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Can Uber Ever Deliver? Even After 4Q Cost Cuts, Uber Lost $4.5B in 2017

52 pointsby Cbasedlifeformover 7 years ago

7 comments

Animatsover 7 years ago
<i>&quot;Uber released new financial data this week, showing full year 2017 GAAP operating losses of $4.5 billion, and an operating margin of negative 61%.&quot;</i><p>Finally, Generally Accepted Accounting Principles numbers from Uber. And they&#x27;re awful. Lots of startups whine about having to produce GAAP numbers (all US public companies have to) because they can&#x27;t exclude &quot;extraordinary expenses&quot;. But GAAP numbers are real, not &quot;earnings before all the bad stuff&quot; numbers.<p>Right now, Softbank is keeping Uber alive. They put in $10 billion at the end of last year.[1] Softbank is now Uber&#x27;s largest shareholder.<p>[1] <a href="https:&#x2F;&#x2F;www.crunchbase.com&#x2F;organization&#x2F;uber&#x2F;funding_rounds&#x2F;funding_rounds_list" rel="nofollow">https:&#x2F;&#x2F;www.crunchbase.com&#x2F;organization&#x2F;uber&#x2F;funding_rounds&#x2F;...</a>
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matte_blackover 7 years ago
The only thing Uber can ever deliver is people and things to their final destinations. When Uber shuts down and goes out of business I as a consumer will just roll into the next service, and will not shed even a single tear for all who invested in Uber.<p>Sorry, but thanks for all the cheap rides.
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RandallBrownover 7 years ago
How are Lyft&#x27;s financials? Are they losing money just as fast or what? If they aren&#x27;t, seems like the answer is that yes, Uber can deliver.
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Havocover 7 years ago
Giving things away at &lt;cost is good for growth and not much else.
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albertgoeswoofover 7 years ago
The main value prop for Uber hasn’t changed for quite some time, probably not much since UberX, the innovation there is pretty much done.<p>This puts Governments in the perfect position to disrupt Uber, if they build their own version, feature for feature (let’s face it, it’s a complex app but not that hard to copy) and mandate it on their already regulated taxis &#x2F; ban uber, their user acquisition costs and marketing costs will be almost zero. They can run it without making a profit and keep fares lower or close to the current Uber position. Win win for everyone
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sgwealtiover 7 years ago
In the claim in the article that they&#x27;re inflating top line revenue growth, is the argument that they&#x27;re selling a $100 ride but giving a $20 discount and calling it $100 in top line revenue?
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losteverythingover 7 years ago
Help me<p>For every 100,<p>Driver gets x Uber cut is y X+y = z<p>Z ÷??? = 100<p>Where does the 100 go?