Ridehailing giant Uber (NYSE: UBER) has announced plans to buy back $20bn of its shares from investors. The company announced the massive buyback, equivalent to nearly 10% of its $190bn market capitalization, along with record quarterly earnings results. Uber reported $12.7bn in revenue in the second quarter of 2025, up 18% year-on-year, and a $1.4bn net profit.

A $20bn buyback is almost triple the $7bn in share buybacks Uber has previously announced. It signals long-term confidence in Uber delivering more profit despite broader economic headwinds in the U.S., its biggest market.

• Under chief executive Dara Khosrowshahi, who assumed the role in 2017, Uber has transformed from a rapid-growth, money-losing tech startup into a more stable, profitable company. Growth isn’t as rapid as in the early days, but Uber’s business continues to increase significantly. Khosrowshahi replaced Uber co-founder Travis Kalanick as chief executive in 2017.

Although Uber earns most of its revenue from ridehailing, growth has been faster in its Uber Eats food delivery business. The company also has a smaller freight booking business.

In the second quarter of 2025, Uber reported $7.3bn in revenue from ridehailing, $4.1bn from food delivery, and $1.3bn from freight bookings. Delivery revenue grew 25% year-on-year, compared to a 19% growth in ridehailing and a 1% decrease in freight revenue.

Uber launched its first share buyback scheme in 2024 and has nearly tripled its buyback ambitions barely a year later. The company’s shares rose a modest 1% following the new buyback announcement, giving it a near-record $190bn market capitalization.

Share this...

Facebook

Pinterest

Twitter

Linkedin

Whatsapp

Email

Print