Uber reports $1bn quarterly loss in first results since IPO

Despite posting a 20% rise in revenues to $3.1bn (20% higher but slower than the 25% annual growth) and a 33% increase in monthly active users to 93m versus a year ago, the company still reported a loss.

Investors are concerned that Uber might never manage to turn a meaningful profit as the company spends heavily in its attempts to rise above rivals such as Lyft.

Finance Chief Nelson Chai said: "We will not hesitate to invest to defend our market position globally."

The results were broadly in line with many analysts' forecasts and Uber had warned about its losses in its IPO prospectus.

Despite which Uber's shares had sunk by almost 11% since it debuted on Wall Street on 10 May.

“Earlier this month we took the important step of becoming a public company, and we are now focused on executing our strategy to become a one-stop shop for local transportation and commerce. In the first quarter, engagement across our platform was higher than ever, with an average of 17m trips per day and an annualized gross bookings run-rate of $59bn,” said Dara Khosrowshahi, Uber’s chief executive officer.

Uber’s rival, Lyft, which also went public earlier in 2019 was also under fire from investors because of its falling share price.