Uber hails strong third quarter, boosts outlook

(Sharecast News) - Uber Technologies swung to a profit in the third quarter, the ride hailing and delivery app confirmed on Tuesday, on the back of strong demand. The US firm said monthly active platform consumers, a key metric, jumped 15% to 142m in the three months to September end.

Trips rose 25% to 2.4bn, while gross bookings were ahead 21% at $35.3bn. Within that, mobility bookings rose 31% and delivery bookings 18%.

Group revenues sparked 11%, to $9.3bn, while income from operations was $394m, compared to a $495m loss a year previously. Net income was $221m, following last year's $1.2bn loss.

Dara Khosrowshahi, chief executive, said: "Uber's core business is stronger than ever as we enter the busiest period of the year."

Nelson Chai, chief financial officer, said: "Strong topline trends and record profitability demonstrate the durability of our growth and the significant earnings power underlying our platform." He added that Uber would continue to make "disciplined" investments in growth opportunities.

Noting that the strong consumer demand seen in the third quarter had continued into the final three months of the year, Uber said it now expected fourth-quarter gross bookings to be in the region of $36.5bn to $37.5bn.

Adjusted earnings before interest, tax, depreciation and amortisation were forecast to come in between $1.18bn and $1.24bn, ahead of analyst forecasts for $1.15bn.

By the close in New York, Uber's shares finished up 3.7% at $49.92.