Uber Tops Forecasts - Sees Q4 2020 Profitability

February 7, 2020

Uber Technologies reported financial results for the fourth quarter and full year ended December 31, 2019. The firm had a loss per share, excluding certain items of 64 cents with 68 cents as expected. On top line revenue, Uber noted $4.07 billion with $4.06 billion expected. CEO Dara Khosrowshahi moved EBITDA profitability target to Q4 2020, which previously was set at 2021.

“2019 was a transformational year for Uber and I’m gratified by our progress, steadily delivering against the commitments we’ve made to our shareholders on our path to profitability,” said Dara Khosrowshahi, CEO. “We recognize that the era of growth at all costs is over. In a world where investors increasingly demand not just growth, but profitable growth, we are well-positioned to win through continuous innovation, excellent execution, and the unrivaled scale of our global platform.”

“Our revenue growth continued to accelerate in Q4, with adjusted net revenue up 43% year-over-year in constant currency,” said Nelson Chai, CFO. “We consistently outperformed our adjusted EBITDA targets in 2019, including in the fourth quarter. Our focus on disciplined capital allocation is part and parcel to achieving our financial goals, and the recent sale of our India Eats business further demonstrates that commitment.”

Operating Highlights for the Fourth Quarter 2019


  • Global brand strength drove 2019 download leadership in 2 key segments - Most downloaded app globally in both Rideshare (Uber app) and Food Delivery (Uber Eats) categories on both the Apple App Store and Google Play Store (source: Sensor Tower); Identified as one of the top 100 U.S. brands, ranked #1 on the most innovative brand and great consumer experience rankings, by WPP and Kantar (source: Kantar).
  • Robust MAPC growth - We added 20 million MAPCs year-over-year to reach 111 million, while cross platform users grew 68%.


  • Rides premium category continued rapid expansion - We launched Uber Comfort in Latin America and EMEA, following the success of our U.S. launch. Comfort helped to drive 54% year-over-year growth in our premium Rides offerings globally.
  • UberX trip growth remained robust - Rides trips grew 23% in Q4, with trips ex-shared rides growing 26%, consistent with Q3.
  • Key new markets growing rapidly - High-priority new markets (Argentina, Germany, Japan, South Korea and Spain) delivered Gross Bookings growth in Q4 that was more than four times overall Rides Gross Bookings growth, on a constant currency basis.
  • Airport business outgrows overall Rides - In Q4 2019 our Airport business outgrew overall Rides. We now serve over 650 airports globally and continue to see our airport riders prefer our premium products. In 2020, we will continue to roll out our PIN product (riders receive a PIN and take it to the driver next in line rather than seeking out a specific driver), which has been well-received by riders and by airports.
  • Uber for Business (U4B) expanding - Gross Bookings from our business travel offering continued to accelerate in Q4 to $1.2 billion, fueled by 75% growth in managed business accounts and through vertical initiatives such as Uber Health, which itself grew over 300% YoY and now works with some of the largest non-emergency medical transportation (NEMT) brokers in the U.S.
  • U.S. Rides insurance carrier added - We added Liberty Mutual as a U.S. Rides insurance provider. We also expanded our partnerships with Progressive and Farmers, two existing U.S. Rides insurance partners. During Q4 2019, Rides insurance costs were down year-over-year and quarter-over quarter as a percentage of Gross Bookings and ANR.
  • Appealing London TfL decision - Uber will continue to operate in London as we appeal Transport for London’s decision to not renew our license. We also plan to roll out additional systems to strengthen identity confirmation of drivers, including a facial matching process, which we believe are the most robust in the industry.
  • Released U.S. Safety Report - Published the first comprehensive publication of its kind, sharing details on Uber’s safety progress and data related to reports of the most serious safety incidents occurring on our platform.

Other Segments

  • Eats achieves comparable Gross Bookings in a top 10 Rides country - As proof of the strength of our platform, in only three years since launch, Eats has achieved comparable Gross Bookings to Rides in Australia despite Rides having launched eight years ago.
  • Eats subscriptions continue expansion - Eats subscriptions rolled out to all U.S. cities (ex-California) and to Taiwan and South Africa, our first international markets to launch this product.
  • Freight continued to expand its offering to carriers - In-app bundles, which allow carriers to book multiple loads at once, have reduced empty miles versus non-Uber Freight matched bundles. We also launched a web portal geared towards trucking fleets in late Q3, with web-based carriers scaling to an average of 10% of overall supply in Q4.
  • JUMP launched new markets and won permits in key cities - Launched scooters in San Francisco, bikes in Rome, and scooters in São Paulo. JUMP also won permits to expand in key markets such as Washington, D.C. and four markets across Australia and New Zealand, which complement the Uber Platform. In Washington, D.C., our permit win will make us the largest combined dockless fleet operator in the city across bikes and scooters.

Recent Developments

  • Divested India Eats business - Zomato, a popular food app in India, acquired our food delivery business in India, in-line with our strategy to focus on markets where we can achieve a leading position. Eats ANR take rate would have been 10.1% in Q4 2019 excluding the impact of Uber Eats in India.
  • Completed the previously announced acquisition of Careem - We completed the Careem acquisition following the approval of the transaction in Egypt, Jordan, Saudi Arabia and the United Arab Emirates, which represent substantially all of the major markets where regulatory approval was required. We have not received regulatory approval in Pakistan, Qatar and Morocco to date and the transaction will not close in these countries until approval from the relevant competition authorities is obtained.
  • Introduced new product features in California - Introduced a number of product and policy changes in California to further strengthen the independence of drivers and delivery people, protect their ability to work flexibly, and clarify Uber’s role as a marketplace.

Terms of Use | Copyright © 2002 - 2020 CONSTITUENTWORKS SM  CORPORATION. All rights reserved. | Privacy Statement