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Uber losses top $1 billion

Uber app

Ride-hailing firm Uber has reported a loss of US$1.07 billion (about £830 million) in the three months to September – a 20 per cent increase on the previous quarter.

The news comes as the privately-held company plans to offer public stocks in 2019, according to the BBC. Uber has recently been valued at $72 billion.

Revenues for the three months rose by 38 per cent on the previous year to $2.95 billion, with bookings up 34 per cent to $12.7 billion.

Although the news is not ideal for Uber, total losses are down 27 per cent compared to the same quarter in 2017, showing some signs of improvement for the firm as it invests in its future.

CFO Nelson Chai commented: “As we look ahead to an [Initial Public Offering] and beyond, we are investing in future growth across our platform, including in food, freight, electric bikes and scooters, and high-potential markets in India and the Middle East where we continue to solidify our leadership position.”

Uber has recently received funding from Japanese firm Softbank, which now owns a 15 per cent stake in the company.

The tech firm has faced a tough year after losing its licence to operate in London and York, although it won a ‘lifeline’ extension from Transport for London after adding new safety features to its app.

Uber agreed to pay a $148 million fine for a 2016 data breach that senior management attempted to cover up, while it lost a key EU court battle in relation to drivers’ rights. In a move to smooth relations with European drivers, the company introduced insurance to cover them for time lost to sickness, injury and maternity/paternity leave.

A self-driving vehicle test was banned in Arizona after a pedestrian was struck and killed by one of Uber's autonomous cars.

The app could face competition in the UK after Indian firm Ola launched services in Cardiff, Newport and Vale of Glamorgan, with plans to expand across the country.

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