UBER Q4 2019 Earnings

Call Details

• Call Title: Uber Technologies, Inc. Q4 2019 Earnings Call
• Date: February 6, 2020 9:30 PM UTC
• Management Team:
  • Dara Khosrowshahi (Chief Executive Officer)
  • Nelson Chai (Chief Financial Officer)
  • Emily Reuter (Investor Relations)
  • Ken Schofield

Call Summary

Financial Performance

• Company GAAP revenue for Q4 2019 was $4.1B, up 37% year over year.
• Total company gross bookings for Q4 2019 were $18.1B, up 28% year over year and up 30% on a constant currency basis.
• Adjusted net revenue (ANR) for Q4 2019 was $3.7B, up 43% on a constant currency basis, with an ANR take rate of 20.6%, up 190 bps year over year.
• Total company non-GAAP adjusted EBITDA loss for Q4 2019 was $615M and is expected to shrink starting in Q2 2020.
• Rides segment delivered $742M in rides-adjusted EBITDA in Q4 2019, representing 24.4% of rides ANR and a 240 bps quarter-over-quarter margin improvement.
• Eats segment gross bookings were $4.4B in Q4 2019, up 73% on a constant currency basis, while Eats ANR was $415M and Eats adjusted EBITDA was a loss of $461M, or negative 111% of ANR.
• Company ended Q4 2019 with approximately $11.3B in cash and short-term investments.

Guidance

• 2020 reported gross bookings are expected to be $75-$80B, reflecting constant currency growth of 17% to 25% and reported growth of 15% to 23% with an FX headwind of roughly 150 bps.
• 2020 adjusted net revenue (ANR) is expected to be $16-$17B, reflecting constant currency growth of 26% to 34% and reported growth of 24% to 32%, implying roughly a 150 bps year-on-year take rate improvement.
• 2020 adjusted EBITDA is expected to be a loss of $1.45B to $1.25B and the company expects Q4 2020 to be the first EBITDA positive quarter.
• Q1 2020 adjusted EBITDA loss is expected to be similar to Q4 2019 levels, reflecting peak Eats investment in Q4 and Q1.
• Q1 2020 stock-based compensation is expected to be $300-$350M, and the Q1 2020 basic and diluted weighted average share count is expected to be 1.725B to 1.75B.
• Company expects gross bookings to modestly decline sequentially in Q1 2020, primarily due to declines in Shared Rides and the divestiture of Eats India.