Uber Technologies Inc. posted a narrower annual loss on the back of its food-delivery business and aggressive cost cuts, even though the coronavirus pandemic crushed its core ride-hailing operations.
The San Francisco-based company reported a net loss of $6.76 billion for 2020, compared with a loss of $8.5 billion for 2019. While widespread shelter-in-place orders dealt a blow to Uber’s rides business, its food-delivery arm soared as the same mandates kept people from going to restaurants. Revenue declined 14% year-over-year to $11.13 billion.
Uber overhauled its business during the health crisis, cutting a quarter of its staff and shedding noncore businesses, among other moves, leading it to save $1 billion in fixed expenses last year.
The company’s fourth-quarter revenue declined 16% year-over-year to $3.16 billion. The net loss in the three months through December narrowed to $968 million compared with $1.09 billion in the year-earlier quarter.
Uber’s adjusted loss before interest, taxes, depreciation and amortization also narrowed in the fourth quarter to $454 million compared with a loss of $615 million in the year-earlier quarter. Uber has said it expects to become profitable by this measure by the end of this year.
