expansion! Burn money! Uber's revenue of 6.5 billion U.S. dollars last year
(Original title: Uber registers $2.8bn loss in 2016 expansion drive) According to the Financial Times, Uber lost $2.8 billion in the global expansion last year and continues to be the worst-hit private company in the history of Silicon Valley. The San Francisco-based transportation network company also achieved rapid growth in the past year, with revenue of 6.5 billion U.S. dollars in 2016. This makes Uber more expensive than Yahoo, Twitter, Snapchat, or Airbnb. In previous quarters, Uber's financial status attracted investors' close attention and was often leaked to the media. This Friday, Uber surprisingly confirmed directly to the media its fourth-quarter and full-year revenue figures. As the world's most valuable technology company, Uber has now expanded to more than 70 countries around the world, and in the process burns money to provide subsidies for franchisees. In the fourth quarter of last year, the net loss was 991 million U.S. dollars, which was 5% higher than the third quarter, but the revenue during the period increased by 70%. As Uber's business continues to expand, its annual revenue also continues to grow. Fourth-quarter net income was 2.9 billion U.S. dollars, which was more than three times the income of the first quarter. Uber declined to disclose the financial status of the first quarter of the new year. Since 2017, Uber has been plagued by continuous disruption and has been plagued by a series of scandals and the departure of executives. Analysts said that Uber’s annual loss and revenue were higher than expected. Rohit Kulkarni, head of research at Sharepost, a private company equity trading platform, believes that money-burning is slowing down and shows that Uber is beginning to take profitability seriously. Last week, Uber's competitor Lyft in the United States completed a new round of financing, forcing Uber to increase its subsidy in the US market. In addition, Uber has also been investing in the Indian market and self-driving projects, but lately the latter has encountered trouble with rival Waymo lawsuits. Although Uber is far ahead of the global expansion, it is in the United States local market and Lyft. This has led some investors to doubt whether Uber is still worth a valuation of $62.5 billion. Silicon Valley's investment method is not known for its scientific rigor, and the figure of $62.5 billion partially reflects the psychology of investor eagerness. Uber is expected to conduct an IPO in 2018 or more, and the actual value of this valuation will be tested. Santosh Rao, an analyst at Manhattan Venture Partners, believes Uber’s corporate value should be close to US$45 billion, including Uber’s equity in China. Uber has $7 billion in cash on hand and another $2.3 billion in credit lines. This means that according to the current speed of burning money, even without additional funding, the current funding reserves are enough for Uber to operate for more than three years. (Sun Wenwen)