Uber loss narrows as it hopes to rev shared rides

SAN FRANCISCO: Uber on Wednesday reported that it narrowed its quarterly loss by selling its self-driving tech unit and said its pandemic-battered ride share business is starting to regain speed.

The San Francisco-based company said its net loss in the recently ended quarter shrank to $108 million, with help from the sale of its automated driving unit for $1.6 billion. A year ago, Uber's loss was a staggering $2.9 billion.

Overall bookings at the company grew 24 percent to $19.5 billion, driven by strong growth in its Uber Eats delivery unit.

The mobile unit that includes smartphone-summoned car rides saw gross bookings of $6.8 billion, down some 38 percent from the same period last year, the earnings report showed.

Overall bookings at Uber topped expectations, with ridership improving during the quarter, according to chief financial officer Nelson Chai.

"Uber is starting to fire on all cylinders, as more consumers are riding with us again while continuing to use our expanding delivery offerings," Uber chief executive Dara Khosrowshahi said in the earnings release.

Uber shares dove more than 4 percent in after-market trades that followed release of the earnings figures.

"As we move out of the depths of the pandemic, Uber's business is on a clear path to recovery," said eMarketer analyst Eric Haggstrom.

"However, as countries emerge from lockdowns, consumer demand as well as driver supply are major for their delivery businesses."