Ride-sharing giant Uber (UBER) will report its fiscal first quarter earnings before the opening bell on Tuesday, as investors and analysts look for continued improvement in the company’s Mobility business.
Wall Street will also be on the lookout for any potential impact inflation has had on Uber’s Delivery business, with more cost-conscious consumers becoming pickier about where and how they spend their cash. The results come as rival Lyft (LYFT), which laid off 26% of its staff in April, continues to struggle to keep up with Uber.
Here are the most important numbers to watch for in the report, according to Bloomberg data, compared to how Uber performed in the same quarter last year.
Revenue: $8.7 billion expected versus $6.9 billion in Q1 2022
Adj losses per share: $0.08 expected versus $3.04 in Q1 2022
Gross bookings: $31.4 billion expected versus $26.4 billion in Q1 2022
Mobility: $14.8 billion expected versus $10.7 billion in Q1 2022
Delivery: $14.9 billion expected versus $13.9 billion in Q1 2022
Freight: $1.6 billion expected versus $1.8 billion in Q1 2022
Uber is expected to post a significant year-over-year jump in its Mobility business, with analysts looking for an additional $4 billion in bookings compared to the first quarter of 2021. But there could be trouble on the horizon as competition heats up with Lyft.
Lyft’s new CEO David Risher told Yahoo Finance Live that his company is angling to reclaim lost market share from Uber, and has said that he wants the ride-sharing firm to compete better with Uber on pricing.
"I am kind of okay with you calling it ‘The battle is back,’" Risher said. "We are ready to fight, and hopefully do well."
Uber has been dominating the ride-sharing market thanks to its timely expansion into food delivery, which helped the firm stay afloat during the pandemic when ridership collapsed as people stayed inside amid lockdowns.
But Jefferies analyst John Colantuoni warns the Delivery segment could face headwinds as consumers cut back on spending.
“Signs of slowing discretionary spending has caused concern over slowing growth for overall U.S. restaurant delivery, given ordering from app-based delivery platforms adds ~35% to the original food cost (tip + fees),” Colantuoni wrote in a recent research note.
Now we’ll have to wait and see whether that slowdown takes a bite out of Uber’s bottom line.
By Daniel Howley, tech editor at Yahoo Finance. Follow him @DanielHowley
Read the latest financial and business news from Yahoo Finance
