Uber bounces back on Omicron and raises 1Q advice


Uber raised its first-quarter guidance on Monday (March 7) and said its ride-sharing business was rebounding from disruptions from the omicron variant, The Wall Street Journal reported.

The ride-sharing giant raised its forecast for adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) from $100-130 million to $130-150 million.

This metric shows, according to the company, that operations are moving towards Uber’s profitability.

The WSJ wrote that Uber saw increased ride-sharing and delivery business compared to the last quarter of 2021, when omicron struck and halted operations. The report notes that gross bookings for airports increased by 50% at the end of February compared to the previous month, and the company also believes that the next travel season will be strong.

The report notes that transporting people to and from airports is a large part of Uber’s business, with 11% of the company’s bookings from 2021 involving trips to the airport, compared to 15% at from 2019.

CEO Dara Khosrowshahi said it showed the strength of the company.

“We’re seeing healthy and growing demand across all use cases, which shows how eager consumers are to start again,” he said.

Read more: Uber plans to expand German delivery service to 70 cities this year

PYMNTS wrote recently that Uber has expanded its delivery business in Germany, adding 70 new cities by the end of the year.

This will be an improvement over the current list of 14 cities.

Demand was the reason for the growth, according to Eve Henrikson, region general manager for Europe, the Middle East and Africa, which gave the company the green light to continue growing.

According to Henrikson, Uber Eats was able to provide restaurants with a network of couriers even though they didn’t have a fleet. This contrasts with rival Just Eat Takeaway, which relies on companies having their own delivery people.



On: Forty-two percent of US consumers are more likely to open accounts with financial institutions that facilitate automatic sharing of their bank details upon sign-up. The PYMNTS study Account opening and loan management in the digital environmentsurveyed 2,300 consumers to explore how FIs can leverage open banking to engage customers and create a better account opening experience.


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