REUTERS: Uber Technologies Inc's ride service bookings rose last week and the company expects a coronavirus-related slowdown will delay the goal of becoming profitable by a matter of quarters, not years, Chief Executive Dara Khosrowshahi said on Thursday.
Excluding the US$2.1 billion of writedowns, Uber reported a loss of 64 cents per share, compared with Wall Street analysts' expectations of an 88-cent loss, according to IBES data from Refinitiv. Khosrowshahi told analysts on a conference call that ride bookings were down 80per cent globally in April, but that the company overall was only 40per cent behind its quarterly goals thanks to its food-delivery business.In large cities in Georgia and Texas, U.S. states that have reopened parts of their economy in recent weeks, trips are up around 45per cent from their low point in April, Uber said.
Uber's food delivery business has traditionally been a drag on the company's bottom line due to heavy spending on customer promotions and driver incentives. "The big unknown is whether Uber will be able to retain these Uber Eats customers when the economy opens back up," Haris Anwar, analyst at investing.com, said.
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