Uber reported substantial losses in 2016, with the company on track to lose roughly $3 billion for the year. In the third quarter of 2016 alone, Uber posted losses exceeding $800 million; that figure excludes the results from its China operations, which the company had wound down.
Despite these losses, Uber’s revenue showed strong growth. The company generated approximately $3.76 billion in net revenue during the first nine months of 2016, placing it on pace to surpass $5.5 billion for the full year. Uber’s valuation also rose sharply, reaching about $69 billion, a level that at the time exceeded the market value of several long-established automakers.
Net revenue — the amount remaining after paying expenses such as driver fees — climbed through 2016. Uber reported $1.7 billion in net revenue for the third quarter, up from $1.1 billion in the second quarter and $960 million in the first quarter.
Meanwhile, Lyft, Uber’s closest competitor, told investors it planned to limit quarterly losses to under $150 million, reflecting a different financial strategy as the ride-hailing market evolved.