Uber India has reported a robust 54% year-on-year increase in its FY23 revenue, reaching Rs 2,666 crore, according to filings from data and research agency Tofler. The notable surge in revenue is attributed to significant growth in both rides and support services. Despite the revenue growth, the company’s consolidated net loss expanded, reflecting increased expenses.
Revenue Breakdown
Uber India’s FY23 revenue witnessed remarkable growth in its core ride-hailing business, with a 74% increase to Rs 678 crore compared to Rs 388 crore in the previous fiscal year. Support services, encompassing on-demand lead generation and payment facilitation from end-users, contributed substantially, reaching Rs 1,977 crore, marking a 52% increase year-on-year.
Despite the revenue gains, Uber India’s consolidated net loss in FY23 widened to Rs 311 crore, representing a nearly 59% increase from Rs 196 crore in FY22. Total expenses amounted to Rs 3,145 crore, with a significant portion allocated to employee benefit expenses, reaching Rs 2,078 crore.
Comparison with Uber Inc.
In contrast, Uber Inc., the US-based parent company, reported a substantial global revenue of $32 billion, marking an 83% year-on-year increase as of December 2022. However, the parent company also noted a net loss of $9 billion, showcasing the complex dynamics of the global ride-hailing market.
Uber India faces competition from Ola Electric, its direct competitor in the Indian market. Ola Electric reported a consolidated revenue of Rs 2,782 crore in FY23, reflecting a remarkable 510% surge. However, the company also faced a widened net loss of Rs 1,472 crore, attributed to escalating expenses.
Market Dynamics
The Indian ride-hailing industry continues to witness dynamic changes, with players adapting to evolving market conditions and consumer preferences. The surge in revenue for both Uber India and Ola Electric highlights the resilience and growth potential of the sector, even as companies grapple with increased expenses and competition.
Uber India’s significant revenue surge in FY23, driven by growth in both rides and support services, underscores the company’s continued relevance and market traction. However, the widened net loss indicates the challenges of operating in a competitive and evolving market. As the ride-hailing landscape in India evolves, companies like Uber and its competitors will need to navigate a complex set of factors to achieve sustainable growth and profitability.