Uber reports record loss, stocks plunge
In the second quarter, the ride-hailing giant posted a record loss of $5.2 billion, with of the loss, approximately $3.9 billion, was due to stock-based compensation expenses in connection with the company’s initial public offering.
The company posted a loss of $5.2 billion in the second quarter, shares slid over 10% on the report
Stocks impacted: Uber Technologies Inc (UBER)
Excluding that one-time compensation expense, Uber lost $1.3 billion in the quarter, almost double the figure for the same quarter a year earlier. The loss per share was $4.72. Revenue rose 14% in the quarter to $3.17 billion and fell short of the average analyst estimate of $3.36 billion. Food delivery Uber Eats grew 72% to $595 million. Uber’s share price fell by 12pc in after-hours trading following the news, close to a record low since its May flotation. Earlier in the week, stocks rose amid strong results from its major US rival Lyft. Lyft’s revenue hit $867m, much higher than expected, while a loss was $644m, down from more than $1bn in the previous quarter.
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