Uber Reports Strong Q4 but Stock Drops on Soft Forecast and FX Challenges

The ride-hailing giant beat revenue expectations but missed profit targets and warned of headwinds from a strong dollar and regulatory hurdles.

Uber's Q4 2024 gross bookings reached $44.2 billion, a 21% year-over-year increase on a constant currency basis, exceeding analysts' expectations.
Despite strong revenue growth of 20% to $11.96 billion, operating income of $770 million fell short of the $1.2 billion forecast, partly due to legal and regulatory costs.
The company cited a $1.1 billion foreign exchange headwind from a strong U.S. dollar, which also impacted its Q1 2025 bookings forecast of $42-43.5 billion, below analysts' estimates.
Uber continues to invest in autonomous vehicle partnerships, including expanding its collaboration with Waymo for robotaxi services in Austin and Atlanta this year.
While celebrating record growth in users and trips, Uber faces challenges from rising costs, weather disruptions, and competition from rivals like Tesla and Lyft.