UBER Q2 2021 Earnings

Call Details

• Call Title: Uber Technologies, Inc. Q2 2021 Earnings Call
• Date: August 4, 2021 at 8:30 PM UTC
• Management Team:
  • Dara Khosrowshahi (Chief Executive Officer)
  • Nelson Chai (Chief Financial Officer)
  • Balaji Krishnamurthy (Head of Investor Relations)

Call Summary

Financial Performance

• Mobility gross bookings were at a $39B run rate in July with gross bookings up 6% month over month and 83% recovered versus July 2019.
• Delivery gross bookings were at a $51B run rate in July with gross bookings up 4% month over month, up 56% year over year, and up over 260% versus July 2019.
• Total company gross bookings guidance for Q3 is $22 to $24B and total company adjusted EBITDA is expected to be better than a loss of $100M.
• The company expects to achieve total company EBITDA profitability in Q4 of 2021.
• Equity stakes portfolio was carried at nearly $15B at quarter end, representing over $7 per Uber share on that carrying value.
• July trends attributed about $200M of EBITDA from volume growth and about $150M of EBITDA from take-rate improvements based on July run rates.

Guidance

• The company provided Q3 guidance of $22 to $24B total company gross bookings and adjusted EBITDA better than a loss of $100M.
• The company reiterated an expectation to be EBITDA profitable at the total company level in Q4 2021.
• Guidance is explicitly near-term and based on observed July 2021 trends and a degree of uncertainty related to COVID variants.
• Nelson emphasized that Q3 guidance assumes take rates and margin levels stay at July levels and volume continues to recover.
• Management told investors it will return to providing forward-looking annual targets after navigating recovery uncertainty.
• No update was provided to pre-COVID long-term margin targets during the call.