TOBY SHAPSHAK: Uber-bad news from Uber
Despite some positive signs, the ride-sharing firm sustained a $5.2bn loss in its first quarter as a listed company
Earlier this month, when Uber announced a withering $5.2bn second-quarter loss, two things happened: there was much condemnation (and schadenfreude) relating to the ride-hailing company’s prospects, and also an abundance of "wild ride" puns.
Unsurprisingly, the stock fell 12% in after-hours trading. In no small part this was because, though revenue for the quarter was up 14% to $3.2bn (instead of the estimated $3.4bn), it was short of the 20% growth of the first quarter. The other sizeable part of the equation was $3.9bn allocated for stock-based compensation for its IPO.