Uber’s increase in guidance is driven by improvement in the company’s ride-hailing and delivery businesses.
Photo: Robin Rayne/Zuma Press
Uber UBER -5.96% Technologies Inc. raised its first-quarter guidance Monday, saying its ride-hailing business is bouncing back quickly from the disruption caused by the spread of the Omicron variant around the end of 2021.
The company raised its current-quarter guidance for adjusted earnings before interest, taxes, depreciation and amortization from between $100 million and $130 million to between $130 million and $150 million.
The increase in guidance is driven by improvement in the company’s ride-hailing and delivery businesses, compared with the last quarter of 2021, when a rise in Covid-19 cases disrupted operations, Uber said.
“Our Mobility business is bouncing back from Omicron much faster than we expected,” Chief Executive Dara Khosrowshahi said.
Gross bookings for airports were up 50% at the end of February, compared with a month earlier, Mr. Khosrowshahi said. He added that the company expects the coming travel season to be one of the strongest ever.
“We’re seeing healthy and growing demand across all use cases, highlighting just how eager consumers are to get moving again,” he said.
The stock rose more than 3% in premarket trading to $30.90 a share.
Uber also said demand in its ride-hailing segment rose throughout February, with trips and gross bookings reaching 90% and 95%, respectively, of 2019 levels.
Write to Will Feuer at [email protected]
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