10-QPeriod: Q2 FY2022

Uber Technologies, Inc Quarterly Report for Q2 Ended Jun 30, 2022

Filed August 4, 2022For Securities:UBER

Summary

Uber Technologies, Inc. reported significant revenue growth in the second quarter of 2022, driven by strong performance across its Mobility and Freight segments. The company saw a substantial increase in Gross Bookings, up 33% year-over-year (36% on a constant currency basis), with Mobility Gross Bookings growing 57% and Freight Gross Bookings surging 428% due to the Transplace acquisition. Revenue more than doubled to $8.1 billion, largely propelled by the Freight segment and business model changes in the UK's Mobility operations. Despite this top-line growth, Uber reported a net loss of $2.6 billion attributable to significant unrealized losses on its investments in equity securities, primarily related to Aurora, Grab, and Zomato, which impacted "Other Income (Expense), Net" negatively by $1.7 billion. Adjusted EBITDA turned positive, reaching $364 million, a significant improvement from a $509 million loss in the prior year's quarter, driven by strong performance in Mobility and Delivery. Operationally, Monthly Active Platform Consumers (MAPCs) grew 21% year-over-year to 122 million, and Trips increased by 24%. The company ended the quarter with $4.4 billion in unrestricted cash and cash equivalents. Key challenges include ongoing legal and regulatory matters, particularly around driver classification, and substantial unrealized investment losses that masked the underlying operational improvements. Investors should focus on the continued operational recovery and growth in Gross Bookings and Adjusted EBITDA as key indicators of Uber's fundamental business performance.

Financial Highlights

50 data points
Beta

Revenue

$8.07B

Net Income

-$2.60B

-32.2% Net Margin

EPS (Diluted)

$-1.33

Total Assets

$31.01B

Cash & Equivalents

$4.40B

Free Cash Flow

$382.00M

Financial Statements
Beta
Revenue$8.07B
R&D Expenses$704.00M
Operating Expenses$8.79B
Operating Income-$713.00M
Interest Expense$128.00M
Net Income-$2.60B
EPS (Basic)$-1.32
EPS (Diluted)$-1.33
Shares Outstanding (Basic)1.96B
Shares Outstanding (Diluted)1.97B

Key Highlights

  • 1Revenue for the quarter was $8.1 billion, a 105% increase year-over-year.
  • 2Gross Bookings increased 33% year-over-year to $29.1 billion (36% constant currency).
  • 3Adjusted EBITDA turned positive at $364 million, a significant improvement from a loss of $509 million in Q2 2021.
  • 4Mobility revenue saw a strong recovery, up 120% year-over-year, driven by increased trip volumes and UK business model changes.
  • 5Freight revenue surged 426% year-over-year, primarily due to the acquisition of Transplace.
  • 6Net loss attributable to Uber Technologies, Inc. was $2.6 billion, impacted by $1.7 billion in unrealized losses on equity investments.
  • 7Monthly Active Platform Consumers (MAPCs) grew 21% year-over-year to 122 million.

Frequently Asked Questions

Uber reported a net loss of $2,601 million attributable to Uber Technologies, Inc. for the three months ended June 30, 2022. This loss was significantly influenced by a pre-tax unrealized loss on debt and equity securities, net, of $1,677 million, primarily stemming from fair value adjustments to investments in Aurora, Grab, and Zomato. Despite operational improvements and strong revenue growth, these investment fluctuations heavily impacted the bottom line.

Uber's segments showed varied performance. Mobility revenue increased 120% year-over-year to $3,553 million, with Mobility Adjusted EBITDA profit reaching $771 million. Delivery revenue grew 37% to $2,688 million, and Delivery Adjusted EBITDA improved significantly to a profit of $99 million from a loss in the prior year. The Freight segment experienced exceptional growth, with revenue up 426% to $1,832 million, and Freight Adjusted EBITDA turning positive at $5 million from a loss. Overall Adjusted EBITDA was positive at $364 million.

The acquisition of Transplace in the fourth quarter of 2021 significantly boosted Uber's Freight segment. This contributed $1.5 billion in revenue growth for the three months ended June 30, 2022, and drove substantial year-over-year increases in Freight revenue and Adjusted EBITDA. While this acquisition bolsters the top-line and expands Uber's logistics capabilities, it also increased associated costs, such as Freight carrier payments and incentives.

Key operational metrics showed positive trends. Monthly Active Platform Consumers (MAPCs) grew 21% year-over-year to 122 million, indicating an expanding user base. The total number of Trips completed increased by 24% year-over-year to 1,872 million. These metrics reflect a recovery in platform usage and engagement, especially in the Mobility segment as pandemic-related restrictions eased.