REPORT: Uber Lost at Least $1.2 Billion in First Half of 2016
Photo courtesy of Uber Facebook
Officials from ride-hailing service Uber Technologies Inc.—including head of finance Gautam Gupta—have told shareholders that the company has lost at least $1.27 billion in the first half of 2016.
According to Bloomberg.com, the announcement took place during a conference call with shareholders where Uber officials revealed the company lost $520 million in the first quarter and $750 million in the second quarter of the year.
One of the biggest reasons behind Uber’s reported second quarter losses was its business in China, which was a contributing factor in the company’s decision to sell its China operations to rival Didi Chuxing. Uber still holds an 18 percent stake in Didi, though.
The move into China was a top priority for Uber, but CEO Travis Kalanick revealed in February that the ride-hailing service was losing $1 billion a year in the Chinese market.
As for the American market, Uber said it was profitable during the first quarter of 2016, but Bloomberg.com is reporting the company lost an estimated $100 million in the United States during the second quarter.
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