Despite the rollercoaster ride Uber faced over the last year, its fourth-quarter losses have decreased from the previous quarter.
The ride-hailing app reported its fourth-quarter loss to $1.1bn, from a loss of $1.46bn in the previous quarter according to Reuters.
Uber’s quarterly revenue figures also rose by 61% year on year to a net total of $2.2bn. In addition to the positive numbers, the company has also raised over $14bn in new funding, as well as closing the takeover deal with SoftBank. The $54bn deal gives SoftBank around a 17.5% stake in the company and Uber a financial boost.
The improved financial numbers fulfil the goal Uber’s new CEO Dara Khosrowshahi had targeted, when he took over the company six months ago, to significantly improve the financial element of the company. In addition to the reduced losses for the company, the latest figures saw Uber’s yearly bookings reach the value of $37bn for 2017 with net value at a total of $7.5bn.
Operating expenses for Uber also saw improvement in the fourth quarter. In total expenses dropped to 88% of net revenues for the period, compared with 100% of revenues during the third quarter.
Throughout the last year, Uber has faced many battles, from both legal matters and competition around the world. After losing its licence across the UK’s Capital, along with Sheffield and York, it seemed unlikely the ride-hailing company would remain in the UK much longer. Competition from US rivals Lyft has also meant Uber must spend more on incentives to maintain its market share.
Legally Uber does not have to share its quarterly financial information; however, the company decided to do so for investors to see the positives of the company.
Ahead of the positive financial results, Uber looks to improve its market position further as Khosrowshahi priorities a search for a new Chief Financial officer to ensure profits continue.