s Level 4 driving software.
In another strategic move, starting next year, users will have the ability to book helicopter and seaplane trips with Joby Aviation via the Uber app. Joby, having acquired the passenger operations of Blade, aims to integrate short helicopter rides and seaplane services into Uber’s offerings, particularly in metropolitan areas such as New York City and parts of Southern Europe.
As Uber continues to push forward with its innovative strategies in both mobility services and autonomous technology, investors and consumers alike will be watching closely as the company navigates an evolving landscape.
