Uber on Tuesday it reported second-quarter earnings results that beat Wall Street estimates. The stock jumped 11%.
Here’s how the company did for the period ended June 30, compared to what Wall Street was expecting based on a survey of analysts from LSEG:
- Earnings per share: 47 cents vs. 31 cents expected
- Income: $10.7 billion vs. $10.57 billion expected
Revenue rose 16 percent from $9.23 billion a year earlier, according to Uber Press release. The company’s mobility unit reported a 23% increase in gross bookings to $20.6 billion. Gross bookings increased 16% in delivery to $18.1 billion and were flat in the freight unit at $1.27 billion.
CEO Dara Khosrowshahi had said the company expected growth of around 20% for the second quarter, based on expected continued expansion of its core mobility business and increasing frequency of food and travel orders through its subscribers.
For the third quarter, Uber expects bookings of $40.25 billion to $41.75 billion. The midpoint of the range, $41 billion, fell short of the median estimate of $41.18 billion, according to StreetAccount. The company expects adjusted earnings of $1.58 billion to $1.68 billion, with the middle of the range slightly above the average estimate of $1.62 billion.
Uber’s “monthly active platform consumers,” or MAPCs, reached 156 million in the second quarter with 2.77 billion rides on the Uber platform. That compares to 137 million MAPCs and 2.28 billion trips during the same period a year ago.
Uber also reported net income of $1.02 billion for the quarter, which included a $333 million pre-tax benefit from “revaluations of Uber equity investments.”
In May, the company announced a partnership with Instacart which will add a “restaurants” tab to its grocery delivery app, allowing its users to order from restaurants and have deliveries run by Uber Eats.
In July, Chinese electric vehicle maker BYD and Uber announced a partnership to bring about 100,000 EVs to Uber drivers starting in Europe and Latin America. The companies also plan to “collaborate on future BYD self-driving vehicles that will be deployed on the Uber platform,” Uber said on Tuesday.
While BYD vehicles are not sold or available for lease in the US, Uber has a number of other incentives and options to entice drivers to use Tesla and other battery electric vehicles instead of gas-powered cars.
Analysts on the earnings call asked Khosrowshahi about Uber’s experience with autonomous vehicles, including partnerships and its long-term market strategy. Uber and Waymo are partnering in Arizona to allow Uber users to book self-driving rides and optional food deliveries.
Khosrowshahi did not disclose specifics about Waymo, but said generally that “AV players” have much more usage with Uber than “no network on a first-party basis.” He said Uber “will continue to have the most liquid and largest market” and that there will be a “fairly long hybrid period as autonomous develops and regulators try to figure out exactly how to regulate it.”
“We don’t think this is going to be a winning game,” Khosrowshahi said.
Shares of Uber were down 5% for the year as of Monday’s close, but are now slightly higher after Tuesday’s rally.
I’M WATCHING: The full CNBC interview with Uber CEO Dara Khosrowshahi
