Uber Technologies, Inc. (NYSE: UBER) reported strong first-quarter 2025 profits, but its stock slipped as revenue narrowly missed Wall Street expectations, tempering an otherwise robust operational performance.
The ride-hailing and delivery giant saw total trips rise 18% year-over-year, reflecting continued demand across its core businesses even as revenue growth showed signs of slowing.
For the quarter ended March 31, Uber posted revenue of $11.53 billion, a 14% increase from the prior year but just below analysts’ forecasts. Net income surged to $1.78 billion, reversing a $654 million loss in the same period last year. Earnings per share reached $0.83, far exceeding consensus estimates. Adjusted EBITDA climbed 35% to a record $1.9 billion, while free cash flow hit $2.3 billion, highlighting Uber’s improved financial discipline.
Platform growth remained strong, with monthly active consumers up 14% to 170 million and total trips reaching 3.04 billion, an 18% jump from the previous year. Gross bookings rose 14% to $42.8 billion, with the Mobility segment delivering 20% growth and the Delivery segment up 18%. The Freight division, however, saw a modest 2% decline in sales.
Despite the operational gains, Uber’s shares fell more than 4% in early trading as investors reacted to the revenue miss and signs of decelerating growth compared to previous quarters. The stock traded near $84, off recent highs but still up significantly for the year.
Looking ahead, Uber issued an optimistic outlook, projecting second-quarter gross bookings between $45.75 billion and $47.25 billion and adjusted EBITDA of $2.02 billion to $2.12 billion, both above Wall Street’s consensus. CEO Dara Khosrowshahi emphasized the company’s focus on profitable growth and highlighted recent investments in autonomous vehicles and subscription services as key drivers for future expansion.
In summary, Uber’s first-quarter results showcased record profitability and strong user growth, but the revenue miss and a slight deceleration in growth rates have prompted a cautious response from investors. The company’s ability to sustain momentum and deliver on its ambitious outlook will be closely watched in the quarters ahead.