HomeTechnologyUber Reports First-Ever Positive Cash Flow

Uber Reports First-Ever Positive Cash Flow

Uber Technologies Inc released its second-quarter earnings on Tuesday, reporting a positive quarterly cash flow for the first time in its history. The company projects that its operating profit will exceed its expenses during the third quarter as well due to its expected steady demand for its ride-hailing and food delivery services.

The ride-hailing company’s free cash flow of $382 million during the second quarter outperforms analysts’ projection of $263.2 million.

Following this revelation, Uber’s stocks have surged by 15% to $28.41 during premarket trading, thereby enabling the company to embark on a steady recovery from its 40% slump this year.

One driving factor in Uber’s improved financial performance is a rise in demand for ride-hailing services that is reminiscent of pre-pandemic levels. This rise is largely spurred on by the reopening of offices and public spaces following the easing of restrictions.

This rise in demand has led to a 31% boost in the number of drivers and delivery agents on Uber’s platform. As a result, Uber has reached its highest-ever number of drivers of almost five million, largely debunking concerns that rising fuel costs would deter new drivers from joining the platform.

Stocks Rise as S&P 500 Looks to End Losing Streak

U.S. stocks rose on Thursday morning, thereby giving hope to the possibility of the S&P 500 snapping its five-day losing streak. The S&P 500...

Rent Prices Fall for Third Straight Month

Rent prices for apartments across the United States fell for a third consecutive month in November, data from the real estate platform RealPage has...

Discover Credit Card Spending Shrinks Amid Inflation

Discover Financial Services confirmed that spending on its credit cards has slowed down in recent months as inflation hits a 40-year high and signs...