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Uber unveils better-than-expected fourth-quarter gross bookings forecast

Published 2023-11-07, 07:34 a/m
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Investing.com -- Uber Technologies (NYSE:UBER) has projected fourth-quarter gross bookings and adjusted core income that topped expectations, as the ride-hailing group said its core business is "stronger than ever" heading into the busy holiday travel season.

The San Francisco-based company said it sees current-quarter gross bookings of between $36.5 billion to $37.5 billion in the fourth quarter, above Bloomberg consensus estimates of $36.34B.

Adjusted earnings before interest, tax, depreciation and amortization during the period were also forecast to come in at $1.18B to $1.24B. Analysts had called for guidance of $1.15B.

In the three months ended on Sept. 30, solid performance at the firm's taxi and delivery services helped offset some weakness at its freight division. Total quarterly gross bookings rose by 21% to $35.28B, beating projections, as the group continued to benefit from resilient travel demand in the face of elevated inflation.

“Our relentless focus on improving the product experience for both consumers and drivers continued to power profitable growth," said Chief Executive Officer Dara Khosrowshahi in a statement.

However, revenue of $9.29B during the third-quarter was lower than anticipated. Uber said "business model changes in some countries" negatively impacted quarterly sales growth at its combined mobility and food-delivery offerings by 8 percentage points year-on-year.

By 07:30 ET (12:30 GMT), shares in Uber were slightly in premarket U.S. trading on Tuesday.

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