Uber reported its third-quarter earnings today, and as expected during this ongoing pandemic, the company’s delivery business, which includes Uber Eats continues to be its moneymaker.
Here are the topline Q3 stats:
- Uber Delivery’s gross bookings grew 135 percent year-over-year, hitting $8.55 billion
- Delivery’s adjusted net revenue grew 190 percent year-over-year, hitting $1.14 billion in revenue.
- Restaurant partners on Uber Eats grew by more than 70 percent year-over-year
For comparison, in Q2 of this year, gross bookings for Uber’s delivery business was $6.96 billion.
Adjusted net revenues for Uber’s mobility, which includes its ridesharing business, declined 52 percent year-over-year, to $1.37 billion. Overall, Uber lost $1.09 billion, which is better than the $1.16 billion lost over the same time last year.
That delivery continues to be the main driver (pardon the pun) for Uber isn’t surprising. Though the pandemic flattened a little bit during the three months ending September 30, people just are not traveling as much as they did pre-pandemic. They are, however, getting restaurant delivery to eat at home, which kept Uber Eats busy.
Something to keep an eye for next quarter is whether Uber Eats’ expansion into grocery in Florida, Texas and New York City will have any impact on earnings. It’s been a record-setting year for online grocery, the winter months are just about upon us and the pandemic resurging. Will all these factors make Uber’s nascent entry into the grocery biz pull big numbers?
It should be noted that Uber’s Q3 earnings report is coming out the same week that it won a victory at the ballot box in California. Prop. 22, which Uber backed, was approved by the state, allowing the company to keep its drivers classified as independent contractors and not employees. That means it won’t have to pony up for benefits or other protections. While this is good for the company’s bottom line, Prop. 22 could have more unfortunate results overall.