Uber records losses of $4.46 billion in 2017, slowing losses of the company are not enough

Uber records losses of $4.46 billion in 2017, slowing losses of the company are not enough

Uber records losses of $4.46 billion in 2017, slowing losses of the company are not enough. Last year, Uber lost an average of $1.1 billion a quarter, with a total sum of losses for the year amounting to $4.46 billion.

A significant chunk of the last year’s  losses come from the Uber-Waymo trial, which got abruptly cut short when both companies reached a settlement wherein Uber did hand over $245 million in stock to Waymo.

No doubt, an improvement over the $1.46 billion loss that was recorded in the previous quarter (with revenues of $9.7billion) has been seen, but Uber still has not attained profitability.

The company’s loss of $4.5 billion past year, is up from $2.8 billion that of 2016, according to figures reported by & confirmed by CNBC on Tuesday.

Uber’s revenues during the very period increased by about 14% to 11.1 billion Dollars from 9 billion USD reported one year earlier.

The company’s loss was mainly based on accepted accounting standards, which does include write-downs & significant legal expenses. Despite a turbulent year for Uber, sales were $7.5 billion.

Last week, as part of the cleanup, Uber agreed to pay $245 million to settle the trade secrets case which was brought by Waymo, the company spawned by a self-driving auto project undertaken by Google.

In September 2017, Uber was told that it is about to lose its operating license in London. This was 13 % short from the last year’s $6.9 billion.

The settlement alongside the Uber’s improving finances indicate that the company is pushing to meet its goal for an initial public offering soon in the next year.

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Losses of Uber in the last 3 months of 2017 dropped to $1.1 bn (£795 mn) from $1.46 bn a year earlier.

Uber (remaining a private company) is not legally required to present its quarterly figures, but it has started disclosing some earnings information in the recent months.

Uber is a San Francisco-based company that has raised approximately $19 billion in funding and it also has a blended valuation of $54 billion, making it the biggest venture-backed tech enterprise without any stock listing.

Travis Kalanick, the former CEO of Uber was forced to step down in June amid a shareholder revolt which followed a series of scandals.

Uber is privately funded. With its $9.3 bn stake, Japanese firm SoftBank is its largest investor.

 According to Bloomberg, Uber only claims $2.2 bn in losses for 2017 as the company is choosing to ignore legal the costs, taxes, interest, & several other expenses.

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