Uber's Financial Struggles: The Ride-Sharing Giant Lost $1.27B The First Half Of the Year
Ride-sharing behemoth Uber Technologies lost $1.27B in the first half of the year.
Though not a public company, every three months the San Francisco unicorn holds a conference call to keep investors in the loop regarding financials and the latest details on the company’s performance—very similar to public company quarterly earnings.
Uber's head of finance, Gautam Gupta, led the call, reporting to investors that the company was still losing money. In Q1 Uber lost $520M before taxes, and in Q2 losses exceeded $750M.
The $69B company’s losses have grown over the years—in 2015 the company lost at least $2B before taxes, depreciation and amortization. Within its short existence, the company has lost about $4B combined, Bloomberg reports.
Uber’s deal with Chinese rival Didi Chuxing greatly impacted its Q2 results and boosted its losses. Through the deal, Uber received a 17.5% stake in Didi’s business and was given a $1B investment in exchange for leaving the country. Uber has lost as much as $2B in China within the past two years, but the company said it won’t have any losses from its Chinese business on its August balance sheet. [Bloomberg]
