Uber Sees Strong Trip Growth But Warns About US Rideshare Pressure In 2025 Outlook

Uber Technologies, Inc UBER reported fiscal first-quarter 2025 results on Wednesday. The company reported a quarterly revenue growth of 14% year-on-year to $11.53 billion, missing the analyst consensus estimate of $11.62 billion.

Uber reported adjusted EPS of 83 cents, which beat the analyst consensus estimate of 50 cents.

The stock price declined after the report.

Also Read: Ahead Of Uber Earnings, Analyst Raises Forecast

Revenue from Mobility grew to $6.5 billion, up 15% Y/Y. Delivery was $3.78 billion, up 18%, and Freight was $1.26 billion, down 2% Y/Y.

Gross Bookings grew 14% Y/Y to $42.82 billion. Mobility Gross Bookings of $21.18 billion, up 13% Y/Y; Delivery Gross Bookings of $20.38 billion, up 15%; and Freight Gross Bookings of $1.26 billion, down 2% Y/Y.

Trips grew 18% Y/Y to 3.04 billion. Uber's Monthly Active Platform Consumers reached 170 million, up 14% Y/Y.

Uber clocked an Adjusted EBITDA of $1.87 billion, up 35% Y/Y, driven by Mobility. The Adjusted EBITDA margin as a percentage of Gross Bookings was 4.4%, up from 3.7% Y/Y.

Uber held $6.0 billion in unrestricted cash and equivalents and generated $2.3 billion in free cash flow as of March 31, 2025.

CEO Dara Khosrowshahi, CEO said it continue to build towards the future, including five new autonomous vehicle announcements in just the last week.

CFO Prashanth Mahendra-Rajah told Bloomberg that the strengthening of the U.S. dollar against Brazilian, Mexican and Argentine currencies created an "outsized headwind" for its rides business.

Uber's U.S. rideshare business, which accounts for more than half of its profitability, was hit by the Los Angeles fires and extreme winter weather. Rising insurance costs took a toll in some of its markets. Additionally, U.S. consumer confidence was affected by concerns over higher prices and the economic outlook amid the Trump administration's escalating tariffs.

Outlook: Uber expects fiscal second-quarter 2025 gross bookings of $45.75 billion-$47.25 billion and adjusted EBITDA of $2.02 billion-$2.12 billion.

Price Action: UBER stock is down 3.40% at $82.91 premarket at the last check on Wednesday.

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