Uber has suffered a train of controversies but its recent financial report suggests the company is doing fine amid a lack of leadership at the moment.
Former CEO and co-founder Travis Kalanick resigned last month after getting involved in various administrative issues. According to Bloomberg, Uber nets $1.75 billion in adjusted revenue to lower its losses to by nine percent or equivalent to $645 million.
An executive committee oversees the day-to-day operations at Uber as it continues to search for the next CEO. Some of the changes that have taken places are in-app tipping for drivers. Uber revealed that they have paid $50 million in gratuity since June.
At the end of Q2, Uber recorded $8.7 billion cash on hand which is a 17 percent jump from the previous quarter. Per Axios, global expansion helped drive Uber’s revenue growth. It now offers its service to China and Russia. Uber remains a private firm and no longer required to report unadjusted revenues to investors.
In an article published by BBC News, former General Electric boss Jeff Immelt is rumored to be in the running to replace Kalanick as Uber CEO. Kalanick was still running the company in Q2 so the complications from his resignation could present themselves in the second half of the year.
Meanwhile, Uber’s Philippine chapter is embroiled in a different legal battle. The Land Transportation Franchising and Regulatory Board (LTFRB) decided to suspend Uber for a month after it violated an order to stop accepting applications for accreditation of transport network vehicle services (TNVS) or approving their operations.
CNN Philippines reports that the ride-hailing company offered to pay a fine of ₱10 million (around $196,000) in lieu of the suspension. However, LTFRB Board Member Atty. Aileen Lizada claims the ₱10 million offered by Uber would still go higher as the board members review the impact of the violations of the suspended company.“It will be a collegial decision. We set aside the financial assistance, the amount of the financial assistance separate from the fine,” Lizada added. A recent update says LTFRB is now asking ₱190 million (about $3.71 million) worth of fines from Uber before it lifts the suspension.
Transport group KAPIT Jeepney Operators wants Uber to pay ₱120,000 or about $2300 for every vehicle that operated without a franchise. This roughly amounts to ₱6 billion or about $117 million in total. Naturally, Uber balks at the amount they deem too high for a penalty.
Despite the challenges that Uber faced in the Q2, business remained active. This is an indication that the company has been getting stronger and it should if it wants to overcome bigger hurdles in the future.
Buffett Made This One Big Mistake. Don’t Let Yourself Do the Same
When an investment opportunity like AR and VR comes along, it can be hard knowing when to jump. Even if...
Bank of America Sees Bitcoin as an Opportunity for El Salvador
September 7th, 2021 is the date set for the introduction of Bitcoin as the official currency in El Salvador. BTC...
Spanish Biotech Companies’ Profits Fall 28% in the First Half of the Year
Grifols, which specializes in the production of plasma derivatives, achieved a profit of $317.2 million (€266.8 million) in the first...
The Economic Situation in Morocco: Domestic Demand Continues to Recover
Domestic demand in Morocco continued to recover in Q2-2021. According to the HCP, household consumption has, in fact, strengthened by...
Soybeans Market Closed Lower on Friday
Soybeans and the products were lower on Friday. Soybeans closed the week a little higher while the products were narrowly...
Business6 days ago
The Metaverse Is the Way of the Future, and Facebook Just Confirmed It
Cannabis6 days ago
Colombia Now a Major Player in Industrial Cannabis Production
Crowdfunding6 days ago
Eltif ALICrowd Invests €600,000 in the Equity Crowdfunding Campaign of Orapesce
Africa6 days ago
New Control System of Industrial Products Imports in Morocco