Uber shares fall 6% as bookings forecast disappoints, Khosrowshahi focuses on robotaxis.

Uber's stock fell over 6% on Wednesday after the company reported second-quarter results that exceeded bookings and profit expectations, but offered disappointing guidance for future bookings. The ride-hailing giant forecasted third-quarter gross bookings between $58.25 billion and $60.25 billion, falling short of the $59.32 billion expected by analysts. This guidance focuses on gross bookings, which encompass the total dollar value of rides and deliveries, including Uber Eats.

The disappointing outlook comes amid strong year-over-year growth for the company. Uber reported gross bookings of $58.0 billion for the second quarter, surpassing the expected $57.17 billion, marking a 24% increase from the same period last year. The adjusted earnings per share matched estimates at $0.81, while adjusted EBITDA rose to $2.82 billion, exceeding the $2.79 billion consensus. Uber CFO Balaji Krishnamurthy attributed some of the shortfall to a currency headwind impacting growth.

CEO Dara Khosrowshahi emphasized Uber's commitment to its robotaxi initiative, positioning the company as a demand-matching platform for autonomous vehicles rather than developing the technology in-house. Uber's partnerships with companies like Wayve and investments of over $10 billion in robotaxi networks signify a strategic shift. Khosrowshahi noted that the company is on track to deploy robotaxis in up to 15 cities by the end of the year, which he believes will enhance overall growth across the platform.

Despite the mixed earnings report, Uber's core business remains robust, with trip numbers increasing by 18% to 3.87 billion and monthly active users rising 16% to 208 million. The strong performance in established markets indicates that Uber’s investments in autonomous vehicles may bolster its competitive position as it navigates the evolving landscape of ride-hailing and delivery services.