TLDR
- Adjusted earnings per share reached $0.72, surpassing the analyst consensus of $0.69
- Platform gross bookings climbed 21% year-over-year to $53.7 billion, exceeding the $52.8 billion forecast
- Total revenue increased 14% to $13.2 billion, marginally below the $13.28 billion Street estimate
- Total trips expanded 20% annually to 3.64 billion; active monthly platform users increased 17%
- UBER shares surged 8.7% during premarket hours following the earnings announcement
Shares of Uber rallied 8.7% in premarket activity Wednesday following the release of first-quarter results that exceeded Wall Street’s earnings and bookings projections.
The ride-hailing and delivery platform reported adjusted earnings per share of $0.72, representing a significant increase from $0.50 during the same period last year and beating the Street’s $0.69 estimate. Total revenue climbed 14% to $13.2 billion, falling slightly short of the anticipated $13.28 billion.
The standout metric proving most impressive to investors was gross bookings. The figure jumped 21% to reach $53.7 billion, comfortably surpassing the $52.8 billion consensus estimate.
Heading into Wednesday’s earnings release, UBER shares had declined 11% year-to-date, leaving investors hungry for positive catalysts.
While adjusted metrics impressed, reported GAAP net income painted a contrasting picture. Profits fell to $263 million, translating to $0.13 per share, down sharply from $1.78 billion in the prior-year period. Management attributed the decline primarily to a $1.5 billion negative impact from equity investment revaluations.
Chief Executive Dara Khosrowshahi noted the quarter unfolded amid challenging conditions — including geopolitical uncertainty, elevated fuel costs, and adverse weather patterns. Nevertheless, the underlying business demonstrated resilience.
Total platform trips expanded 20% compared to last year, reaching 3.64 billion. Monthly active platform consumers grew 17%. Growth was balanced across both the mobility and delivery divisions, with geographic diversity rather than concentration in any single region.
Freight Returns to Growth
An underreported highlight from the quarterly results was the performance of Uber Freight. The logistics division posted growth for the first time in nearly 24 months — a development Khosrowshahi emphasized as an encouraging indicator.
While the segment isn’t yet significant enough to materially impact overall results, its return to expansion eliminates a previous headwind weighing on the broader business.
Regarding artificial intelligence and autonomous vehicle initiatives, Uber introduced an AI-powered assistant for its driver network and established 10 new or expanded autonomous vehicle collaborations during the quarter. These represent strategic long-term investments rather than immediate revenue contributors.
Q2 Guidance Comes in Ahead of Estimates
Looking toward the second quarter, Uber projected adjusted earnings per share between $0.78 and $0.82. The lower boundary aligns with current analyst projections.
Management’s gross bookings outlook for Q2 ranges from $56.25 billion to $57.75 billion, surpassing the Street’s $56.17 billion estimate.
The forward guidance indicates management’s confidence that first-quarter momentum will continue into the current period.
Additional noteworthy details from the report included the freight division’s return to positive growth and the establishment of 10 new autonomous vehicle collaborations.
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