Uber Technologies Inc (NYSE:UBER, ETR:UT8) shares fell more than 8% after the ride-sharing and food delivery app issued weak guidance for the current quarter.
For the first quarter of 2025, Uber projected gross bookings growth of 17% to 21%.
This translates to reported gross bookings of $42 billion to $43.5 billion, slightly below analysts’ expectations of $43.51 billion.
Uber also expects 30% to 37% year-over-year growth in adjusted EBITDA to $1.79 billion to $1.89 billion, compared to estimates of $1.85 billion.
The cautious guidance overshaded better-than-expected results for Q4. Revenue grew 20% from the year-ago quarter to $12 billion, ahead of the Wall Street consensus expectation of $11.8 billion.
Earnings per share grew to $3.21 from $0.66 for the same period in 2023.
Gross bookings were $44.2 billion, marking an 81% year-over-year increase. This topped estimates of $43.5 billion.
Uber CEO Dana Khosrowshahi described Uber’s Q4 as its “strongest quarter ever.”
“Our performance has been powered by rapid innovation and execution across multiple priorities, including the massive opportunity presented by autonomous vehicles,” the CEO said.
“We enter 2025 with clear momentum and will continue to be relentless against our long-term strategy.”