Uber issues weaker-than-expected bookings, earnings forecasts for third quarter

Uber's latest earnings report disappointed analysts, with bookings and profit forecasts falling short of estimates. Revenue rose 12% to $12.65 billion, while net income expanded to $2.39 billion, or $1.17 per share, from $1.35 billion, or 63 cents per share, a year earlier. Core mobility service sales accounted for $7.36 billion, while delivery revenue hit $5.25 billion.

Core mobility gross bookings climbed 22% to $28.99 billion, and delivery bookings increased 26% to $27.46 billion. Total bookings totaled $58 billion, surpassing the average analyst estimate of $57.23 billion. For the third quarter, Uber anticipates bookings of $59.25 billion within its projected range, slightly below the average StreetAccount estimate of $59.33 billion.

The company's EPS forecast of $0.84 to $0.88 fell short of the 89-cent average estimate, according to LSEG. Uber's stock has declined 12% this year, while the Nasdaq has climbed 14% over the same period. The company is expanding its delivery services and recently secured a $14.8 billion acquisition of Germany's Delivery Hero, broadening its reach in food and grocery delivery markets.

CEO Dara Khosrowshahi attributed the strong Q2 performance to the World Cup, which saw over 8 million tourists take rides in the U.S., Canada, and Mexico. Uber is investing heavily in autonomous vehicles, committing more than $10 billion over the next few years to bring self-driving cars to market. However, Uber's autonomous venture, Waymo, is distancing itself, with an exclusive agreement ending in Atlanta and Austin by early 2028. Uber is set to host a conference call with analysts at 8 a.m. ET.