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.
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.