Home Business NewsBusiness THE BIG LOSS: Uber lost over $1bn in first half of 2016

THE BIG LOSS: Uber lost over $1bn in first half of 2016

26th Aug 16 9:38 am

Tech unicorn stumbles

Ride-hailing tech firm Uber booked a $1.27bn loss before interest, taxes, depreciation and amortization (Ebitda) in the first six months of 2016.

According to Bloomberg, the losses were blamed on subsidies Uber gave its drivers.

The company lost about $520m in the first quarter of the year following a $2bn loss in 2015.

It also lost out on another $750m in the second quarter. However, Uber net revenue was up to about $1.1bn in the second quarter from $960m in the first quarter. Also,bookings stood at over $5bn from more than $3.8bn in the prior quarter.

The news comes as Uber launched an advanced booking service for passengers in London meaning journeys can be booked up to 30 days in advance.

Tom Elvidge from Uber said: “Instead of tapping a button a few minutes before you need your ride, you can now tell us hours or days in advance when you need a car and we’ll do it for you.

“Many of our riders, especially business customers, have asked us to introduce this feature and we’re really excited to bring it to Londoners.”

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