Uber Technologies (UBER) posted a narrower fourth quarter loss Wednesday, alongside firmer ride revenues, and forecast solid near-term profits amid a return to normal commuting patterns and the ongoing travel and restaurant boom.
Uber said revenues for the three months ending in December rose 49% from last year to $8.6 billion, topping Street forecasts of an $8.49 billion tally, as gross bookings rose 19% to $30.7 billion. Rides revenues were up 82% to $4.14 billion, Uber said, while delivery rose 21% to $2.93 billion.
Uber's adjusted earnings for the quarter were $665 million, just ahead of the Street consensus of around $462 million, while its net loss narrowed 33.3% from last year to $595 billion.
Looking into the first three months of the year, Uber said it sees adjusted earnings of between between $660 million and $700 million, topping the Refinitv forecast of around $593 million, with gross bookings pegged between $31 billion and $32 billion.
“We ended 2022 with our strongest quarter ever, with robust demand and record margins,” said CEO Dara Khosrowshahi. “Our global scale and unique platform advantages position us well to accelerate this momentum into 2023.”
Uber Technologies shares were marked 8.2% higher in pre-market trading immediately following the earnings release to indicate an opening bell price of $37.75 each, a move that would extend the stock's six-month gain to around 18.2%.
"In 2022, we significantly exceeded our profitability outlook, with an incremental margin of 10%,” said CFO Nelson Chai. “Our outlook for a Gross Bookings and Adjusted EBITDA step up in Q1 builds on that progress, and sets us up for yet another record year."
