Uber India losses reduce 35% to Rs 216 crore in FY22; Operating revenue surges 7% | The Financial Express

Uber India losses reduce 35% to Rs 216 crore in FY22; Operating revenue surges 7%

The narrowing of losses was also aided by a reduction in advertising spends which were down 64% to Rs 44 crore in FY22.

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Uber’s input costs — the technology used to power its apps — increased around 10% to Rs 437 crore, up from Rs 399 crore, accounting for its largest cost.

Uber India narrowed its net loss to Rs 216 crore in FY22 from Rs 334 crore in FY21 on the back of a pick up in travel demand and easing of mobility restrictions post Covid. The narrowing of losses was also aided by a reduction in advertising spends which were down 64% to Rs 44 crore in FY22.

Overall, the company, which competes with SoftBank-backed Ola in India, saw its expenses in the year fall 13% to Rs 853 crore from Rs 985 crore in FY21. Uber’s input costs — the technology used to power its apps — increased around 10% to Rs 437 crore, up from Rs 399 crore, accounting for its largest cost. The company paid about 71% higher legal and professional fees in FY22. It stood at Rs 29 crore from Rs 17 crore in FY21.

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The increased costs were offset by a reduction of about 44% in employee benefit expenses, its second biggest cost, which reached Rs 151 crore from Rs 270 crore in FY21.

A combination of the above factors helped the San Francisco-headquartered ride hailing company to post a 7% increase in its operational revenue to Rs 397 crore in this fiscal year from Rs 370 crore that it registered in FY21.

Also Read: Ola, Uber drivers fret over 5 pc convenience fee on each autorickshaw ride

Overall, about 97% of Uber’s revenue came from rides while the remaining about Rs 9 crore came from providing supporting services. The company had earlier announced it would have an all-electric or emission-free fleet in India by 2040. “Globally, we have set a target that by 2040, all vehicles on the Uber platform will either be electric or emission-free. This is a goal that we are aiming for India too,” the company’s spokesperson had said earlier.

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First published on: 21-12-2022 at 03:15 IST
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