Uber continues to be heavily loss-making despite its significant growth and expansion into new businesses, the taxi app has revealed as it filed to go public in New York.

Documents filed with the US regulator the Securities and Exchange Commission show that it made a small profit last year, but this was because of the sale of businesses in Asia.

 

It made an operational loss of $3bn. Since it was founded the company has lost $7.9bn dollars in total, it said.

Despite diversification it said its core business, providing car transportation to customers who can summon cabs using an app, still makes almost all of its money, with income of $9.2bn last year, up from $3.5bn in 2016. Its total revenue was $11.3bn.

 

Customers travelled 26bn miles using the app last year. It said its rapid expansion into cities worldwide and new areas of business had led it to take on more losses. Uber is now expected to begin its roadshow for investors, with an actual flotation expected in early May. 

The app-based taxi company, founded in San Francisco in 2009, is the second so-called “ride-hailing” firm to go public this year after Lyft, which was created three years later.
 

It has attracted controversy and has been barred either temporarily or permanently from several cities, including London, where it was granted a short-term licence last June. 

Uber has since expanded into other transportation and logistics markets, including logistics with Uber Freight, food delivery with Uber Eats, and bike and scooter sharing, after it acquired start-up Jump in April last year. 

Dara Khosrowshahi, its chief executive officer, admitted that there had been "missteps" caused by "our willingness to take risks that others might not, and that famous Uber hustle". 

Uber has much more widespread operations than its younger rival, which is mostly restricted to the US. Lyft claims to have a 39pc market share in the USA. Neither company is profitable, with Lyft losing $911m on almost $2.2bn in revenue last year.

It floated on March 29 with an initial share price of $72, giving it a valuation of $24bn. However, it has become a target for short-sellers, who bet that the company’s stock will fall in value, and has dropped below its flotation price, with analysts concerned that the shares had been overvalued amid its lack of profitability.

Uber is expected to seek a valuation of $90 to $100bn. It was initially expected to be around $20bn higher, but Lyft’s fall in value is understood to have led to a drop in expectations. 

It has faced legal challenges over the work status of its drivers, who are not employed by the company but are independent contractors and so are not eligible for the minimum wage or benefits such as sick leave, health insurance or a pension. 

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50 taxi drivers in Kirklees have been stripped of their licences

And 14 are for alleged sexual offences and one for drugs

Fifty taxi drivers across Kirklees have had their licences revoked over the past four years, ExaminerLive can reveal.

A Freedom of Information request showed 14 revocations were of a sexual assault in nature and one was for a drugs offence.
It was not stated what the other revocations were over.

Kirklees Council has said the number amounts to around 2% of licensed drivers.
It said some of the sexual assault revocations had come from incidents believed to have taken place, rather than convictions in court.

Akooji Badat, of Kirklees Hackney Carriage Association, and a taxi driver for 30 years, said he thought the recent grooming scandals have handed "too much power" to licensing officers at Kirklees Council.

He added: "I think it's terrible that taxi drivers, 95-99% of whom are Muslim, are being targeted by the authorities.

"The Muslims are being made scapegoats and that's having a reflection on taxi drivers, the majority of whom are just to go to work and make an honest living.

"I don't think we should be treated in this way."
Karl Battersby, strategic director for economy and infrastructure at Kirklees Council, said it closely monitored taxi licence holders and took a 'robust approach' to who was allowed to hold them.
He said: "We have a good relationship with the police and have police officers based within our team so we're able to draw on their intelligence information.

"The safety of our residents is our absolute priority and will take no risks when it comes to protecting people.

"Where we find a concern we will take the necessary action required and if that means revoking someone's licence, that's what we'll do.
"In the last four years we have revoked 50 licenses. However, it’s important to note that in the same period of time 213 new licenses and 3030 renewals have been issued.


"The revoked licenses amount to approximately two per cent of licensed drivers.”

 www.examinerlive.co.uk