Uber Reports Financial Growth Despite Recent Controversies

Uber’s financial reports show growth despite the company’s recent negative publicity

According to Axios, Uber’s latest financial reports show that the company’s gross bookings rose by 17% in the second quarter. The growth is rather surprising, given the fact that lately, the company has been part of controversies including accusations of harassment and fraud.

Uber Reports Growth But Is It Really?

Axios reports that, in the last year, the number of rides has increased by 150% and the company’s adjusted loss decreased. Uber reported an adjusted net revenue in the first quarter of $1.75 billion, a growth yet again from the $1.5 billion in the first quarter. The adjusted net losses also fell only by 9%.

Recently, the company developed a habit of releasing its financials to showcase its growth. This is particularly interesting because it has been under investigation due to accusations of sexual harassment after former employee Susan Fowler wrote about the experience on her website. In addition, former CEO and Uber co-founder Travis Kalanick was forced to resign over accusations of fraud.

Uber has been currently valued at $68.5 billion. However, according to TechCrunch, several Uber investors declared that the company is now worth less than its last evaluation. In addition, The Information reported that the controversies surrounding Uber pushed investors on the secondary market to cut the price on Uber stock by 15%. This left the value of the company at $50 billion. The Information’s report came out before the resignation of Kalanick.

Recently, Kalanick was sued by Benchmark, who was an early investor. Benchmark accused Kalanick of withholding information about the company’s problems.

Still, Uber reports that its drivers made $50 million dollars in tips since the program was launched in June. Competitor Lyft reported a similar figure but calculated on a longer period of time. So it seems that despite its major internal conflicts, Uber is still attractive for now.

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Anne-Marie Jackson

Anna grew up on a steady diet of 20th century literature, science-fiction movies and Viking lore. Unsurprisingly she turned into a technology geek with an inclination for history & fantasy.