In its investor notes for the third quarter, Uber has revealed that it achieved its first adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) profitable quarter. It reported that its adjusted profit for the quarter was $8 million to the end of September, this is a big improvement year-over-year as it recorded a $625 million loss in the same period last year.
The profitable quarter was made possible by the loosening of coronavirus restrictions that have been in place since March 2020. Even when you ignore the firm’s performance during the pandemic, today’s news is significant as it has never been profitable and since its founding in 2009 has racked up more than $21 billion in losses.
The firm’s chief financial officer, Nelson Chai, said:
“While we recognize it’s just a step, reaching total-company Adjusted EBITDA profitability is an important milestone for Uber. Not only did our Mobility business recover to pre-COVID margins this quarter, our core restaurant delivery business was profitable on an Adjusted EBITDA basis for the first time as well, bringing the full Delivery segment close to breakeven.”
The food delivery service that Chai mentions, Uber Eats, saw more revenue coming its way compared to the taxi service. Uber Eats saw revenues of $12.8 billion while Uber (the taxi service) saw revenue reach $9.9 billion.