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Uber Technologies, Inc (UBER)·Q2 2025 Earnings Summary

Executive Summary

  • Uber delivered another record quarter: revenue $12.65B (+18% YoY), income from operations $1.45B (+82% YoY), and adjusted EBITDA $2.12B (+35% YoY) with adjusted EBITDA margin of 4.5% of Gross Bookings . Trips rose 18% to 3.27B and MAPCs grew 15% to 180M .
  • Against S&P Global consensus, Uber beat on revenue ($12.65B vs $12.47B*) and beat on S&P “Primary EPS” ($0.85 vs $0.62*). Note GAAP diluted EPS was $0.63 . Values retrieved from S&P Global.*
  • Management authorized a new $20B share repurchase (in addition to ~$3B remaining), signaling confidence in durable cash generation; TTM free cash flow reached $8.54B . CFO reiterated intention to allocate ~50% of FCF to buybacks over coming years .
  • Q3 2025 outlook guides Gross Bookings to $48.25–$49.75B and adjusted EBITDA to $2.19–$2.29B, including Trendyol Go; excluding Trendyol, GB growth would be 16–20% YoY (cc) .

What Went Well and What Went Wrong

  • What Went Well

    • Broad-based operating leverage: income from operations reached $1.45B (+82% YoY) and adjusted EBITDA $2.12B (+35% YoY); Delivery segment adjusted EBITDA up 48% YoY to $873M .
    • Platform engagement and audience expansion: MAPCs +15% YoY to 180M; membership base at 36M with members spending ~3x more; cross-platform users show 35% higher retention. “We’ve never been more excited… new $20 billion share repurchase authorization” (CEO) .
    • Autonomous momentum and multi-partner strategy: expanded Waymo deployments (Austin, Atlanta) with Waymo utilization “busier than 99% of our drivers” and new partnerships (Baidu, Lucid, Nuro, WeRide, etc.) .

  • What Went Wrong

    • Freight remains a drag: Gross Bookings -1% YoY; revenue -1% YoY; segment adjusted EBITDA still negative (-$6M) .
    • Equity investment revaluation headwinds: Q2 net income includes $17M pre-tax net headwind, partially offsetting performance .
    • Corporate costs ticked up: Corporate G&A and Platform R&D widened to -$653M vs -$573M in Q2’24, reflecting increased platform investments .

Financial Results

MetricQ4 2024Q1 2025Q2 2025
Revenue ($USD Billions)$11.959 $11.533 $12.651
Income from Operations ($USD Billions)$0.770 $1.228 $1.450
Adjusted EBITDA ($USD Billions)$1.842 $1.868 $2.119
Adjusted EBITDA Margin (% of GBs)4.2% 4.4% 4.5%
GAAP Diluted EPS ($)$—$0.83 $0.63
Q2 2025 vs Consensus (S&P Global)Consensus*Actual
Primary EPS ($)0.62348*0.84792*
Revenue ($USD Billions)12.467*12.651
EBITDA ($USD Billions)2.109*1.631*

Values retrieved from S&P Global.* Note: SPGI “Primary EPS” and “EBITDA” are normalized constructs and may not be directly comparable to Uber’s GAAP diluted EPS and company-reported adjusted EBITDA.

Segment Revenue ($USD Billions)Q4 2024Q1 2025Q2 2025
Mobility$6.911 $6.496 $7.288
Delivery$3.773 $3.777 $4.102
Freight$1.275 $1.260 $1.261
Total$11.959 $11.533 $12.651
KPIsQ4 2024Q1 2025Q2 2025
MAPCs (Millions)171 170 180
Trips (Millions)3,068 3,036 3,268
Gross Bookings ($USD Billions)$44.197 $42.818 $46.756
Q2 YoY ComparisonQ2 2024Q2 2025YoY Change
Revenue ($USD Billions)$10.700 $12.651 +18%
Adjusted EBITDA ($USD Billions)$1.570 $2.119 +35%
Adjusted EBITDA Margin (% of GBs)3.9% 4.5% +60 bps
Trips (Millions)2,765 3,268 +18%
MAPCs (Millions)156 180 +15%

Guidance Changes

MetricPeriodPrevious GuidanceCurrent GuidanceChange
Gross Bookings ($USD Billions)Q3 2025—$48.25–$49.75; FX neutral to modest tailwind; includes Trendyol Go; ex-Trendyol Go: 16–20% YoY (cc) New
Adjusted EBITDA ($USD Billions)Q3 2025—$2.19–$2.29; +30–36% YoY New
Gross Bookings ($USD Billions)Q2 2025$45.75–$47.25 (cc +16–20%) Actual: $46.76 In-line
Adjusted EBITDA ($USD Billions)Q2 2025$2.02–$2.12 Actual: $2.12 Top end achieved

Earnings Call Themes & Trends

TopicPrevious Mentions (Q4 2024, Q1 2025)Current Period (Q2 2025)Trend
Autonomous VehiclesQ4: Global deployments (Abu Dhabi with WeRide); partnerships; membership growth to 30M . Q1: Waymo fleet in Austin ~100 cars, exceptional utilization; 5 new AV partnerships announced .Waymo utilization “busier than 99% of our drivers”; Atlanta launch; broader OEM pipeline; partnerships with Baidu, Lucid, Nuro, WeRide; multiple commercialization models discussed .Accelerating deployments and partner diversification
Insurance & PricingQ4: Insurance cost elevated, but leverage improving . Q1: US insurance moderation (CPI ~7% YoY), passing savings to consumers; policy tailwinds in GA/TX/NV .Pricing deceleration from insurance relief driving higher conversion and repeat usage; July transactions accelerated; profit per US ride up YoY .Moderating cost, supportive for demand and margins
Platform & MembershipQ4: MAPCs 171M, trips up 18% . Q1: Platform engagement; Uber One ~30M .36M members; cross-platform users have 35% higher retention and 3x GB/profits; surge savings feature to boost mobility membership .Growing membership and cross-platform monetization
Delivery Economics & AdsQ4: Delivery adj. EBITDA 3.6% of GBs; ads driving margin . Q1: Delivery incremental margins 9%; grocery/retail moved past breakeven .Delivery adj. EBITDA $873M (+48% YoY); ads and scale continue to contribute .Continued margin expansion
Capital ReturnQ4: Repurchases active; strong cash/FCF . Q1: Active buybacks and share count reduction plan .New $20B authorization; target ~50% FCF to buybacks; ~12% of market cap over “next couple of periods” .Increased and sustained buyback capacity

Management Commentary

  • “Q2 was another quarter with new records for Uber… We also reached new highs for adjusted EBITDA, GAAP operating income, and free cash flow” (CEO) .
  • “Today’s announcement of a new $20 billion share repurchase authorization underscores our confidence… trailing twelve month free cash flow hit a new all-time high of $8.5 billion” (CFO) .
  • On platform strategy: “Those who use both mobility and delivery… retention rates are 35% higher… they generate three times the gross bookings and profits” (CEO) .
  • On AV economics: “Average Waymo is busier than 99% of our drivers… we’ll be in the lead in terms of commercialization” (CEO) .
  • On capital allocation: “At least half of our cash flow generation over the coming years will go to share repurchase” (CFO) .

Q&A Highlights

  • AV partnerships and deployment pace: Management emphasized broader OEM engagement (Baidu, Lucid, Nuro) and multiple economic models (merchant, agency, asset ownership/licensing), with early utilization metrics highly favorable for Waymo .
  • Insurance-driven affordability: Passing through insurance savings boosted conversion and repeat usage, with US profit per ride up YoY and transaction growth accelerating in July; confidence in Q3 momentum .
  • Buyback execution: New $20B program is incremental to ~$3B remaining, implying ~$23B total; plan to allocate ~50% of FCF to buybacks and reduce share count steadily over multi-years .
  • Platform and membership: Surge savings for Uber One to increase mobility adoption; cross-promotions guided by AI to optimize timing and personalization .

Estimates Context

  • Revenue: Actual $12.65B vs S&P Global consensus $12.47B*, a beat . Values retrieved from S&P Global.*
  • EPS: S&P “Primary EPS” actual $0.85 vs $0.62* estimate (beat). Note Uber’s GAAP diluted EPS was $0.63 . Values retrieved from S&P Global.*
  • EBITDA: S&P Global “EBITDA” consensus $2.11B* vs actual $1.63B*; Uber reports adjusted EBITDA $2.12B, which is not directly comparable to SPGI EBITDA. Values retrieved from S&P Global.*

Key Takeaways for Investors

  • Demand and profitability are scaling in tandem: 18% revenue growth with 82% operating income growth and 35% adjusted EBITDA growth, while adjusted EBITDA margin improved to 4.5% of GBs .
  • Platform flywheel is strengthening: cross-platform engagement drives superior retention and monetization; Uber One at 36M with new features like surge savings to deepen mobility adoption .
  • AV is moving from pilots to commercialization: utilization and city expansions suggest early product-market fit; diversified partner strategy and flexible economic models hedge execution risk .
  • Capital return is a material near-term catalyst: $20B new authorization (~12% market cap) and intent to deploy ~50% of FCF to repurchases underpin per-share value accretion .
  • Guidance implies sustained momentum: Q3 GBs $48.25–$49.75B and adjusted EBITDA $2.19–$2.29B, with FX-neutral growth and explicit Trendyol inclusion/exclusion disclosure .
  • Freight remains a watch item: segment still slightly down YoY and unprofitable; scale and cycle recovery would add incremental margin upside if it normalizes .
  • Insurance moderation supports affordability and demand: US profit per ride up YoY, with easing insurance costs translating to volume and retention gains .