Share prices tanked for Uber on Thursday during after-hours trading following the rideshare giant’s release of its quarterly earnings report, which revealed misses on both revenue and earnings per share.
That tumble marked a sharp contrast from earlier in the day when Uber ($UBER) shares had been trading upwards of 8 percent.
Uber posted $2.87 billion in revenues, compared to the $3.36 billion that analysts had expected. The company also reported $4.72 in losses per share, more than a dollar off of analysts’ expectations of just $3.12.
In a press release CEO Dara Khosrowshahi touted a rise in trips and gross bookings, and in a letter to investors, executives pointed to other positives, including the expansion of its new higher-end UberX service, Uber Comfort, further progress in the development of self-driving technology, and growing customer acquisition in markets like Argentina and Germany.
The company also highlighted the expansion of Uber Eats, which remains one of the most promising areas of growth for the rideshare company's businesses. That service saw 72 percent growth in revenues over the same quarter last year.
The number of consumers that used Uber’s delivery service each month is also up 140 percent, year-over-year.
“That business is extremely competitive, and I don’t see any indication of rationalization whatsoever,” said John Jannarone, the editor of IPO-Edge, though he warned that the company has not yet differentiated itself from other food delivery services.
While both Lyft ($LYFT) and Uber had bumpy starts following their public offerings earlier this year, the former saw its share prices level off following a generally positive earnings report release on Wednesday.
A big-screen adaptation of the anime “Chainsaw Man” has topped the North American box office, beating a Springsteen biopic and “Black Phone 2.” The movie earned $17.25 million in the U.S. and Canada this weekend. “Black Phone 2” fell to second place with $13 million. Two new releases, the rom-com “Regretting You” and “Springsteen — Deliver Me From Nowhere,” earned $12.85 million and $9.1 million, respectively. “Chainsaw Man – The Movie: Reze Arc” is based on the manga series about a demon hunter. It's another win for Sony-owned Crunchyroll, which also released a “Demon Slayer” film last month that debuted to a record $70 million.
The Federal Aviation Administration says flights departing for Los Angeles International Airport were halted briefly due to a staffing shortage at a Southern California air traffic facility. The FAA issued a temporary ground stop at one of the world’s busiest airports on Sunday morning soon after U.S. Transportation Secretary Sean Duffy predicted that travelers would see more flights delayed as the nation’s air traffic controllers work without pay during the federal government shutdown. The hold on planes taking off for LAX lasted an hour and 45 minutes and didn't appear to cause continued problems. The FAA said staffing shortages also delayed planes headed to Washington, Chicago and Newark, New Jersey on Sunday.
Boeing workers at three Midwest plants where military aircraft and weapons are developed have voted to reject the company’s latest contract offer and to continue a strike that started almost three months ago. The strike by about 3,200 machinists at the plants in the Missouri cities of St. Louis and St. Charles, and in Mascoutah, Illinois, is smaller in scale than a walkout last year by 33,000 Boeing workers who assemble commercial jetliners. The president of the International Association of Machinists says Sunday's outcome shows Boeing hasn't adequately addressed wages and retirement benefits. Boeing says Sunday's vote was close with 51% of union members opposing the revised offer.
The stunning indictment that led to the arrest of more than 30 people — including Miami Heat guard Terry Rozier and other NBA figures — has drawn new scrutiny of the booming business of sports betting in the U.S. The multibillion-dollar industry has made it easy for sports fans — and even some players — to wager on everything from the outcome of games to that of a single play with just a few taps of a cellphone. But regulating the rapidly-growing industry has proven to be a challenge. Professional sports leagues’ own role in promoting gambling has also raised eyebrows.
Tesla, the car company run by Elon Musk, reported Wednesday that it sold more vehicles in the past three months after boycotts hit hard earlier this year, but profits still fell sharply. Third-quarter earnings fell to $1.4 billion, from $2.2 billion a year earlier. Excluding charges, per share profit of 50 cents came in below analysts' estimate. Tesla shares fell 3.5% in after-hours trading. Musk said the company's robotaxi service, which is available in Austin, Texas, and San Francisco, will roll out to as many as 10 other metro areas by the end of the year.
Starbucks’ AI barista aims to speed service and improve experience. Nick Lichtenberg, Fortune Business Editor, explains its impact on workers and customers.
As Big Tech reports Q3 earnings, investors await proof that massive AI and cloud investments from Meta, Apple, Microsoft, and Alphabet are driving real growth.
Eric Trump joins us to discuss American Bitcoin’s mission, market strategy, and why he believes the U.S. must lead the next era of digital currency innovation.
