Uber lost $ 1.2 billion in the third quarter | Business

THE Uber released its third quarter financial result: it had a loss once again, of $ 1.2 billion, despite an increase in revenue from drivers, Eats and cargo transportation. It is less than the $ 5.2 billion last quarter, but it is still a lot of money; the company laid off more than 1,000 employees to try to reverse the losses.

dan-gold / unsplash / uber

Uber’s turnover reached $ 3.8 billion in the third quarter, up 30% over the same period last year. The racing division accounts for 2.9 billion of that total; the rest is made up of Eats delivery, cargo transportation via Uber Freight, and “other bets” like Jump bikes and scooters.

The company retained 23% of the value of car racing. She believes she could expand that percentage by replacing humans with autonomous vehicles. Uber also maintained 18% of the Eats delivery rate, a number that “accelerated well” according to CEO Dara Khosrowshahi.

Uber manages to generate cash from the racing division, but Eats, Freight and other bets contributed to the loss. The company also needs to invest in research and development for autonomous cars, in addition to covering operating expenses, which is expensive.

So Uber is making some changes. Between July and October, it carried out three rounds of layoffs and eliminated 1,185 employees, about 2% of its workforce. She also intends to offer financial services created by the new Uber Money team, and plans to unify Eats and Uber in one application: “we want to make Uber the operating system of your day to day,” said the CEO.

The next few days will be crucial for Uber on the stock exchange. Major investors were able to buy the shares before their debut on the NYSE (New York Stock Exchange), and followed a rule set out in the contract that only allows them to be sold some time after the IPO.

The deadline ends next Wednesday (6): this is when many people will be able to sell the shares and bring down their price. Today, a day before, they already operate at an 8% drop.

With information: Uber, TechCrunch.

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