Ride-sharing app Uber beat analysts’ revenue expectations in its first-quarter earnings report, but unexpectedly posted a net loss. After the report, Uber shares fell 5% in early trading on Wednesday.
Uber brought in $10.13 billion in the first quarter, above LSEG’s forecast of $10.13 billion, which marked a 15% growth from the first quarter of 2023. However, the loss per share was 32 cents versus LSEG’s expectations for earnings of 23 cents, for a total loss of $654 million, a staggering increase from last year’s $157 million loss.
Uber pointed to a $721 million net headwind from unrealized losses due to the reevaluation of equity investments. Dara Khosrowshahi, Uber’s CEO, told CNBC on Wednesday that the loss was not related to the operating business, saying, “we did have to mark down those equity stakes that resulted in a loss. We don’t expect that to keep happening going forward.
Uber’s monthly active users hit 149 million in the first quarter, up from 130 million during the same period last year. The company also saw 2.6 billion trips completed, an increase of 21% from 2023’s first quarter.
