Pan­demic drives Uber $1.8bn into the red

The Daily Telegraph - Business - - Front Page - By Olivia Rudgard and Lau­rence Dodds in San Fran­cisco

UBER lost $1.8bn (£1.37bn) in the sec­ond quar­ter of the year, as its taxi busi­ness plum­meted by 75pc amid the pan­demic and its food de­liv­ery busi­ness failed to make up the short­fall.

The app-based com­pany lost more than Wall Street ex­pected as it dis­closed the full im­pact of Covid-19, which brought its global trans­port oper­a­tions al­most to a halt.

Its Eats food de­liv­ery busi­ness fared bet­ter, with rev­enue dou­bling.

Over­all rev­enue fell by 29pc and the num­ber of monthly ac­tive con­sumers dropped by 44pc since last year.

Shares fell by 5pc in af­ter-hours trad­ing fol­low­ing the re­sults.

Dara Khos­row­shahi, Uber’s chief ex­ec­u­tive, said: “As some peo­ple stay closer to home, more peo­ple are or­der­ing from Uber Eats than ever be­fore.”

Ear­lier yes­ter­day, re­ports said that Mi­crosoft was seek­ing to ex­pand its takeover of so­cial me­dia firm TikTok to in­clude the app’s Euro­pean and In­dian oper­a­tions, set­ting up a clash with its Chi­nese own­ers.

The Amer­i­can soft­ware ti­tan ap­pears to be at odds with TikTok’s par­ent com­pany ByteDance over whether it should be al­lowed to buy oper­a­tions out­side those in the US.

Mi­crosoft is now push­ing to ac­quire all of TikTok’s global hold­ings, re­ports said, po­ten­tially in­clud­ing in the UK. One source de­nied the claims.

Dara Khos­row­shahi, chief ex­ec­u­tive, fo­cused on a dou­bling of rev­enues for Uber’s food de­liv­ery busi­ness

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