Active Stocks: Uber Technologies, Inc. [NYSE: UBER] Q2 results are out, and they are below analyst expectations. The company has announced Q2 bookings of around $15.75 billion against analyst expectations of about $15.83 billion. Revenues stood at roughly $2.87 billion, against expected revenues of about $3.05 billion. Its EBITDA loss also stood at about $656 million against analyst expectations of $979 million. The company’s net loss for Q2 stands around $5.24 billion, representing an EPS loss of roughly $4.72. Uber has attributed its massive loss to stock compensation after the IPO. News of the negative Q2 results led to the stock dropping by 10% after the results were announced.
According to the company CEO, Dara Khosrowshahi, the company’s strategy is working, and continues to give strong results. According to him, the company’s trips are up by 35%, while in constant currency, gross bookings are up by 37%, compared to the last quarter, when compared to the same quarter last year. More specifically, the company’s bookings for Uber hailing app, and for Uber Eats were up by 31%. That’s in spite of falling short of analyst expectations of around $15.83 billion. Uber now has roughly 100 million active users a month. The company continues to face challenges especially with regards to regulations. Most of these challenges are with regards to driver pay. For instance, in NYC, its said that uber drivers cannot earn less than $17.22.
In yesterday’s trading, the company closed the day with gains of 8.24%. This was in anticipation of the company’s results. However, after the results, the company dropped by as much as 10%. At the time of writing, the company is down by about 9% to trade at $39.10. This means the stock has now broken company’s intra-day trading range from yesterday of $41.25 and $43. Average volumes in yesterday’s trading stood at about 20,749,353, while its market capitalization was $79.96 billion.
Uber is an American ride-sharing company that has its headquarters in 1455 Market Street 4th Floor San Francisco California. The company has operations across the globe, and is well-known for its taxi-hailing App. Through this App, drivers provide ridesharing services under the Uber brand. The company has a diversified range of products that includes Uber Eats, Uber Air among others. The company is also investing heavily in advanced technologies such as self-driving cars, and working with different tech partners to achieve its goals. Currently, it employs 22,263 people, and is led by Dara Khosrowshahi, who is the CEO, an also doubles up as a director.