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Definitely not $2B "Profit" since they would have to subtract all other overhead costs like salaries etc. I think the article mentions that actual profit might
by rajivtiru 11y ago
Definitely not $2B "Profit" since they would have to subtract all other overhead costs like salaries etc.
I think the article mentions that actual profit might be negative.
- GauntletWizard 11y agoA business can report one business unit (The bit that hires drivers and sends them out) is 'profitable', and also have an overall in-the-red because other business units aren't. I've not read the presentation, but it may be that Uber is trying to show their engineering costs and operations costs as two business units to better represent how the business scales (Engineering costs go up only logarithmically, while operations go 1:1 with revenue).
- pbreit 11y agoIf Uber normalized its growth investing, it would continue to grow and be radically profitable.