# Uber opens its books....



## Paul Collins (Dec 12, 2016)

*Uber, Lifting Financial Veil, Says Sales Growth Outpaces Losses*

The ride-hailing giant opens up about its financials for the first time in an interview with Bloomberg.
Uber Technologies Inc. isn't required to report its finances publicly, but the privately held company has decided to forgo that luxury for the first time. Uber said its revenue growth is outpacing losses, hoping to show the business is on a strong trajectory as it attempts to address a recent cascade of scandals.
The ride-hailing giant more than doubled gross bookings in 2016 to $20 billion, according to financial information Uber shared with Bloomberg. Net revenue was $6.5 billion, while adjusted net losses were $2.8 billion, excluding the China business, which it sold last summer....

https://www.bloomberg.com/news/arti...eports-strong-sales-growth-as-losses-continue


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## Phatboy (Feb 9, 2017)

Should we open a book on when the IPO might be?


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## Instyle (Oct 18, 2014)

Uber shouldn't be quoting gross fares, thats not how their business is structured.

There are other ventures that charge the customer directly then contract a driver for X amount, in that case a company can quote gross fares.

Uber is only good for 20-25% of those figures minus all the marketing, onboarding, sales gimmicks, promo credit etc.


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## UberDriverAU (Nov 4, 2015)

Why would Uber publish gross bookings unless they actually believe riders are *their* customers?


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## fields (Jul 11, 2016)

UberDriverAU said:


> Why would Uber publish gross bookings unless they actually believe riders are *their* customers?


Probably because they are THEIR customers. People are not requesting you personally to drive them around?

These are impressive figures, no doubt about it.


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## UberDriverAU (Nov 4, 2015)

fields said:


> Probably because they are THEIR customers. People are not requesting you personally to drive them around?


The $20B should not be in their books if they believe their usual tripe that we are really independent contractors. As the judge said in the recent UK case, what Uber does in unguarded moments is important.



fields said:


> These are impressive figures, no doubt about it.


A USD 2.8B loss is certainly an impressive loss. But think of the implications. At current prices Uber would need to raise their share of fares by 43% across the board to *break even*, and even more to actually make a profit. A 25% commission would need to jump up to 35.77%. This is pretty strong evidence that Uber is using predatory pricing.


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## fields (Jul 11, 2016)

UberDriverAU said:


> The $20B should not be in their books if they believe their usual tripe that we are really independent contractors. As the judge said in the recent UK case, what Uber does in unguarded moments is important.
> 
> A USD 2.8B loss is certainly an impressive loss. But think of the implications. At current prices Uber would need to raise their share of fares by 43% across the board to *break even*, and even more to actually make a profit. A 25% commission would need to jump up to 35.77%. This is pretty strong evidence that Uber is using predatory pricing.


The figures are not about the losses, they show the huge increase in revenue.

Uber makes a profit in Australia, no need for 35% commission.


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## UberDriverAU (Nov 4, 2015)

fields said:


> The figures are not about the losses, they show the huge increase in revenue.


An increase to 6.5B in revenue with a loss of 2.8B. Counting what you claim is someone else's revenue as your own is dodgy accounting of the highest degree. People can place whatever emphasis they like on these figures. For me the deceit and size of the loss simply jump off the page. 


fields said:


> Uber makes a profit in Australia, no need for 35% commission.


And your source for this is...


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## fields (Jul 11, 2016)

UberDriverAU said:


> And your source for this is...


Several Uber press releases. They specifically mention making a profit in Australia. Probably because in most markets they are running at a loss.

Pure speculation on my part, but I think Sydney is doing most of the heavy lifting when it comes to profitably in Australia.


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## MrM (Jan 18, 2017)

fields said:


> Several Uber press releases. They specifically mention making a profit in Australia. Probably because in most markets they are running at a loss.
> 
> Pure speculation on my part, but I think Sydney is doing most of the heavy lifting when it comes to profitably in Australia.


So isn't the logical conclusion for Uber to raise prices in Melbourne to Sydney levels not cut them like they have in the past?


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## fields (Jul 11, 2016)

MrM said:


> So isn't the logical conclusion for Uber to raise prices in Melbourne to Sydney levels not cut them like they have in the past?


Yes, but raising prices is far more difficult than reducing them. I am sure uber regrets what they did in Melbourne


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## UberDriverAU (Nov 4, 2015)

fields said:


> Several Uber press releases. They specifically mention making a profit in Australia. Probably because in most markets they are running at a loss.
> 
> Pure speculation on my part, but I think Sydney is doing most of the heavy lifting when it comes to profitably in Australia.


Based on my data set, Uber's prices work out ~38% higher in Sydney (highest prices in Australia) compared to Perth (lowest prices in Australia). That's not too far from the magical 43% mark.


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