Speaker 1: We now want to bring in Bloomberg's Emily Chang, who
Speaker 1: is standing by with Uber CEO Dara Koshersaui Shanali thank
Speaker 1: you and Dara, thank you for joining us today again. Obviously, look,
Speaker 1: you can see that growth is continuing on both sides
Speaker 1: of the business pretty strong. But that net loss I
Speaker 1: think was disappointing for some investors after the progress you made.
Speaker 1: Shares are down, lift shares on the other hand, are up.
Speaker 1: What is the message to investors this morning?
Speaker 2: Well, I think the message to investors is that we
Speaker 2: continue to deliver on consistently strong top line growth and
Speaker 2: then outsize outsized profitability growth. You saw trips for US
Speaker 2: increase twenty one percent on a year on your basis,
Speaker 2: we're at a run rate of more than ten billion
Speaker 2: trips on an annual basis, which is pretty incredible. Gross
Speaker 2: booking screwed twenty one percent as well. On a constant
Speaker 2: currency basis. Our ibidah came in at one point four
Speaker 2: billion dollars, up eighty two percent, and that also translated
Speaker 2: into free cash row, so free cashrow one point four
Speaker 2: billion four point two billion. Over the past twelve months.
Speaker 2: We did swing to a loss, but the significant factor
Speaker 2: behind that loss was actually the value of our equity stakes.
Speaker 2: Some of them have been marked down, and you know,
Speaker 2: markets go up and markets go down. We can't control that.
Speaker 2: What we can't control is are we building a big
Speaker 2: business mobility and delivery business on a global basis? Are
Speaker 2: there more customers coming to us? Our audience grew fifteen percent,
Speaker 2: frequency group six percent. So I think as long as
Speaker 2: we continue to deliver on our service, on the promise
Speaker 2: of mobility everywhere delivery of food and grocery, et cetera,
Speaker 2: will be more than fined.
Speaker 1: Gap operating profit dropped by you know, in part due
Speaker 1: to what you described as regulatory reserve changes and settlement.
Speaker 1: What are some of the headwinds that you're seeing and
Speaker 1: monitoring well.
Speaker 2: I think some of these settlements are for issues that
Speaker 2: have occurred in the past, and what we're trying to
Speaker 2: do now is operate in a way that takes into
Speaker 2: account all of our stakeholders, our writers, our drivers or eaters,
Speaker 2: as well as regulators. And what we're trying to do
Speaker 2: is kind of try to clean up some of these
Speaker 2: past liabilities and move forward and doing the right thing
Speaker 2: for everybody.
Speaker 1: I spoke with you and Instacart CEO Figcimo yesterday, And
Speaker 1: obviously your new partnership is a bigger deal now that
Speaker 1: I know that it's not just exclusive to Instacart. Can
Speaker 1: you talk about some of the other partnerships and services
Speaker 1: that you could potentially plug in to Uber Eats, like
Speaker 1: I'm thinking Netflix or YouTube or TikTok.
Speaker 2: Well, we're really focused right now on making this work
Speaker 2: on Instacart, and this all started from our building essentially
Speaker 2: with our Uber app, kind of a super app of sorts.
Speaker 2: You can come to Uber and you can order food
Speaker 2: off of the eats tab on Uber. That business has
Speaker 2: been growing significantly. Consumers love it and you know, if
Speaker 2: they want to go to eat app, they can, If
Speaker 2: they want to eat on the Uber app, they can
Speaker 2: as well. That led us to the discussions that we
Speaker 2: had with Fiji that we talked about. The focus right
Speaker 2: now is really making sure that our Instacart partnership works right.
Speaker 2: Instacart has very very strategic customer base in the suburbs
Speaker 2: where we're already growing, but we want to grow faster
Speaker 2: and really that's going to be the focus. But the
Speaker 2: technology that we build allows us to essentially embed in
Speaker 2: an absolutely first rate Uber Eats experience into other apps
Speaker 2: as well, So you could imagine embedding in entertainment apps
Speaker 2: or sports apps, etc. And when you're hungry, ordering eats
Speaker 2: run in that app. So that is absolutely something that
Speaker 2: we could deliver technically as a result of a great
Speaker 2: job of our engineers. But right now the focus is
Speaker 2: let's make instacart work. I'm sure there'll be some growing pains,
Speaker 2: There'll be some tuning to do in terms of the
Speaker 2: tech and the experience, and then we'll go from there.
Speaker 1: Interesting. You know, there's this Tesla robotaxi news out of China,
Speaker 1: and obviously your story with autonomous vehicles has been a
Speaker 1: little up and down. Will we ever see Tesla robotaxis
Speaker 1: on order on Uber.
Speaker 2: Well, we would certainly welcome it. You know, our view
Speaker 2: as it relates to autonomous is this is a technology
Speaker 2: that holds great promise both in terms of expanding our marketplace,
Speaker 2: lowering prices, making transportation available safely to more and more people.
Speaker 2: It's taken much much longer than anyone imagined. We don't
Speaker 2: operate in China, So to the extent that Tesla operates
Speaker 2: a robotaxi fleet in China, that's not something that we
Speaker 2: would engage in. But what we have told the av
Speaker 2: industry is that we're here to partner and you can
Speaker 2: essentially plug in your vehicles as long as they're safe,
Speaker 2: as long as regulators are aligned as well. Into our
Speaker 2: network and the demand that we bring and all the
Speaker 2: services that we built in terms of matching and routing
Speaker 2: and pricing, we can bring that all to you day one.
Speaker 2: That results in higher utilization. You know, your cars will
Speaker 2: get more rides. And if there's a Tesla owner, a
Speaker 2: car owner who wants to put his or her car
Speaker 2: into the Uber network, they'll make more money than if
Speaker 2: it wasn't in the network. So we'd love to work
Speaker 2: with all players. We have a lot of respect for Tesla.
Speaker 2: There are a lot of Tesla's in our fleet already,
Speaker 2: so we'd absolutely welcome safe Tesla autonomous cars in our
Speaker 2: fleet too.
Speaker 1: And you know, I'm hearing just anecdotally more and more
Speaker 1: people who are taking weimo. And you do have a
Speaker 1: partnership with Weimo, can you tell us a little bit
Speaker 1: more about how that partnership works financially speaking, Like, does
Speaker 1: Weimo get paid a fee for referring rights to Uber?
Speaker 1: Do you operate a fleet of Weaimo's, Like, what's in
Speaker 1: it for you as an aggregator.
Speaker 2: Yeah, it's we don't disclose the financials so to speak.
Speaker 2: We operate with Waimo in Phoenix, and actually we operate
Speaker 2: both on the mobility side and on the delivery side.
Speaker 2: So Weymo's and Phoenix are taking uber riders and they're
Speaker 2: actually now delivering food to eaters as well as we
Speaker 2: expand the use cases there. And I think what you
Speaker 2: can imagine the model being, and this is not specific
Speaker 2: to Weemo, is just like theirs. We have a take
Speaker 2: rate with human drivers, right about seventy nine percent of
Speaker 2: our gross bookings go to drivers and couriers and merchants
Speaker 2: and we keep about twenty one percent of it. That
Speaker 2: kind of a model will be true for autonomous as well,
Speaker 2: so we will have a fair take rate. We will
Speaker 2: drive a ton of business to these autonomous players. And again,
Speaker 2: what we're already seeing with some of our partners is
Speaker 2: higher utilization, more business for the driver so to speak,
Speaker 2: whether that driver is a human or ultimately a robot.
Speaker 1: Uber is such a bell weather for what's going on
Speaker 1: in the global economy. Inflation has stalled at a rate
Speaker 1: that some folks feel is too high. What's your read
Speaker 1: on the broader economy and especially in an election year.
Speaker 2: Yeah, Emily, I'd say so far, so good. We read
Speaker 2: all the news that you do, and we talk to
Speaker 2: many many partners out there. We're not taking price, so
Speaker 2: to speak, or we want to take as little price
Speaker 2: as we as we can. Our transactions grew twenty one percent.
Speaker 2: Our growth bookings grew twenty one percent. We want to
Speaker 2: grow based on expanding our audience and increasing frequency. And
Speaker 2: when we look at our customer base, you look at
Speaker 2: the volumes twenty one percent growth this quarter. Next quarter,
Speaker 2: the midpoint of our guidance, it's between twenty and twenty
Speaker 2: one percent growth as well. So we see very consistent growth.
Speaker 2: We don't see consumers trading down. We don't see eaters
Speaker 2: trading down. At this point, we do see a lot
Speaker 2: of strength in terms of ourber for business business so
Speaker 2: to speak. Corporations are getting back to work. We see
Speaker 2: a lot of strength during workday commute, et cetera. People
Speaker 2: are going back to the office, maybe a little more
Speaker 2: slowly than we'd like, but people are definitely going back
Speaker 2: to the office. So at this point we don't see
Speaker 2: signs of consumer weakness. You know, there are some merchant
Speaker 2: partners who we talk to who are focused more on
Speaker 2: lower value or cheaper products, et cetera. They may be
Speaker 2: feeling it, but at this point, Uber volumes remain healthy
Speaker 2: and kind of the nature of that volume remains healthy
Speaker 2: as well.
Speaker 1: And just last quick question I have to ask you
Speaker 1: about Uber teen. I'm a mom, you're a dad. You know,
Speaker 1: obviously this could be game changing for working parents. How
Speaker 1: big a business can this be? And why should I
Speaker 1: trust my kid with you?
Speaker 2: Well, we think it can be a very large business,
Speaker 2: and it's turning out to be a very large business
Speaker 2: as well. And the reason is, you know, Uber has
Speaker 2: we think industry leading safety characteristics that really no one
Speaker 2: else has. So with teen, first of all, you as
Speaker 2: a parent have to invite your team. When we offer
Speaker 2: uber teen as a service to only the best rated drivers,
Speaker 2: there's a pin to make sure that your team is
Speaker 2: getting into the right Uber. You can track the uber
Speaker 2: as a parent. You know, I track my kids as well.
Speaker 2: It's a great experience. Make sure they're picked up okay,
Speaker 2: make sure they're dropped off okay, And you can reach
Speaker 2: out to the driver directly as well. So all of
Speaker 2: these safety features put together, I think you know help
Speaker 2: will help put parents mind at ease. It's been one
Speaker 2: of our most beloved launches out there, and right now
Speaker 2: we're just looking to expand in into more markets because
Speaker 2: the demand is absolutely there.
Speaker 1: All right, got it. I haven't tried it yet, but
Speaker 1: I think maybe you just can. Miss Thank you, Dara,
Speaker 1: Thank you so much for joining us as always, really
Speaker 1: appreciate it.