Uber loses $5.9bn as Asia investment values fall

Ride-hailing and delivery group Uber has made a $5.9bn (£4.7bn) loss, mostly due to its stakes in other companies.

The firm said almost all of the loss was a result of the fall in the value of investments in businesses including two Asian ride-hailing giants – China’s Didi and South East Asia’s Grab.

Despite the loss, Uber’s boss highlighted its progress in recovering from the impact of the pandemic.

“Our results demonstrate just how much progress we’ve made navigating out of the pandemic and how the power of our platform is differentiating our business performance,” chief executive Dara Khosrowshahi said.

That came as the company said the number of trips taken had risen 18% for the three months to the end of March, compared to the same period last year. That helped its revenue rise by 136%.

On a net basis, Uber’s first-quarter loss soared to $5.9bn from $108m a year ago, driven by $5.6bn of drops in the value of stakes in other businesses, primarily Chinese ride-hailing company Didi.

However, Uber has enough cash to hold on to those loss-making stakes and wait for a better time to sell them, chief financial officer Nelson Chai said.

Its shares ended Wednesday’s trading session in New York 4.65% lower.

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