Uber chief targets profitability by 2022

Bloomberg

Uber Technologies Inc., whose losses have piled up in the quest for growth around the world, will be profitable in three years as its ride-hailing business matures and the company reaps the rewards from investments in areas such as autonomous vehicles, said Chief Executive Officer Dara Khosrowshahi.
Bending the company’s financial trajectory out of the red would be a dramatic shift for the global ride-hailing service that loses billions of dollars a year. Speaking to Bloomberg News, Khosrowshahi said that even as the company would continue to be aggressive about expansion, it’s finding ways to be more efficient.
While Khosrowshahi didn’t give a specific time frame, he said “we’ll be profitable before 2022”.
The core ride-sharing business can be profitable “within three years,” he said, while also cautioning that “we will continue to make very aggressive investments.”
During the third quarter, the company lost $1.46 billion, up from $1.06 billion during the previous three-month period.
Almost six months into his tenure leading Uber, Khosrowshahi is attempting to reverse what has been an unprecedented time of turmoil. The company is facing various government investigations, allegations of harassment and increasing competition from rivals around the world.
Khosrowshahi said his goal for 2018 is to “get back to normalcy” after the challenges left by former CEO Travis Kalanick.
“Breakneck growth can hide cultural issues,” he said.
Khosrowshahi said Uber was investing heavily in autonomous driving technology and that it would begin adding the cars in some cities within 18 months. The vehicles will at first only carry passengers on select routes, then it will expand over time as the software and mapping systems improve.

Uber IPO
Khosrowshahi has said he wants to take Uber public as early as next year, a process that would open the company’s financial performance up to more scrutiny. The company recently finalised a deal that makes the Japanese technology conglomerate SoftBank Group Corp. its largest shareholder.
Rajeev Misra, a SoftBank executive joining Uber’s board, suggested in a recent interview with the
Financial Times that Uber focus on core markets such as the US, Europe, Latin America and Australia. In the interview at Davos, Khosrowshahi disagreed, saying the company would be “leaning forward” to expand.