Le Lézard
Classified in: Science and technology, Business, Covid-19 virus
Subjects: EARNINGS, Conference Call, Webcast

Uber Announces Results for Fourth Quarter and Full Year 2023


Uber Technologies, Inc. (NYSE: UBER) today announced financial results for the quarter and full year ended December 31, 2023.

"2023 was an inflection point for Uber, proving that we can continue to generate strong, profitable growth at scale," said Dara Khosrowshahi, CEO. "Our audiences are larger and more engaged than ever, with our platform powering an average of nearly 26 million daily trips last year."

"Uber's platform advantages and disciplined investment in new growth opportunities resulted in record engagement and accelerating Gross Bookings in Q4," said Prashanth Mahendra-Rajah, CFO. "We're looking forward to sharing more about our strategy and capital allocation plans at our Investor Update next week."

Financial Highlights for Fourth Quarter 2023

Outlook for Q1 2024

For Q1 2024, we anticipate:

Financial and Operational Highlights for Fourth Quarter 2023

 

 

Three Months Ended December 31,

 

 

 

 

(In millions, except percentages)

 

 

2022

 

 

 

2023

 

% Change

 

% Change

(Constant Currency (1))

 

 

 

 

 

 

 

 

 

Monthly Active Platform Consumers ("MAPCs")

 

 

131

 

 

 

150

 

15

%

 

 

Trips

 

 

2,104

 

 

 

2,601

 

24

%

 

 

Gross Bookings

 

$

30,749

 

 

$

37,575

 

22

%

 

21

%

Revenue

 

$

8,607

 

 

$

9,936

 

15

%

 

13

%

Income (loss) from operations

 

$

(142

)

 

$

652

 

**

 

 

 

Net income attributable to Uber Technologies, Inc. (2)

 

$

595

 

 

$

1,429

 

140

%

 

 

Adjusted EBITDA (1)

 

$

665

 

 

$

1,283

 

93

%

 

 

Net cash provided by (used in) operating activities (3)

 

$

(244

)

 

$

823

 

**

 

 

 

Free cash flow (1), (3)

 

$

(303

)

 

$

768

 

**

 

 

 

(1)

See "Definitions of Non-GAAP Measures" and "Reconciliations of Non-GAAP Measures" sections herein for an explanation and reconciliations of non-GAAP measures used throughout this release.

(2)

Q4 2022 net income includes a $756 million net benefit (pre-tax) from revaluations of Uber's equity investments. Q4 2023 net income includes a $1.0 billion net benefit (pre-tax) from revaluations of Uber's equity investments.

(3)

Net cash used in operating activities and free cash flow for Q4 2022 includes an approximately $733 million cash outflow related to the settlement of outstanding HMRC VAT claims for periods prior to our UK business model change on March 14, 2022.

** Percentage not meaningful.

Full Year 2023 Financial and Operational Highlights

 

 

Year Ended December 31,

 

 

 

 

(In millions, except percentages)

 

 

2022

 

 

 

2023

 

% Change

 

% Change

(Constant Currency)

 

 

 

 

 

 

 

 

 

Trips

 

 

7,642

 

 

 

9,448

 

24

%

 

 

Gross Bookings

 

$

115,395

 

 

$

137,865

 

19

%

 

20

%

Revenue

 

$

31,877

 

 

$

37,281

 

17

%

 

18

%

Income (loss) from operations

 

$

(1,832

)

 

$

1,110

 

**

 

 

 

Net income (loss) attributable to Uber Technologies, Inc. (2)

 

$

(9,141

)

 

$

1,887

 

**

 

 

 

Adjusted EBITDA (1)

 

$

1,713

 

 

$

4,052

 

137

%

 

 

Net cash provided by operating activities (3)

 

$

642

 

 

$

3,585

 

**

 

 

 

Free cash flow (1), (3)

 

$

390

 

 

$

3,362

 

**

 

 

 

(1)

See "Definitions of Non-GAAP Measures" and "Reconciliations of Non-GAAP Measures" sections herein for an explanation and reconciliations of non-GAAP measures used throughout this release.

(2)

Net loss for the year ended December 31, 2022 includes a $7.0 billion net headwind (pre-tax) from revaluations of Uber's equity investments.

Net income for the year ended December 31, 2023 includes a $1.6 billion net benefit (pre-tax) from revaluations of Uber's equity investments.

(3)

Net cash provided by operating activities and free cash flow for the year ended December 31, 2022 includes an approximately $733 million cash outflow related to the settlement of outstanding HMRC VAT claims for periods prior to our UK business model change on March 14, 2022.

Net cash provided by operating activities and free cash flow during the year ended December 31, 2023 includes an approximately $622 million cash outflow related to payments of HMRC VAT for multiple assessments for the period of March 2022 to March 2023.

** Percentage not meaningful.

Results by Offering and Segment

Gross Bookings

 

 

Three Months Ended December 31,

 

 

 

 

(In millions, except percentages)

 

 

2022

 

 

2023

 

% Change

 

% Change

(Constant Currency)

 

 

 

 

 

 

 

 

 

Gross Bookings:

 

 

 

 

 

 

 

 

Mobility

 

$

14,894

 

$

19,285

 

29

%

 

28

%

Delivery

 

 

14,315

 

 

17,011

 

19

%

 

17

%

Freight

 

 

1,540

 

 

1,279

 

(17

)%

 

(17

)%

Total

 

$

30,749

 

$

37,575

 

22

%

 

21

%

Revenue

 

 

Three Months Ended December 31,

 

 

 

 

(In millions, except percentages)

 

 

2022

 

 

2023

 

% Change

 

% Change

(Constant Currency)

 

 

 

 

 

 

 

 

 

Revenue:

 

 

 

 

 

 

 

 

Mobility (1), (3)

 

$

4,136

 

$

5,537

 

34

%

 

31

%

Delivery (2), (3)

 

 

2,931

 

 

3,119

 

6

%

 

4

%

Freight

 

 

1,540

 

 

1,280

 

(17

)%

 

(17

)%

Total

 

$

8,607

 

$

9,936

 

15

%

 

13

%

(1)

Mobility Revenue in Q4 2023 was negatively impacted by business model changes in some countries that classified certain sales and marketing costs as contra revenue by $207 million. These changes negatively impacted Mobility revenue YoY growth by 5 percentage points.

(2)

Delivery Revenue in Q4 2023 was negatively impacted by business model changes that classified certain sales and marketing costs as contra revenue by $322 million. These changes negatively impacted Delivery revenue YoY growth by 11 percentage points.

(3)

Combined Mobility and Delivery Revenue in Q4 2023 was negatively impacted by business model changes in some countries that classified certain sales and marketing costs as contra revenue by $529 million. These changes negatively impacted combined Mobility and Delivery revenue YoY growth by 7 percentage points.

Revenue Margin

 

 

Three Months Ended December 31,

 

 

2022

 

 

2023

 

 

 

 

 

 

Mobility (1)

 

27.8

%

 

28.7

%

Delivery (2)

 

20.5

%

 

18.3

%

(1)

Mobility Revenue Margin in Q4 2023 was negatively impacted by business model changes in some countries that classified certain sales and marketing costs as contra revenue by 110 bps.

(2)

Delivery Revenue Margin in Q4 2023 was negatively impacted by business model changes that classified certain sales and marketing costs as contra revenue by 190 bps.

Adjusted EBITDA and Segment Adjusted EBITDA

 

 

Three Months Ended December 31,

 

 

(In millions, except percentages)

 

 

2022

 

 

 

2023

 

 

% Change

 

 

 

 

 

 

 

Segment Adjusted EBITDA:

 

 

 

 

 

 

Mobility

 

$

1,012

 

 

$

1,446

 

 

43

%

Delivery

 

 

241

 

 

 

476

 

 

98

%

Freight

 

 

(8

)

 

 

(14

)

 

(75

)%

Corporate G&A and Platform R&D (1)

 

 

(580

)

 

 

(625

)

 

(8

)%

Adjusted EBITDA (2)

 

$

665

 

 

$

1,283

 

 

93

%

(1)

Includes costs that are not directly attributable to our reportable segments. Corporate G&A also includes certain shared costs such as finance, accounting, tax, human resources, information technology and legal costs. Platform R&D also includes mapping and payment technologies and support and development of the internal technology infrastructure. Our allocation methodology is periodically evaluated and may change.

(2)

"Adjusted EBITDA" is a non-GAAP measure as defined by the SEC. See "Definitions of Non-GAAP Measures" and "Reconciliations of Non-GAAP Measures" sections herein for an explanation and reconciliations of non-GAAP measures used throughout this release.

Financial Highlights for the Fourth Quarter 2023 (continued)

Mobility

Delivery

Freight

Corporate

GAAP and Non-GAAP Costs and Operating Expenses

Operating Highlights for the Fourth Quarter 2023

Platform

Mobility

Delivery

Freight

Webcast and conference call information

A live audio webcast of our fourth quarter ended December 31, 2023 earnings release call will be available at https://investor.uber.com/, along with the earnings press release and slide presentation. The call begins on February 7, 2024 at 5:00 AM (PT) / 8:00 AM (ET). This press release, including the reconciliations of certain non-GAAP measures to their nearest comparable GAAP measures, is also available on that site.

We also provide announcements regarding our financial performance and other matters, including SEC filings, investor events, press and earnings releases, on our investor relations website (https://investor.uber.com/), and our blogs (https://uber.com/blog) and Twitter accounts (@uber and @dkhos), as a means of disclosing material information and complying with our disclosure obligations under Regulation FD.

About Uber

Uber's mission is to create opportunity through movement. We started in 2010 to solve a simple problem: how do you get access to a ride at the touch of a button? More than 47 billion trips later, we're building products to get people closer to where they want to be. By changing how people, food, and things move through cities, Uber is a platform that opens up the world to new possibilities.

Forward-Looking Statements

This press release contains forward-looking statements regarding our future business expectations which involve risks and uncertainties. Actual results may differ materially from the results predicted, and reported results should not be considered as an indication of future performance. Forward-looking statements include all statements that are not historical facts and can be identified by terms such as "anticipate," "believe," "contemplate," "continue," "could," "estimate," "expect," "hope," "intend," "may," "might," "objective," "ongoing," "plan," "potential," "predict," "project," "should," "target," "will," or "would" or similar expressions and the negatives of those terms. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. These risks, uncertainties and other factors relate to, among others: competition, managing our growth and corporate culture, financial performance, investments in new products or offerings, our ability to attract drivers, consumers and other partners to our platform, our brand and reputation and other legal and regulatory developments, particularly with respect to our relationships with drivers and couriers and the impact of the global economy, including rising inflation and interest rates. For additional information on other potential risks and uncertainties that could cause actual results to differ from the results predicted, please see our most recent quarterly report on Form 10-Q for the quarter ended September 30, 2023 and subsequent annual reports, quarterly reports and other filings filed with the Securities and Exchange Commission from time to time. All information provided in this release and in the attachments is as of the date of this press release and any forward-looking statements contained herein are based on assumptions that we believe to be reasonable as of this date. Undue reliance should not be placed on the forward-looking statements in this press release, which are based on information available to us on the date hereof. We undertake no duty to update this information unless required by law.

Non-GAAP Financial Measures

To supplement our financial information, which is prepared and presented in accordance with generally accepted accounting principles in the United States of America ("GAAP"), we use the following non-GAAP financial measures: Adjusted EBITDA; Free cash flow; Non-GAAP Costs and Operating Expenses as well as, revenue growth rates in constant currency. The presentation of this financial information is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP. We use these non-GAAP financial measures for financial and operational decision-making and as a means to evaluate period-to-period comparisons. We believe that these non-GAAP financial measures provide meaningful supplemental information regarding our performance by excluding certain items that may not be indicative of our recurring core business operating results.

We believe that both management and investors benefit from referring to these non-GAAP financial measures in assessing our performance and when planning, forecasting, and analyzing future periods. These non-GAAP financial measures also facilitate management's internal comparisons to our historical performance. We believe these non-GAAP financial measures are useful to investors both because (1) they allow for greater transparency with respect to key metrics used by management in its financial and operational decision-making and (2) they are used by our institutional investors and the analyst community to help them analyze the health of our business.

There are a number of limitations related to the use of non-GAAP financial measures. In light of these limitations, we provide specific information regarding the GAAP amounts excluded from these non-GAAP financial measures and evaluating these non-GAAP financial measures together with their relevant financial measures in accordance with GAAP.

For more information on these non-GAAP financial measures, please see the sections titled "Key Terms for Our Key Metrics and Non-GAAP Financial Measures," "Definitions of Non-GAAP Measures" and "Reconciliations of Non-GAAP Measures" included at the end of this release. In regards to forward looking non-GAAP guidance, we are not able to reconcile the forward-looking non-GAAP Adjusted EBITDA measure to the closest corresponding GAAP measure without unreasonable efforts because we are unable to predict the ultimate outcome of certain significant items. These items include, but are not limited to, significant legal settlements, unrealized gains and losses on equity investments, tax and regulatory reserve changes, restructuring costs and acquisition and financing related impacts.

UBER TECHNOLOGIES, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(In millions)

(Unaudited)

 

 

 

As of December 31, 2022

 

As of December 31, 2023

Assets

 

 

 

 

Cash and cash equivalents

 

$

4,208

 

 

$

4,680

 

Short-term investments

 

 

103

 

 

 

727

 

Restricted cash and cash equivalents

 

 

680

 

 

 

805

 

Accounts receivable, net

 

 

2,779

 

 

 

3,404

 

Prepaid expenses and other current assets

 

 

1,479

 

 

 

1,681

 

Total current assets

 

 

9,249

 

 

 

11,297

 

Restricted cash and cash equivalents

 

 

1,789

 

 

 

1,519

 

Restricted investments

 

 

1,614

 

 

 

4,779

 

Investments

 

 

4,401

 

 

 

6,101

 

Equity method investments

 

 

870

 

 

 

353

 

Property and equipment, net

 

 

2,082

 

 

 

2,073

 

Operating lease right-of-use assets

 

 

1,449

 

 

 

1,241

 

Intangible assets, net

 

 

1,874

 

 

 

1,425

 

Goodwill

 

 

8,263

 

 

 

8,151

 

Other assets

 

 

518

 

 

 

1,760

 

Total assets

 

$

32,109

 

 

$

38,699

 

Liabilities, redeemable non-controlling interests and equity

 

 

 

 

Accounts payable

 

$

728

 

 

$

790

 

Short-term insurance reserves

 

 

1,692

 

 

 

2,016

 

Operating lease liabilities, current

 

 

201

 

 

 

190

 

Accrued and other current liabilities

 

 

6,232

 

 

 

6,458

 

Total current liabilities

 

 

8,853

 

 

 

9,454

 

Long-term insurance reserves

 

 

3,028

 

 

 

4,722

 

Long-term debt, net of current portion

 

 

9,265

 

 

 

9,459

 

Operating lease liabilities, non-current

 

 

1,673

 

 

 

1,550

 

Other long-term liabilities

 

 

786

 

 

 

832

 

Total liabilities

 

 

23,605

 

 

 

26,017

 

 

 

 

 

 

Redeemable non-controlling interests

 

 

430

 

 

 

654

 

Equity

 

 

 

 

Common stock

 

 

?

 

 

 

?

 

Additional paid-in capital

 

 

40,550

 

 

 

42,264

 

Accumulated other comprehensive loss

 

 

(443

)

 

 

(421

)

Accumulated deficit

 

 

(32,767

)

 

 

(30,594

)

Total Uber Technologies, Inc. stockholders' equity

 

 

7,340

 

 

 

11,249

 

Non-redeemable non-controlling interests

 

 

734

 

 

 

779

 

Total equity

 

 

8,074

 

 

 

12,028

 

Total liabilities, redeemable non-controlling interests and equity

 

$

32,109

 

 

$

38,699

 

UBER TECHNOLOGIES, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(In millions, except share amounts which are reflected in thousands, and per share amounts)

(Unaudited)

 

 

 

Three Months Ended December 31,

 

Year Ended December 31,

 

 

 

2022

 

 

 

2023

 

 

 

2022

 

 

 

2023

 

Revenue

 

$

8,607

 

 

$

9,936

 

 

$

31,877

 

 

$

37,281

 

Costs and expenses

 

 

 

 

 

 

 

 

Cost of revenue, exclusive of depreciation and amortization shown separately below

 

 

5,307

 

 

 

6,057

 

 

 

19,659

 

 

 

22,457

 

Operations and support

 

 

605

 

 

 

702

 

 

 

2,413

 

 

 

2,689

 

Sales and marketing

 

 

1,122

 

 

 

935

 

 

 

4,756

 

 

 

4,356

 

Research and development

 

 

747

 

 

 

784

 

 

 

2,798

 

 

 

3,164

 

General and administrative

 

 

745

 

 

 

603

 

 

 

3,136

 

 

 

2,682

 

Depreciation and amortization

 

 

223

 

 

 

203

 

 

 

947

 

 

 

823

 

Total costs and expenses

 

 

8,749

 

 

 

9,284

 

 

 

33,709

 

 

 

36,171

 

Income (loss) from operations

 

 

(142

)

 

 

652

 

 

 

(1,832

)

 

 

1,110

 

Interest expense

 

 

(151

)

 

 

(155

)

 

 

(565

)

 

 

(633

)

Other income (expense), net

 

 

767

 

 

 

1,331

 

 

 

(7,029

)

 

 

1,844

 

Income (loss) before income taxes and income from equity method investments

 

 

474

 

 

 

1,828

 

 

 

(9,426

)

 

 

2,321

 

Provision for (benefit from) income taxes

 

 

(84

)

 

 

133

 

 

 

(181

)

 

 

213

 

Income from equity method investments

 

 

42

 

 

 

5

 

 

 

107

 

 

 

48

 

Net income (loss) including non-controlling interests

 

 

600

 

 

 

1,700

 

 

 

(9,138

)

 

 

2,156

 

Less: net income attributable to non-controlling interests, net of tax

 

 

5

 

 

 

271

 

 

 

3

 

 

 

269

 

Net income (loss) attributable to Uber Technologies, Inc.

 

$

595

 

 

$

1,429

 

 

$

(9,141

)

 

$

1,887

 

Net income (loss) per share attributable to Uber Technologies, Inc. common stockholders:

 

 

 

 

 

 

 

 

Basic

 

$

0.30

 

 

$

0.69

 

 

$

(4.64

)

 

$

0.93

 

Diluted

 

$

0.29

 

 

$

0.66

 

 

$

(4.65

)

 

$

0.87

 

Weighted-average shares used to compute net income (loss) per share attributable to common stockholders:

 

 

 

 

 

 

 

 

Basic

 

 

1,994,800

 

 

 

2,060,885

 

 

 

1,972,131

 

 

 

2,035,651

 

Diluted

 

 

2,060,575

 

 

 

2,121,929

 

 

 

1,974,928

 

 

 

2,091,782

 

UBER TECHNOLOGIES, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(In millions)

(Unaudited)

 

 

 

Three Months Ended December 31,

 

Year Ended December 31,

 

 

 

2022

 

 

 

2023

 

 

 

2022

 

 

 

2023

 

Cash flows from operating activities

 

 

 

 

 

 

 

 

Net income (loss) including non-controlling interests

 

$

600

 

 

$

1,700

 

 

$

(9,138

)

 

$

2,156

 

Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:

 

 

 

 

 

 

 

 

Depreciation and amortization

 

 

223

 

 

 

203

 

 

 

947

 

 

 

823

 

Bad debt expense

 

 

38

 

 

 

29

 

 

 

114

 

 

 

92

 

Stock-based compensation

 

 

482

 

 

 

469

 

 

 

1,793

 

 

 

1,935

 

Gain on business divestitures

 

 

?

 

 

 

(204

)

 

 

(14

)

 

 

(204

)

Deferred income taxes

 

 

(190

)

 

 

(6

)

 

 

(441

)

 

 

26

 

Income from equity method investments, net

 

 

(42

)

 

 

(5

)

 

 

(107

)

 

 

(48

)

Unrealized (gain) loss on debt and equity securities, net

 

 

(752

)

 

 

(1,000

)

 

 

7,045

 

 

 

(1,610

)

Loss from sale of investment

 

 

?

 

 

 

?

 

 

 

?

 

 

 

74

 

Impairments of goodwill, long-lived assets and other assets

 

 

13

 

 

 

9

 

 

 

28

 

 

 

86

 

Impairment of equity method investment

 

 

?

 

 

 

?

 

 

 

182

 

 

 

?

 

Revaluation of MLU B.V. call option

 

 

(11

)

 

 

?

 

 

 

(191

)

 

 

?

 

Unrealized foreign currency transactions

 

 

71

 

 

 

(18

)

 

 

96

 

 

 

138

 

Other

 

 

(12

)

 

 

(23

)

 

 

(7

)

 

 

(48

)

Change in assets and liabilities, net of impact of business acquisitions and disposals:

 

 

 

 

 

 

 

 

Accounts receivable

 

 

(323

)

 

 

(395

)

 

 

(542

)

 

 

(758

)

Prepaid expenses and other assets

 

 

(139

)

 

 

(281

)

 

 

(196

)

 

 

(1,462

)

Operating lease right-of-use assets

 

 

51

 

 

 

50

 

 

 

193

 

 

 

191

 

Accounts payable

 

 

(53

)

 

 

(22

)

 

 

(133

)

 

 

64

 

Accrued insurance reserves

 

 

251

 

 

 

576

 

 

 

736

 

 

 

2,015

 

Accrued expenses and other liabilities

 

 

(405

)

 

 

(216

)

 

 

492

 

 

 

295

 

Operating lease liabilities

 

 

(46

)

 

 

(43

)

 

 

(215

)

 

 

(180

)

Net cash provided by (used in) operating activities

 

 

(244

)

 

 

823

 

 

 

642

 

 

 

3,585

 

Cash flows from investing activities

 

 

 

 

 

 

 

 

Purchases of property and equipment

 

 

(59

)

 

 

(55

)

 

 

(252

)

 

 

(223

)

Purchases of non-marketable equity securities

 

 

?

 

 

 

(10

)

 

 

(14

)

 

 

(52

)

Purchases of marketable securities

 

 

(1,708

)

 

 

(2,844

)

 

 

(1,708

)

 

 

(8,774

)

Proceeds from maturities and sales of marketable securities

 

 

?

 

 

 

2,076

 

 

 

376

 

 

 

5,069

 

Proceeds from sale of equity method investment

 

 

?

 

 

 

?

 

 

 

?

 

 

 

721

 

Proceeds from business divestiture

 

 

?

 

 

 

?

 

 

 

26

 

 

 

?

 

Acquisition of businesses, net of cash acquired

 

 

?

 

 

 

?

 

 

 

(59

)

 

 

?

 

Other investing activities

 

 

(2

)

 

 

14

 

 

 

(6

)

 

 

33

 

Net cash used in investing activities

 

 

(1,769

)

 

 

(819

)

 

 

(1,637

)

 

 

(3,226

)

Cash flows from financing activities

 

 

 

 

 

 

 

 

Issuance of term loans and notes, net of issuance costs

 

 

?

 

 

 

1,703

 

 

 

?

 

 

 

2,824

 

Principal repayment on term loan and notes

 

 

?

 

 

 

(1,525

)

 

 

?

 

 

 

(2,675

)

Principal repayments on Careem Notes

 

 

(80

)

 

 

?

 

 

 

(80

)

 

 

(25

)

Purchase of capped calls

 

 

?

 

 

 

(141

)

 

 

?

 

 

 

(141

)

Principal payments on finance leases

 

 

(37

)

 

 

(53

)

 

 

(184

)

 

 

(171

)

Proceeds from the issuance of common stock under the Employee Stock Purchase Plan

 

 

33

 

 

 

45

 

 

 

92

 

 

 

130

 

Proceeds from issuance and sale of subsidiary stock units

 

 

?

 

 

 

?

 

 

 

255

 

 

 

?

 

Other financing activities

 

 

(5

)

 

 

17

 

 

 

(68

)

 

 

(37

)

Net cash provided by (used in) financing activities

 

 

(89

)

 

 

46

 

 

 

15

 

 

 

(95

)

Effect of exchange rate changes on cash and cash equivalents, and restricted cash and cash equivalents

 

 

145

 

 

 

89

 

 

 

(148

)

 

 

63

 

Net increase (decrease) in cash and cash equivalents, and restricted cash and cash equivalents

 

 

(1,957

)

 

 

139

 

 

 

(1,128

)

 

 

327

 

Cash and cash equivalents, and restricted cash and cash equivalents

 

 

 

 

 

 

 

 

Beginning of period

 

 

8,634

 

 

 

6,865

 

 

 

7,805

 

 

 

6,677

 

End of period

 

$

6,677

 

 

$

7,004

 

 

$

6,677

 

 

$

7,004

 

Other Income (Expense), Net

The following table presents other income (expense), net (in millions):

 

 

 

Three Months Ended December 31,

 

Year Ended December 31,

 

 

 

2022

 

 

 

2023

 

 

 

2022

 

 

 

2023

 

 

 

 

 

 

 

 

 

 

 

 

(Unaudited)

Interest income

 

$

73

 

 

$

160

 

 

$

139

 

 

$

484

 

Foreign currency exchange gains (losses), net

 

 

(71

)

 

 

3

 

 

 

(147

)

 

 

(182

)

Gain on business divestitures (1)

 

 

?

 

 

 

204

 

 

 

14

 

 

 

204

 

Loss from sale of investments

 

 

?

 

 

 

?

 

 

 

?

 

 

 

(74

)

Unrealized gain (loss) on debt and equity securities, net (2)

 

 

752

 

 

 

1,000

 

 

 

(7,045

)

 

 

1,610

 

Impairment of equity method investment (3)

 

 

?

 

 

 

?

 

 

 

(182

)

 

 

?

 

Revaluation of MLU B.V. call option (4)

 

 

11

 

 

 

?

 

 

 

191

 

 

 

?

 

Other, net

 

 

2

 

 

 

(36

)

 

 

1

 

 

 

(198

)

Other income (expense), net

 

$

767

 

 

$

1,331

 

 

$

(7,029

)

 

$

1,844

 

(1)

During the three and twelve months ended December 31, 2023, gain on business divestitures represents a $204 million gain on the sale of interest in our Careem non-ridesharing business.

(2)

During the three months ended December 31, 2022, unrealized gain (loss) on debt and equity securities, net primarily represents changes in the fair value of our equity securities including: a $773 million unrealized gain on our Didi investment, a $316 million unrealized gain on our Grab investment, partially offset by a $301 million unrealized loss on our Aurora investments.

During the year ended December 31, 2022, unrealized gain (loss) on debt and equity securities, net primarily represents changes in the fair value of our equity securities including: a $3.0 billion net unrealized loss on our Aurora investments, a $2.1 billion net unrealized loss on our Grab investment, a $1.0 billion net unrealized loss on our Didi investment, a $747 million change of fair value on our Zomato investment, as well as a $142 million net unrealized loss on our other investments in securities accounted for under the fair value option.

During the three months ended December 31, 2023, unrealized gain (loss) on debt and equity securities, net primarily represents changes in the fair value of our equity securities including: a $659 million unrealized gain on our Aurora investment, a $414 million unrealized gain on our Didi investment, partially offset by a $91 million unrealized loss on our Grab investment.

During the year ended December 31, 2023, unrealized gain (loss) on debt and equity securities, net primarily represents changes in the fair value of our equity securities including: a $985 million net unrealized gain on our Aurora investment, a $443 million net unrealized gain on our Didi investment, a $84 million net unrealized gain on our Joby investment, and a $80 million net unrealized gain on our Grab investment.

(3)

During the year ended December 31, 2022, impairment of equity method investment represents a $182 million impairment loss recorded on our MLU B.V. equity method investment.

(4)

During the year ended December 31, 2022, revaluation of MLU B.V. call option represents a $191 million net gain for the change in fair value of the call option granted to Yandex ("MLU B.V. Call Option").

Stock-Based Compensation Expense

The following table summarizes total stock-based compensation expense by function (in millions):

 

 

 

Three Months Ended December 31,

 

Year Ended December 31,

 

 

 

2022

 

 

2023

 

 

2022

 

 

2023

 

 

 

 

 

 

 

 

 

 

 

(Unaudited)

Operations and support

 

$

40

 

$

52

 

$

154

 

$

184

Sales and marketing

 

 

26

 

 

22

 

 

102

 

 

96

Research and development

 

 

295

 

 

298

 

 

1,060

 

 

1,215

General and administrative

 

 

121

 

 

97

 

 

477

 

 

440

Total

 

$

482

 

$

469

 

$

1,793

 

$

1,935

Key Terms for Our Key Metrics and Non-GAAP Financial Measures

Adjusted EBITDA. Adjusted EBITDA is a Non-GAAP measure. We define Adjusted EBITDA as net income (loss), excluding (i) income (loss) from discontinued operations, net of income taxes, (ii) net income (loss) attributable to non-controlling interests, net of tax, (iii) provision for (benefit from) income taxes, (iv) income (loss) from equity method investments, (v) interest expense, (vi) other income (expense), net, (vii) depreciation and amortization, (viii) stock-based compensation expense, (ix) certain legal, tax, and regulatory reserve changes and settlements, (x) goodwill and asset impairments/loss on sale of assets, (xi) acquisition, financing and divestitures related expenses, (xii) restructuring and related charges and (xiii) other items not indicative of our ongoing operating performance.

Adjusted EBITDA margin. We define Adjusted EBITDA margin as Adjusted EBITDA as a percentage of Gross Bookings. We define incremental margin as the change in Adjusted EBITDA between periods divided by the change in Gross Bookings between periods.

Aggregate Driver and Courier Earnings. Aggregate Driver and Courier Earnings refers to fares (net of Uber service fee, taxes and tolls), tips, Driver incentives and Driver benefits.

Driver(s). The term Driver collectively refers to independent providers of ride or delivery services who use our platform to provide Mobility or Delivery services, or both.

Driver or restaurant earnings. Driver or restaurant earnings refer to the net portion of the fare or the net portion of the order value that a Driver or a restaurant retains, respectively. These are generally included in aggregate Drivers and Couriers earnings.

Driver incentives. Driver incentives refer to payments that we make to Drivers, which are separate from and in addition to the Driver's portion of the fare paid by the consumer after we retain our service fee to Drivers. For example, Driver incentives could include payments we make to Drivers should they choose to take advantage of an incentive offer and complete a consecutive number of trips or a cumulative number of trips on the platform over a defined period of time. Driver incentives are recorded as a reduction of revenue or cost of revenue, exclusive of depreciation and amortization. These incentives are generally included in aggregate Drivers and Couriers earnings.

Free cash flow. Free cash flow is a Non-GAAP measure. We define free cash flow as net cash flows from operating activities less capital expenditures.

Gross Bookings. We define Gross Bookings as the total dollar value, including any applicable taxes, tolls, and fees, of: Mobility rides; Delivery orders (in each case without any adjustment for consumer discounts and refunds); Driver and Merchant earnings; Driver incentives and Freight Revenue. Gross Bookings do not include tips earned by Drivers. Gross Bookings are an indication of the scale of our current platform, which ultimately impacts revenue.

Monthly Active Platform Consumers ("MAPCs"). We define MAPCs as the number of unique consumers who completed a Mobility ride or received a Delivery order on our platform at least once in a given month, averaged over each month in the quarter. While a unique consumer can use multiple product offerings on our platform in a given month, that unique consumer is counted as only one MAPC.

Revenue Margin. We define Revenue Margin as revenue as a percentage of Gross Bookings.

Segment Adjusted EBITDA. We define each segment's Adjusted EBITDA as segment revenue less the following direct costs and expenses of that segment: (i) cost of revenue, exclusive of depreciation and amortization; (ii) operations and support; (iii) sales and marketing; (iv) research and development; and (v) general and administrative. Segment Adjusted EBITDA also reflects any applicable exclusions from Adjusted EBITDA.

Segment Adjusted EBITDA margin. We define each segment's Adjusted EBITDA margin as the segment Adjusted EBITDA as a percentage of segment Gross Bookings.

Trips. We define Trips as the number of completed consumer Mobility rides and Delivery orders in a given period. For example, an UberX Share ride with three paying consumers represents three unique Trips, whereas an UberX ride with three passengers represents one Trip. We believe that Trips are a useful metric to measure the scale and usage of our platform.

Definitions of Non-GAAP Measures

We collect and analyze operating and financial data to evaluate the health of our business and assess our performance. In addition to revenue, net income (loss), income (loss) from operations, and other results under GAAP, we use: Adjusted EBITDA; Free cash flow; Non-GAAP Costs and Operating Expenses; as well as, revenue growth rates in constant currency, which are described below, to evaluate our business. We have included these non-GAAP financial measures because they are key measures used by our management to evaluate our operating performance. Accordingly, we believe that these non-GAAP financial measures provide useful information to investors and others in understanding and evaluating our operating results in the same manner as our management team and board of directors. Our calculation of these non-GAAP financial measures may differ from similarly-titled non-GAAP measures, if any, reported by our peer companies. These non-GAAP financial measures should not be considered in isolation from, or as substitutes for, financial information prepared in accordance with GAAP.

Adjusted EBITDA

We define Adjusted EBITDA as net income (loss), excluding (i) income (loss) from discontinued operations, net of income taxes, (ii) net income (loss) attributable to non-controlling interests, net of tax, (iii) provision for (benefit from) income taxes, (iv) income (loss) from equity method investments, (v) interest expense, (vi) other income (expense), net, (vii) depreciation and amortization, (viii) stock-based compensation expense, (ix) certain legal, tax, and regulatory reserve changes and settlements, (x) goodwill and asset impairments/loss on sale of assets, (xi) acquisition, financing and divestitures related expenses, (xii) restructuring and related charges and (xiii) other items not indicative of our ongoing operating performance.

We have included Adjusted EBITDA because it is a key measure used by our management team to evaluate our operating performance, generate future operating plans, and make strategic decisions, including those relating to operating expenses. Accordingly, we believe that Adjusted EBITDA provides useful information to investors and others in understanding and evaluating our operating results in the same manner as our management team and board of directors. In addition, it provides a useful measure for period-to-period comparisons of our business, as it removes the effect of certain non-cash expenses and certain variable charges.

Legal, tax, and regulatory reserve changes and settlements

Legal, tax, and regulatory reserve changes and settlements are primarily related to certain significant legal proceedings or governmental investigations related to worker classification definitions, or tax agencies challenging our non-income tax positions. These matters have limited precedent, cover extended historical periods and are unpredictable in both magnitude and timing, therefore are distinct from normal, recurring legal, tax and regulatory matters and related expenses incurred in our ongoing operating performance.

Limitations of Non-GAAP Financial Measures and Adjusted EBITDA Reconciliation

Adjusted EBITDA has limitations as a financial measure, should be considered as supplemental in nature, and is not meant as a substitute for the related financial information prepared in accordance with GAAP. These limitations include the following:

Constant Currency

We compare the percent change in our current period results from the corresponding prior period using constant currency disclosure. We present constant currency growth rate information to provide a framework for assessing how our underlying revenue performed excluding the effect of foreign currency rate fluctuations. We calculate constant currency by translating our current period financial results using the corresponding prior period's monthly exchange rates for our transacted currencies other than the U.S. dollar.

Free Cash Flow

We define free cash flow as net cash flows from operating activities less capital expenditures.

Non-GAAP Costs and Operating Expenses

Costs and operating expenses are defined as: cost of revenue, exclusive of depreciation and amortization; operations and support; sales and marketing; research and development; and general and administrative expenses. We define Non-GAAP costs and operating expenses as costs and operating expenses excluding: (i) stock-based compensation expense, (ii) certain legal, tax, and regulatory reserve changes and settlements, (iii) goodwill and asset impairments/loss on sale of assets, (iv) acquisition, financing and divestiture related expenses, (v) restructuring and related charges and (vi) other items not indicative of our ongoing operating performance.

Reconciliations of Non-GAAP Measures

Adjusted EBITDA

The following table presents reconciliations of Adjusted EBITDA to the most directly comparable GAAP financial measure for each of the periods indicated:

 

 

Three Months Ended December 31,

 

Year Ended December 31,

(In millions)

 

 

2022

 

 

 

2023

 

 

 

2022

 

 

 

2023

 

 

 

 

 

 

 

 

 

 

Adjusted EBITDA reconciliation:

 

 

 

 

 

 

 

 

Net income (loss) attributable to Uber Technologies, Inc.

 

$

595

 

 

$

1,429

 

 

$

(9,141

)

 

$

1,887

 

Add (deduct):

 

 

 

 

 

 

 

 

Net income attributable to non-controlling interests, net of tax

 

 

5

 

 

 

271

 

 

 

3

 

 

 

269

 

Provision for (benefit from) income taxes

 

 

(84

)

 

 

133

 

 

 

(181

)

 

 

213

 

Income from equity method investments

 

 

(42

)

 

 

(5

)

 

 

(107

)

 

 

(48

)

Interest expense

 

 

151

 

 

 

155

 

 

 

565

 

 

 

633

 

Other (income) expense, net

 

 

(767

)

 

 

(1,331

)

 

 

7,029

 

 

 

(1,844

)

Depreciation and amortization

 

 

223

 

 

 

203

 

 

 

947

 

 

 

823

 

Stock-based compensation expense

 

 

482

 

 

 

469

 

 

 

1,793

 

 

 

1,935

 

Legal, tax, and regulatory reserve changes and settlements

 

 

81

 

 

 

(73

)

 

 

732

 

 

 

9

 

Goodwill and asset impairments/loss on sale of assets, net

 

 

8

 

 

 

(1

)

 

 

25

 

 

 

84

 

Acquisition, financing and divestitures related expenses

 

 

7

 

 

 

9

 

 

 

46

 

 

 

36

 

Accelerated lease costs related to cease-use of ROU assets

 

 

6

 

 

 

?

 

 

 

6

 

 

 

?

 

COVID-19 response initiatives

 

 

?

 

 

 

?

 

 

 

1

 

 

 

?

 

Loss on lease arrangement, net

 

 

?

 

 

 

8

 

 

 

7

 

 

 

4

 

Restructuring and related charges

 

 

?

 

 

 

16

 

 

 

2

 

 

 

51

 

Mass arbitration fees, net

 

 

?

 

 

 

?

 

 

 

(14

)

 

 

?

 

Adjusted EBITDA

 

$

665

 

 

$

1,283

 

 

$

1,713

 

 

$

4,052

 

Free Cash Flow

The following table presents reconciliations of free cash flow to the most directly comparable GAAP financial measure for each of the periods indicated:

 

 

Three Months Ended December 31,

 

Year Ended December 31,

(In millions)

 

 

2022

 

 

 

2023

 

 

 

2022

 

 

 

2023

 

Free cash flow reconciliation:

 

 

 

 

 

 

 

 

Net cash provided by (used in) operating activities

 

$

(244

)

 

$

823

 

 

$

642

 

 

$

3,585

 

Purchases of property and equipment

 

 

(59

)

 

 

(55

)

 

 

(252

)

 

 

(223

)

Free cash flow

 

$

(303

)

 

$

768

 

 

$

390

 

 

$

3,362

 

Non-GAAP Costs and Operating Expenses

The following tables present reconciliations of Non-GAAP costs and operating expenses to the most directly comparable GAAP financial measure for each of the periods indicated:

 

 

Three Months Ended

(In millions)

 

December 31, 2022

 

September 30, 2023

 

December 31, 2023

Non-GAAP Cost of revenue exclusive of depreciation and amortization reconciliation:

 

 

 

 

 

 

GAAP Cost of revenue exclusive of depreciation and amortization

 

$

5,307

 

$

5,626

 

$

6,057

 

Restructuring and related charges

 

 

?

 

 

?

 

 

(9

)

Legal, tax, and regulatory reserve changes and settlements

 

 

?

 

 

13

 

 

?

 

Non-GAAP Cost of revenue exclusive of depreciation and amortization

 

$

5,307

 

$

5,639

 

$

6,048

 

 

 

Three Months Ended

(In millions)

 

December 31, 2022

 

September 30, 2023

 

December 31, 2023

Non-GAAP Operating Expenses

 

 

 

 

 

 

Non-GAAP Operations and support reconciliation:

 

 

 

 

 

 

GAAP Operations and support

 

$

605

 

 

$

683

 

 

$

702

 

Restructuring and related charges

 

 

?

 

 

 

(2

)

 

 

(3

)

Acquisition, financing and divestitures related expenses

 

 

(1

)

 

 

(2

)

 

 

(1

)

Stock-based compensation expense

 

 

(40

)

 

 

(49

)

 

 

(52

)

Non-GAAP Operations and support

 

$

564

 

 

$

630

 

 

$

646

 

 

 

 

 

 

 

 

Non-GAAP Sales and marketing reconciliation:

 

 

 

 

 

 

GAAP Sales and marketing

 

$

1,122

 

 

$

941

 

 

$

935

 

Restructuring and related charges

 

 

?

 

 

 

(1

)

 

 

(1

)

Stock-based compensation expense

 

 

(26

)

 

 

(24

)

 

 

(22

)

Non-GAAP Sales and marketing

 

$

1,096

 

 

$

916

 

 

$

912

 

 

 

 

 

 

 

 

Non-GAAP Research and development reconciliation:

 

 

 

 

 

 

GAAP Research and development

 

$

747

 

 

$

797

 

 

$

784

 

Restructuring and related charges

 

 

?

 

 

 

?

 

 

 

(3

)

Stock-based compensation expense

 

 

(295

)

 

 

(310

)

 

 

(298

)

Non-GAAP Research and development

 

$

452

 

 

$

487

 

 

$

483

 

 

 

 

 

 

 

 

Non-GAAP General and administrative reconciliation:

 

 

 

 

 

 

GAAP General and administrative

 

$

745

 

 

$

646

 

 

$

603

 

Legal, tax, and regulatory reserve changes and settlements

 

 

(81

)

 

 

?

 

 

 

73

 

Goodwill and asset impairments/loss on sale of assets

 

 

(8

)

 

 

(2

)

 

 

1

 

Restructuring and related charges

 

 

?

 

 

 

(1

)

 

 

?

 

Acquisition, financing and divestitures related expenses

 

 

(6

)

 

 

(7

)

 

 

(8

)

Accelerated lease costs related to cease-use of ROU assets

 

 

(6

)

 

 

?

 

 

 

?

 

Gain (loss) on lease arrangements, net

 

 

?

 

 

 

1

 

 

 

(8

)

Stock-based compensation expense

 

 

(121

)

 

 

(109

)

 

 

(97

)

Non-GAAP General and administrative

 

$

523

 

 

$

528

 

 

$

564

 

 


These press releases may also interest you

at 07:20
Mobileye announced today it has delivered the first production-candidate hardware and software of its new EyeQtm6 Lite system-on-chip to its customers, which will power advanced driver-assistance systems in multiple models launching this year. This...

at 07:15
POET Technologies Inc. ("POET" or the "Company") , the designer and developer of the POET Optical Interposertm and Photonic Integrated Circuits (PICs) for the data center, telecommunication and AI markets, today announced that it has augmented its...

at 07:15
Envoy, the only integrated workplace platform that connects people, spaces, and data, today announced dynamic space recommendations and data-enriched workplace mapping. These new capabilities will provide contextual space utilization insights and...

at 07:15
Univar Solutions LLC ("Univar Solutions" or "the Company"), a leading global solutions provider to users of specialty ingredients and chemicals, announced today that the Company has executed a Letter of Intent with ClearShift LLC ("ClearShift"), a...

at 07:15
Today, Peraton announced its support of the Allowing Contractors to Choose Employees for Select Skills ("ACCESS") Act. Spearheaded by Representatives Nancy Mace and Raja Krishnamoorthi, this legislation would amend Title 41 and remove the...

at 07:10
CDW Corporation , a leading multi-brand provider of information technology solutions to business, government, education and healthcare customers in the United States, the United Kingdom and Canada, today announced that it will host a webcast...



News published on and distributed by: