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> In 2016, SolarCity lost a full, solid, $Billion. Amateurs. Uber does that every quarter.
by FPGAhacker 7y ago
> In 2016, SolarCity lost a full, solid, $Billion.
Amateurs. Uber does that every quarter.
- dehrmann 7y agoI'd love to see Uber's projections on what fare chances to do the demand curve. How much would they have to raise fares (accounting for decreased demand) to break even? If it's <5%, they're actually in a pretty good spot.
- dragontamer 7y agoUber doesn't have a yearly 10k yet. But their 10Q (quarterly) data for first-half (aka: 1H) 2019 is as follows: $6.2 Billion in revenue, $(6.2) Billion in net loss. So Uber roughly, has to increase prices by 100% to break even. http://d18rn0p25nwr6d.cloudfront.net/CIK-0001543151/bb9ba252-3fd3-4633-b57e-2de50831f71d.pdf#FY2019Q2FINANCIALSTATE_HTM_SA42F159CECEB567FB9E80911DB0CB0E7 http://d18rn0p25nwr6d.cloudfront.net/CIK-0001543151/bb9ba252... I wish I were kidding. But that's what the data says. Page 5 of the above link, Revenue: $6,265 and Net (6,262) if you want to ctrl-F things. Uber spent $6 Billion more this half-year on Cost-of-Sales, R&D, and Administrative costs (compared to the 1H 2018). ------------ Operational income / Operational Margins are negative as well. Sooo... yeah... somewhere around 100% price increases across the board for Uber to break even. Realistically, Uber will only become profitable if they cut back on marketing (aka: giving incentives to drivers), raise rates, and cut back on their R&D spending (all this self-driving car nonsense... Uber isn't rich enough to fund such a project).