Uber(US:UBER)2024-05-08 14:15Financial Data and Key Metrics Changes - The company reported a year-on-year growth of 21% in trips, consistent with gross bookings growth on a constant currency basis [88] - Adjusted EBITDA reached a record of $1.4 billion, growing 82% year-on-year, with free cash flow of $4.2 billion over the trailing 12 months [93] - The company expects another quarter of over 20% year-on-year growth on a constant currency basis in Q2 [93] Business Line Data and Key Metrics Changes - Mobility gross bookings growth for Q1 was 26% on a constant currency basis, with a significant portion of growth driven by audience expansion [110] - The company is seeing strong growth in new products, with some categories growing 80% year-on-year [34] - Delivery business is growing in the teens, with audience and frequency being the largest contributors to growth [73] Market Data and Key Metrics Changes - In Latin America, mobility volume growth is in the mid-20s, indicating a healthy market environment [101] - The company noted a seasonal impact in Latin America, with demand around Carnival not recurring in Q1 [9] - Active merchants increased by 12% year-on-year, contributing to improved pricing and higher frequency [43] Company Strategy and Development Direction - The company remains focused on integrating autonomous vehicle (AV) technology, believing it will enhance safety and expand the marketplace [3] - The strategy for Uber One is to increase penetration and drive adoption through exclusive offers and benefits for members [23] - The company is optimistic about the growth potential in grocery and retail delivery, with a path to profitability being established [60] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth of the Mobility business, expecting mid-20s year-over-year growth at constant currency for Q2 [18] - The company is addressing regulatory challenges in markets like Seattle and New York, which have impacted delivery volumes and courier availability [46][66] - Management highlighted the importance of returning to pre-pandemic commuting patterns to sustain growth in the Mobility segment [36] Other Important Information - The company achieved a significant milestone with Uber One membership fees exceeding $1 billion [21] - The advertising business is expected to grow, with non-restaurant advertising being in nascent stages but showing promise [41] - The company is actively working on optimizing Uber Cash usage to enhance customer engagement across services [24] Q&A Session Summary Question: Impact of AV technology on Uber and competition - Management believes AV technology will take time to develop and will not lead to immediate competition, emphasizing the need for a regulatory framework [91][92] Question: Insights on investments and growth strategies - Management discussed the importance of balancing investments to encourage drivers, couriers, and merchants, adapting strategies based on market needs [100] Question: Growth in U.S. rideshare and customer acquisition - U.S. Mobility growth is healthy, with significant audience growth and new product categories contributing to customer acquisition [34][33] Question: Delivery strategy in suburbs and Instacart partnership - The company is focused on suburban growth, leveraging partnerships like Instacart to enhance service offerings and reach new customer segments [19][10]