Uber posts record gross bookings in March as ride-hailing demand picks up

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Dara Khosrowshahi, CEO of Uber, appears connected CNBC's Squawk Box astatine the 2020 World Economic Forum successful Davos, Switzerland connected Jan,. 22nd, 2020.

Adam Galica | CNBC

Uber connected Monday said it posted grounds gross bookings successful the period of March, signaling a pick-up successful request for its ride-hailing business.

The tech giant's mobility portion was deed hard by the coronavirus pandemic past twelvemonth arsenic lockdown restrictions led to a illness successful request for ride-sharing services. It's benefited from a roar successful nutrient delivery, however, which helped to bounds losses successful 2020.

Uber said its mobility concern posted its champion period since March past year, with an annualized tally complaint of $30 billion, which was up 9% from a period earlier. Its transportation unit, meanwhile, reached a grounds yearly tally complaint of $52 cardinal successful March, much than doubling from the erstwhile year.

"As vaccination rates summation successful the United States, we are observing that user request for Mobility is recovering faster than operator availability, and user request for Delivery continues to transcend courier availability," Uber said successful a filing with the U.S. Securities and Exchange Commission.

Last week, Uber announced it would walk $250 cardinal successful a one-time "stimulus" package aimed astatine getting drivers backmost connected the road. The wealth volition spell toward bonuses for drivers, guaranteed wage and on-boarding caller Uber drivers. It comes arsenic states statesman to propulsion backmost immoderate of their pandemic restrictions and rotation retired vaccines.

Uber remains heavy loss-making though, losing astir $6.8 billion past year. There person agelong been doubts astir whether Uber's concern exemplary works. But the institution believes it tin inactive go profitable by the extremity of 2021 connected an adjusted EBITDA basis. Lyft, Uber's main rival successful the U.S., has made a akin commitment.

Last month, Uber reclassified each 70,000 of its U.K. drivers arsenic workers entitled to a minimum wage and different employment protections aft the country's Supreme Court ruled a radical of Uber's drivers should beryllium classed arsenic workers, not autarkic contractors. The determination is expected to pb to higher costs for Uber and could person broader ramifications for the gig economy.