Uber Technologies (UBER) - 2025 Goldman Sachs TMT Conference
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Goldman Sachs TMT Conference – Fireside Chat
Date: September 8, 2025
Executive Present: Dara Khosrowshahi – CEO & Director
Financial Performance
“Last quarter, we grew top line 8%, bottom line 35%” showing strong operating leverage.
Gross bookings (GBs) have grown 18%+ every quarter for the past two years with higher margins.
Mobility business in top 20 markets still growing “in the teens” in trip volumes.
Delivery and mobility both seeing expansion into less dense markets, growing 1.5x–3x faster than core urban centers.
Membership revenue is now at a $2B run rate, with over 36M members, up 60% YoY.
Guidance & Future Trends
Uber expects to continue balancing growth and margins: “We’re able to deliver both top line and bottom line … I don’t see an end to that”.
3-year growth targets previously shared with investors remain on track.
AV (autonomous vehicles) is highlighted as a $1T+ TAM expansion opportunity, with deployments in the U.S. and internationally in 2025.
Frequency trends are strong: monthly active platform consumers use Uber 6x/month on average; top 10% use it 15x.
Uber expects frequency and membership monetization to continue driving incremental trips and spend.
Capital Allocation
Priorities:
Organic growth investments (even if currently loss-making).
Strategic AV investments and commitments for vehicle supply.
Opportunistic M&A (e.g., Trendyol Go in Turkey cited as success).
Shareholder returns via buybacks.
Announced $20B buyback, backed by strong free cash flow.
Dara: “Growth initiatives are always going to be top priority … buybacks come after organic and inorganic opportunities.”
Macro & Demand Trends
Demand remains “quite encouraging” with no signs of consumers trading down in restaurants or stores.
Mobility trips grew 19% in recent quarters; consistency expected near term.
Uber views itself as hedged against macro: in strong economies, demand rises; in weaker ones, labor supply improves, lowering surge pricing and spurring demand.
Mobility & Delivery Trends
Mobility: “Trips are still growing in the teens” across top markets; suburban/secondary cities growing faster.
Strategy: barbell model – premium products (Reserve, SUV Comfort) drive margins, subsidizing affordable growth products (2/3 wheelers, Wait & Save, Price Lock).
Delivery: moving from food into grocery & retail. U.S. selection up 35% YoY, with new partners like DICK’S, Five Below, Dollar General.
Direct B2B delivery business growing rapidly, not yet profitable but strategically important.
Grocery currently focused on “top-up” ($30–$50 baskets) but expected to expand into weekly shops.
Autonomous Vehicles & AI
AV rollout with Waymo (U.S.), Momenta (China/Europe), Avride & May Mobility (Texas) among 20+ partners.
In Atlanta and Austin, Waymo vehicles are “busier than 99% of our human drivers”.
Hardware costs plummeting (LiDAR from $20–30K to $300–400).
Consumers show willingness to pay a premium for AV rides, citing safety and quality.
10 Notable Quotes
“We continue to be the only global player that’s running both mobility and a delivery marketplace.”
“1/3 of deliveries’ first trips come from the mobility app.”
“Riders who use both Rides and Eats spend 3x more than ones who don’t.”
“We grew top line 8%, bottom line 35% last quarter.”
“We’ve got over 36 million members growing 60% year-on-year.”
“Over 60% of delivery gross bookings now come from members.”
“Our Waymos in Atlanta and Austin are busier than 99% of our human drivers.”
“LiDAR … now costs $300–400 per unit versus $20,000–30,000 just a few years ago.”
“We announced a $20 billion buyback … but organic growth will always come first.”
“We think the stock is a great opportunity … effective capital allocation can be a real booster in terms of stock price value.”
Q&A Summary
Q (Goldman Sachs – Eric Sheridan): Evolution of Uber’s platform?
A (Dara): Mobility + Delivery integration is working, cross-platform usage is growing, and new products (Reserve, Grocery, AV) are scaling.Q: How does management structure support execution?
A: Appointment of Andrew Macdonald as President/COO aligns Mobility & Delivery under one operator, improving trade-off decisions and cross-selling.Q: Driving frequency and Uber One strategy?
A: Four levers: improve core product, affordability, expand services, and membership. Uber One now >$2B revenue, >36M members.Q: Delivery beyond food?
A: Grocery & retail expansion with major partners; B2B delivery service (“direct”) growing quickly. Focus on top-up shopping today, expanding into full weekly baskets later.Q: Mobility growth drivers?
A: Strong trip growth in top 20 markets; faster in suburbs/secondary cities; barbell model of premium & affordable products; commuter-focused “Price Lock” boosts trips.Q: Macro demand?
A: Consistent and robust, with Uber’s model naturally hedged against different economic environments.Q: AV adoption?
A: Consumer reception strong; vehicles outperform most human drivers; cost curve for hardware highly favorable; expansion accelerating globally.Q: Capital allocation priorities?
A: Organic growth > AV > M&A > buybacks. $20B buyback authorized but secondary to reinvestment.
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