Uber's financial woes continue to deepen, with the company reporting a staggering loss of Ksh. 520 billion in the three months ending in June, its largest quarterly loss ever.
According to the company's earnings report, the massive loss was largely due to Ksh. 390 billion in stock-based compensation expenses related to its public offering during the quarter.
Even without these charges, Uber still lost about Ksh. 130 billion during the quarter, a roughly 50% spike from the year prior.
Uber's CEO, Dara Khosrowshahi, acknowledged the company's struggles, saying, 'There's the meme [going] around, which is, can Uber ever be profitable?' I've certainly heard that meme, along with others.'
Despite investing aggressively in freight shipping, meal deliveries, and offering discounts for its core ride-hailing business, Uber's revenue growth continues to slow. The company posted revenue of Ksh. 310 billion during the quarter, a 14% increase from the year prior.
Uber's core ride-hailing business was all but flat, with revenue ticking up just 2% from the same quarter a year ago. However, its meal delivery service, Uber Eats, continues to be a bright spot, with revenue growing 72% from the prior year.
Shares of Uber fell by as much as 12% in after-hours trading following the disappointing earnings report, before rebounding somewhat.
