Date
22 March 2017
Uber continues to bleed money, with the losses attributed largely to driver subsidies. Photo: Bloomberg
Uber continues to bleed money, with the losses attributed largely to driver subsidies. Photo: Bloomberg

Uber first-half loss said to be at least US$1.27 bln

Uber Technologies lost at least US$1.27 billion before interest, taxes, depreciation and amortization in the first half of this year, Bloomberg News reported, citing people familiar with the matter.

Subsidies offered to drivers is said to be the main reason for the loss suffered by the ride-hailing giant.

The company’s finance head, Gautam Gupta, told investors in a quarterly conference call that losses mounted in the second quarter, the report said.

According to Bloomberg sources, Uber lost about US$520 million in the first quarter of the 2016 and another US$750 million in the next three months.

The loss came even as net revenue rose to about US$1.1 billion in the three months to June from US$960 million in the preceding quarter.

Bookings increased to more than US$5 billion from over US$3.8 billion in the first quarter.

In 2015, Uber is lost at least US$2 billion before interest, taxes, depreciation and amortization, according to the report.

– Contact us at [email protected]

RA/RC

EJI Weekly Newsletter

Please click here to unsubscribe