Uber said Wednesday that rising revenue and returning passengers are a strong signal that its business is recovering from a recession due to an epidemic in the last three months of 2021.
The quarter also provided another indication of how Uber’s fortunes rose and fell with its investments in other companies.
Uber’s revenue rose to 5.8 billion, an 83 percent increase from a year earlier, exceeding analysts’ expectations. The company also marked its second lucrative quarter as a public company, with the Southeast Asian ride-hailing company, announced in December, and Aurora, the autonomous vehicle start-up, grab most of its 892 million from its investments.
Uber lost $ 968 million in the same period a year earlier, and lost $ 2.4 billion in the third quarter of 2021 due to its investment in Chinese ride-hailing company Didi.
Uber said in its earnings report that its investment in other ride-hailing companies may have caused its profits and losses to fluctuate. Dara Khosrowshahi, Uber’s chief executive, said at an analyst event in December that the company would stick to some of its strategic investments but would eventually consider selling its stake in Didi.
Uber’s quarterly loss was $ 550 million, a 37 percent improvement over a year earlier.
Uber said it is attracting a growing number of users, relying on its food delivery business, Uber Eats, to bring business during the rise in coronavirus cases when its ride-hailing business declined. Uber reported 118 million users during the fourth quarter, up 27 percent from a year earlier.
“Our results show how far we have come since the onset of the epidemic,” he said. Khosrowshahi said in a statement. “When the Omicron variant began to affect our business in late December, the momentum is already starting to pick up again.”
Shares of Uber rose nearly 5 percent in after-hours trading on Wednesday.
The growth in users sets Uber apart from its primary rival Lift in the United States. In its earnings report on Tuesday, Lift said it had 18,728 users during the fourth quarter, up 49 percent from a year earlier but slightly lower than in the third quarter. The general decline in users indicates that Omicron’s winter wave could present further challenges for the lift business.
However, Lift said its revenue rose 70 percent to $ 969.9 million, and its losses rose to $ 258.6 million, a change of 43 percent from a year earlier.
Analysts said Uber and Lift’s businesses would continue to fluctuate largely as the epidemic affected travel.
“It’s flowing,” said Tom White, a senior research analyst with financial firm DA Davidson. While the lift business was associated with coronavirus conditions in North America, Uber may experience other problems as it operates around the world, he added.