Photo Credit: Getty Images
Uber Technologies Inc. posted strong second-quarter results, surprising analysts with an 18% jump in revenue and unveiling a massive $20 billion share repurchase plan. The ride-hailing giant's performance comes as its strategic bets on loyalty, automation, and partnerships begin to bear fruit.
The company reported revenue of $12.65 billion, surpassing the $12.46 billion Wall Street had projected. Net income climbed to $1.36 billion, or 63 cents per share, from $1.02 billion in the same quarter last year. Gross bookings also rose 17% year-over-year to $46.8 billion.
CEO Dara Khosrowshahi credited Uber's diverse platform and evolving services. "At this point, we're not seeing weakness in the consumer," he told CNBC. "It's steady as she goes, and for Uber, that's great news."
A key driver of the quarter was Uber One, the company's $9.99 loyalty program. Membership surged 60% in June, topping 36 million. Uber noted that over one-third of all bookings now originate from Uber One members, who generate more than triple the profit compared to single-service users.
Promotional events have accelerated that trend. In May, Uber's week-long discount campaign added 500,000 new subscribers. Meanwhile, the "Price Lock Pass", a $2.99 monthly option offering fare stability, is now live in more than 10 major U.S. and Brazilian cities, with weekday commute usage up substantially.
Beyond loyalty, Uber is pushing deeper into automation. The company now has over 20 autonomous vehicle partnerships, including with Lucid and Nuro. Commercial robotaxi services are already active in 12 cities, including Austin and Atlanta.
"In some areas, Waymo's cars are outpacing 99% of our human drivers in daily trips," Khosrowshahi revealed during the earnings call. He described the collaboration as having "a halo effect" that boosts the platform's broader appeal.
Uber's adjusted earnings hit $2.12 billion this quarter. For Q3, the firm projects gross bookings of $48.25 to $49.75 billion, topping analysts' $47.3 billion consensus.
Despite a 1% dip in share price following the call, Uber's stock is still up 48% year-to-date, outperforming the Nasdaq by a wide margin.
