Uber issued earnings forecast that fell short of consensus estimates while second-quarter profit was in line with expectations.
On Wednesday, the company’s shares plummeted about 3.5% after the release.
According to LSEG, Uber sees bookings of $59.25 billion at the middle of its range and that is below the average Street Account estimate of $59.33 billion. The company’s forecast showed 84 cents to 88 cents fell below the 89-cent average analyst prediction.
Uber is expanding its delivery operations and last month announced a significant $14.8 billion agreement to acquire Germany based Delivery Hero. This deal will expand the number of markets where Uber can deliver food and groceries.
The company intends to commit more than $10 billion in the coming years to bring AVs to market at a larger scale.
Uber, which has been forging alliances with robotaxi companies, does not break out the share of rides or deliveries that have drivers versus those that don’t.
In this connection, Khorowshahi said: “As the industry shifts from providing the technology to commercializing it at scale, Uber is building one of the valuable positions in the AV ecosystems. Uber also stated that it has cleared another obstacle to offer autonomous rides in London with UK robotaxi company Wayve.
Nonetheless, Transport for London has granted Private Hire Vehicle licenses to Wayve Robotaxis, certifying vehicle safety, and noting that more than 100,000 people have signed up to be its initial riders.
