Sam is a professional trader and the lead stock market news writer at AskTraders. After starting his career in the forex market, Sam now focuses on gold and stocks with a preference for fundamental and macroeconomic analysis.
Shares of Uber Technologies (NYSE: UBER) are climbing premarket on Monday after the company’s March 2021 total company gross bookings reached the highest monthly level in its nearly 12-year history.
Uber said its mobility business posted its best month since March 2020, crossing a $30 billion annualised gross bookings run-rate, with average daily Gross Bookings up 9% month-over-month.
Uber’s delivery business also set another all-time record, crossing a $52 billion annualised gross bookings run-rate in March, growing more than 150% year-over-year.
The company said the US's vaccination rate has seen consumer demand recover faster than its driver availability rate, with similar happening in its consumer delivery demand.
To address driver availability, Uber said it is increasing investments in driver incentives.
“We continue to believe that Uber is on track to reach quarterly Adjusted EBITDA profitability in 2021,” the company stated.
Elsewhere, as part of a recent UK court ruling, Uber announced on March 16, 2021, that, from March 17, 2021, private-hire drivers using its platform in the UK will be treated as workers.
As a result, there will be a historical claims settlement process for UK drivers, with Uber expecting to record a significant accrual related to the historical claims and other related costs in its first-quarter 2021 results. Therefore, it is expected to impact the company’s first-quarter revenue.
Following this mornings news, Uber's share price is up 2.05% premarket at $58.86.
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