Uber on Wednesday summed up the results of the 4th quarter and the whole of 2020, saying a recovery in the number of tours taxi services and 130% growth of delivery services.
Shares of Uber (UBER), which showed strong growth in 102,4% over the past six months, fell nearly 4% on Wednesday after the close of trading on the background of the publication of the report for the fourth quarter and full fiscal year 2020.
Uber has published a smaller-than-expected market size of the losses, but came up short of estimates for income.
Uber also did not give a forecast for the next quarter and the whole of 2021 because of the uncertainty of the macro conditions in connection with the pandemic of COVID-19.
Uber CEO Dara Khosrowshahi in the comments to the report expressed concern that the company could face a shortage of drivers after the demand for taxi service will recover to previous levels.
According to the report, in the regions where the incidence has decreased significantly, there is a rapid recovery of demand, although it is expected that part of business travel will be lost, as many office workers have gone on the format to work remotely from home.
At the same time, the company Uber has made great strides, and new acquisitions, the growth of partnerships and programmes subscription promise to increase sales and achieve a profit in 2021.
4Q and full year 2020 Uber
Uber reported a loss per share 4th quarter $0,54, which is 16% less than last year’s value and slightly better than the analyst estimate of -$0.55 loss per share.
Total revenue fell 21% to $3.2 billion, which is below average analytical estimate of $3.58 billion Statistics quarterly revenue and profit Uber for the last 2 years is available here.
For the full year 2020 revenue Uber declined 14% to $11,14 billion, but the company managed to reduce losses by 20%.
Delivery service Uber compensate for the loss of a taxi service
Although the coronavirus pandemic has caused a great impact on international business taxi Uber, at the same time, it has accelerated the growth of other businesses of the company – food delivery Uber Eats and delivery with Uber Freight.
Guide Uber noted that the business of the company for the delivery for the year more than doubled to almost $44 billion.
For the 4th quarter of the total number of bookings segment “shipping” have grown by 130% compared to the same quarter of 2019, and Uber Freight segment increased by 43%. The number of trips by the taxi dropped exactly in half a year earlier, but has improved compared to last quarter.
Uber, the table below, which compares the quarterly income segments of the taxi service (Mobility), delivery (Delivery) and delivery Freight (in millions of dollars).
The company also announced that in the fourth quarter, the number of restaurants in the Uber Eats exceeded 600,000, with the addition of the institutions of the Union Square Hospitality Group, Chipotle in the UK, Wings Etc. and many others.
Uber is stepping up the volume of supply of non-food goods in the fourth quarter, the company has established partnerships with retailers such as H&M in Canada and grocery stores and Department stores Seiyu in Japan.
The number of participants in programs of membership: Pass Uber, Eats, and Postmates Unlimited Pass which offer discounts and bonuses, but require a monthly subscription fee has increased to 5 million, and now, membership program operate in 16 countries.
Restructuring Uber
“This year we have made some important steps, buying companies such as Cornershop and Postmates, and got rid of others, such as ATG and Jump, and structurally reduced our cost base,” said Nelson Tea, CFO of Uber.
“These decisions have led to the fact that the company has become much more focused and ultimately more powerful. In the fourth quarter, we continued to improve the performance of profit (EBITDA), an increase of $171 million, compared with the previous quarter, and continue to move confidently towards achieving our goals of profitability in 2021”.
To reduce your expenses, Uber has sold its loss-making units: a company engaged in the self-driving car technologies Advanced Technologies Group (ATG), and the division of Elevate air taxi. Both deals were closed in January 2021. Uber has also completed the sale of its shares in Didi worth approximately $207 million.
Earlier this month, Uber announced the acquisition of application for the delivery of alcohol, Drizly, which the company plans to integrate Uber Eats, its food delivery service. Read more in the article Marketinfo.pro “Uber becomes the leader of the Drizly alcohol delivery for $1.1 billion.“
