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Uber's Q3 revenues expected to rise backed by mobility business and online orders

EditorHari Govind
Published 11/02/2023, 05:04 PM
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UBER
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Uber Technologies (NYSE:UBER) is set to release its Q3 2023 results on November 7, following its track record of outperforming Zacks Consensus Estimates in three out of the past four quarters by an average of 474.82%. The estimated revenue for the quarter stands at $9.47 billion, marking a 13.47% year-over-year increase.

This projected growth is primarily driven by the robustness in Uber's Mobility business and a surge in online order volumes. Mobility revenues are anticipated to reach $4,936 million, up by 29.1% YoY. Concurrently, Delivery revenues are projected at $3,132 million, indicating a 13.1% YoY increase.

However, Uber's Freight revenues may face a decline of 23.3% to $1,343 million due to challenging market conditions and lower revenue per load. The company's bottom line for Q3 could also be affected by high sales and marketing expenses along with driver incentive costs.

Despite these challenges, the earnings estimate for this quarter has remained unchanged over the past 90 days. This trend suggests that while there are concerns about certain cost factors, the overall outlook for Uber remains consistent.

InvestingPro Insights

In line with the recent trends and real-time data from InvestingPro, Uber, with a market cap of $89.61B, has been a prominent player in the Ground Transportation industry. The company's revenue growth has been slowing down, with a 37% growth over the last twelve months as of Q2 2023, and a quarterly growth of 14.33% in Q2 2023. Uber's P/E ratio stands at -232.30, reflecting its current unprofitability.

InvestingPro Tips indicate that Uber's net income is expected to grow this year, despite not being profitable over the last twelve months. The company operates with a moderate level of debt and is trading at a high EBITDA valuation multiple. Furthermore, it's worth noting that Uber has seen a large price uptick over the last six months, with a 32.19% return.

While the company does not pay dividends to its shareholders, analysts predict that Uber will turn profitable this year. In light of these insights, readers might find it valuable to keep an eye on Uber's performance in the upcoming quarters. For more detailed tips and data, consider exploring InvestingPro's comprehensive platform, which currently features over 20 additional tips for Uber.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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