LOS ANGELES: Uber Technologies Inc's restaurant delivery business has grown revenue to US$1.5 billion in just three years, the company disclosed in its IPO filing on Thursday, dwarfing the revenue of its profitable, and already public, rival Grubhub Inc.
Research firm Edison Trends said Uber Eats does more deliveries than its U.S. rivals, including Grubhub, but that the dollar value of each transaction is the lowest of the bunch at US$26.20. "Consumers, as convenience-minded as they are, are still pretty price sensitive," said Jesse Reyes, chief executive of J-Curve Advisors, who advises venture capital and private equity funds. Grubhub had established the beginnings of a profitability roadmap for the industry - even as some experts worry that it is losing share to its fast-growing Silicon Valley rivals.