Uber Technologies Inc (UBER)

Return on equity (ROE)

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Net income (ttm)	US$ in thousands	9,856,000	4,402,000	2,011,000	1,390,000	1,887,000	1,053,000	-374,000	-3,401,000	-9,180,000	-8,883,000	-10,101,000	-6,324,000	-496,000	-2,356,000	-1,021,000	-3,940,000	-6,768,000	-6,896,000	-6,969,000	-10,430,000
Total stockholders’ equity	US$ in thousands	21,558,000	14,780,000	12,350,000	11,058,000	11,249,000	9,358,000	8,664,000	7,508,000	7,340,000	6,247,000	6,661,000	8,916,000	14,458,000	13,931,000	14,175,000	13,598,000	12,266,000	8,942,000	9,550,000	11,342,000
ROE		45.72%	29.78%	16.28%	12.57%	16.77%	11.25%	-4.32%	-45.30%	-125.07%	-142.20%	-151.64%	-70.93%	-3.43%	-16.91%	-7.20%	-28.97%	-55.18%	-77.12%	-72.97%	-91.96%

December 31, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $9,856,000K ÷ $21,558,000K
= 45.72%

The return on equity (ROE) of Uber Technologies Inc has displayed a significant improvement over the period analyzed. Starting at a negative ROE of around -92% as of March 31, 2020, the company made steady progress, gradually reducing its negative ROE figures. By March 31, 2024, Uber's ROE had turned positive, reaching 12.57%.

The negative ROE figures recorded for Uber in the earlier periods indicate challenges with generating profits relative to its shareholders' equity. However, the company's strategic efforts seemed to be paying off as reflected in the turnaround in ROE. Uber's ability to enhance its profitability and efficiently utilize its equity funding is evident in the positive ROE figures observed from March 2024 onwards.

The consistent improvement in ROE signals that Uber has been able to enhance its financial performance and generate higher returns for its shareholders in recent quarters. This positive trend is favorable for the company's sustainability and potential long-term growth. It indicates that Uber is effectively leveraging its equity to generate profits and create value for its shareholders.