Ride-hailing transport company, Uber’s full-year net loss widened to $4.5 billion in 2017 as the company endured a difficult year that included scandals and the replacement of its chief executive.
The results also showed that Uber cut its fourth-quarter net loss by 25% compared with the third quarter as new CEO Dara Khosrowshahi moves to make the company profitable in advance of an Initial Public stock offering planned for 2019.
The full-year loss grew from $2.8 billion in 2016, a year with results influenced by a gain from the sale of Uber’s unprofitable business in China. Uber also said its U.S. ride-hailing market share fell from 82% at the start of last year to 70% in the fourth quarter. Uber said the share has now stabilised.
Gross revenue for the year was $37 billion, a jump of 85% compared with 2016. For the fourth quarter, Uber’s net loss was $1.1 billion, down from $1.46 billion it lost in the third quarter.
Although the losses are significant, the results still are positive for Uber with revenue rising and losses falling in three of four quarters in 2017. The numbers show that Uber under Khosrowshahi is on a path toward profitability and a sustainable economic model,
