UBER Q2 2024 Earnings

Call Details

• Call Title: Uber Technologies, Inc. Q2 2024 Earnings Call
• Date: August 6, 2024 at 12:00 PM UTC
• Management Team:
  • Dara Khosrowshahi (Chief Executive Officer)
  • Prashanth Mahendra-Rajah (Chief Financial Officer)
  • Deepa Subramanian (Vice President, Investor Relations)

Call Summary

Financial Performance

• Gross bookings grew 21% on a constant currency basis in Q2 2024.
• Adjusted EBITDA increased 71% year on year for the quarter on a non-GAAP basis.
• The company reported record quarterly GAAP operating income but did not disclose the dollar amount on the call.
• Audience expanded 14% year on year while frequency grew 6% year on year in the quarter.
• The platform had 7.4 million drivers and couriers globally as of Q2 2024.
• Delivery incremental margins were 10% for Q2 2024 on a marginal basis.
• Delivery EBITDA improved by 25 basis points sequentially despite grocery growing faster than core delivery.
• Advertising is running above a $1B run rate in revenue for the company.

Guidance

• For Q3 2024, mobility is expected to grow in the mid-20s percent on a constant currency basis (guidance).
• The previously disclosed three-year framework targets mid- to high-teens gross bookings growth with 30s-to-40% adjusted EBITDA margins over the next three years (guidance reiterated).
• The company views achieving greater than 2% of delivery gross bookings from advertising as achievable in time (stated target, not formal numerical guidance).
• Grocery and retail are described as having a clear path to EBITDA profitability, but no specific timeline or dollar-level targets were provided.
• The company reiterated that AV commercial economics are not expected to be substantially profitable in the next five to ten years (forward-looking guidance on AV economics).
• No update was given to previously published reconciliations of GAAP to non-GAAP measures, and non-GAAP measures continue to be used for adjusted EBITDA commentary.