Uber’s Q4 earnings hit record highs as mobility and delivery surge

Uber Technologies, Inc. reported its strongest financial quarter to date, with record-breaking revenue growth in the fourth quarter of 2024. The ride-hailing and delivery giant posted $12 billion in revenue, reflecting a 20% year-over-year (YoY) increase, surpassing Wall Street projections of $11.8 billion. With a 44% YoY rise in adjusted EBITDA to $1.8 billion, Uber demonstrated its ability to scale operations efficiently while strengthening its foothold in the mobility and delivery markets.

Uber’s CEO, Dara Khosrowshahi, attributed the company’s fourth quarter earnings success to strategic innovation, operational execution, and rising consumer demand. As the company enters 2025, its expansion in autonomous vehicles, artificial intelligence (AI)-powered services, and enhanced delivery logistics is expected to drive further growth.

How did Uber’s revenue growth accelerate in Q4 2024?

The fourth quarter earnings were primarily driven by strong growth in Uber’s core mobility and delivery businesses. The company reported 18% YoY growth in Gross Bookings, totaling $44.2 billion, with ride-hailing and food delivery both witnessing double-digit growth.

Uber’s mobility segment, which includes ride-hailing services such as UberX and Uber Black, recorded $22.8 billion in Gross Bookings, up 18% YoY, fueled by higher trip volumes and expanding driver supply. Meanwhile, Uber Eats and the broader delivery division saw Gross Bookings rise 18% to $20.1 billion, supported by increased demand for restaurant and grocery deliveries and a growing focus on advertising revenue.

Despite challenges in the freight sector, Uber maintained stable revenue in that division at $1.3 billion, navigating industry-wide supply chain disruptions.

What fueled Uber’s record profitability in Q4?

Uber’s ability to maximize revenue while controlling operational costs contributed to its record profitability in Q4. The company posted $770 million in income from operations, an increase of $118 million YoY, signaling improved cost efficiencies and higher-margin services within its platform.

A major driver of Uber’s profitability was its adjusted EBITDA growth, which surged 44% YoY to $1.8 billion. The adjusted EBITDA margin as a percentage of Gross Bookings improved to 4.2%, up from 3.4% in Q4 2023, highlighting Uber’s progress in increasing profitability at scale.

Additionally, Uber reported a significant net income jump to $6.9 billion, boosted by a $6.4 billion tax valuation benefit and $556 million in unrealized gains from equity investments. The company also ended the quarter with $7 billion in unrestricted cash and short-term investments, underscoring its strong liquidity position heading into 2025.

What is driving Uber’s expansion into AI and autonomous vehicles?

Uber’s fourth quarter earnings reflect not only financial growth but also the company’s commitment to technological innovation. The ride-hailing leader has been aggressively investing in AI-powered services and autonomous vehicle technology to enhance operational efficiency and long-term scalability.

In Q4, Uber launched its first autonomous ride-hailing service in Abu Dhabi in collaboration with WeRide, marking its first deployment outside the U.S. Additionally, Uber Eats began piloting autonomous sidewalk robots for deliveries in Austin and Dallas, signaling its push toward automation in last-mile logistics.

Uber also partnered with NVIDIA to develop AI-driven solutions for its autonomous driving technology, reflecting its strategic vision to integrate AI across its platform to optimize ride efficiency, enhance customer experience, and improve earnings for drivers and couriers.

How is Uber positioned for growth in 2025?

Uber’s Q1 2025 outlook suggests continued momentum in mobility and delivery, with Gross Bookings projected to grow between 17% and 21% YoY, translating to $42 billion to $43.5 billion in total bookings. The company also expects adjusted EBITDA to range between $1.79 billion and $1.89 billion, reflecting 30% to 37% YoY growth.

The company’s expansion strategy includes a major push for its Uber One membership program, which reached 30 million members, growing 60% YoY. The integration of Uber’s ride-hailing services with Delta Air Lines’ loyalty program will further strengthen customer engagement, as Uber becomes the exclusive rideshare and delivery partner for Delta SkyMiles members. Additionally, Uber’s efforts to expand Uber for Teens globally are gaining traction, providing a safer and more flexible ride-hailing option for younger users in over 50 countries.

Uber’s strategic investments in autonomous vehicles, AI-powered services, and new market expansions position it for long-term revenue growth while ensuring profitability improvements. The company continues to refine its pricing strategies and service offerings to maximize market share while maintaining financial discipline.

What’s next for Uber’s financial trajectory?

Uber’s fourth quarter earnings showcased its record-breaking revenue growth, strong profitability, and strategic expansion in AI and autonomous mobility. With mobility and delivery leading the charge, the company is well-positioned to sustain its momentum into 2025.

Despite economic uncertainties, Uber’s investment in technology, operational efficiency, and market expansion strategies continues to strengthen its competitive position in the global transportation and delivery landscape.

As Uber scales its AI-driven services and autonomous vehicle deployments, its future revenue growth and profitability gains appear well-aligned with long-term market trends. Investors and analysts will closely monitor Uber’s execution of its growth strategy as it navigates evolving consumer behaviors and competitive pressures in the year ahead.