Uber Technologies Inc. suffered through a hard 2017, but its business was able to grow nevertheless. The firm, based in Japan, has bet that more people will decide to book rides through Uber's app rather than drive themselves and the business would find a way to recover from the losses of today.
It is important to note Uber's larger global footprint here, meaning the company may be making up for lost ground in the U.S. in other territories. However, the ride-hailing business posted a loss of $4.5 billion.
Uber's loss was mainly based on accepted accounting standards, which includes write-downs and significant legal expenses.
The company's revenues during this period increased by about 14% to 11.1 billion Dollars from 9 billion USD reported an year earlier. The company reported negative finance result of 4.5 billion Dollars a year ago after it lost 2.8 billion USD in 2016. He also helped to pave the way for a $10 billion investment deal with Softbank, the Japanese technology investor, that changed Uber's corporate structure and reduced Mr Kalanick's influence. Although he says he is pleased with the company's progress so far, Khosrowshahi cautioned that the San Francisco company still has a long way to go to win back the trust of its consumers and drivers.
However, in the fourth quarter, which was CEO first full period at the helm, Uber's loss narrowed to $1.1 billion from $1.46 billion in the third quarter. But how well Uber's stock fares on Wall Street will likely be tied to whether the company proves it can make money - something it isn't close to doing now.
Uber, a private company, doesn't have to publicly disclose earnings.
The company last week agreed to give Alphabet Inc.'s self-driving vehicle unit Waymo $245 million worth of its own shares to settle a lawsuit over trade secrets, thus ending one of its most image-bruising public disputes.
While sales were at $7.5bn for the year (a 61pc increase), losses were at $4.5bn compared to $2.8bn in 2016, despite signs of recovery in the final three months of last year.