ReportWire

Tag: Ride Hailing

  • GoTo taps new CEO in step toward game-changing Grab takeover | Fortune

    GoTo Group appointed a new chief executive officer to replace Patrick Walujo, a move that’s expected to speed the takeover of Indonesia’s largest internet company by Grab Holdings Ltd.

    Chief operating officer Hans Patuwo will take the helm from Walujo, the company said Monday. His appointment—which requires shareholder approval—comes after GoTo co-founders and prominent investors including SoftBank Group Corp. pushed for Walujo’s ouster over a dismal stock performance.

    The change-up marks an about-face for GoTo, which in January said Walujo, 50, would run the company for years to come. The former investment banker helped usher the Indonesian ride-hailing and delivery giant to its first profit over a two-and-a-half-year tenure as CEO. But the company lost more than 40% of its value over the same period, and he also opposed a takeover by Singapore’s Grab.

    Shares of GoTo climbed as much as 6.3% in Jakarta Monday, giving the company a market value of about $5 billion. Grab, traded in New York, has a market capitalization of $20 billion.

    “The transition could signal a pivot towards operational focus and revive the long-stalled proposed Grab-GoTo merger,” Citigroup Inc. analysts Ferry Wong and Ryan Davis wrote. 

    Patuwo, 49, is now set to steer a company mired in a persistent funk, grappling with a global shift towards artificial intelligence and preparing to revive talks with Grab. The likelihood of a takeover—after years of on-and-off discussions—is increasing after Indonesia’s government said it’s talking to the two companies about a deal.

    The country’s sovereign wealth fund, Danantara, is set to get involved in a plan to combine the companies. The fund began exploring a minority stake in a combined entity early this year, people familiar with the matter said in June.

    Its involvement could smooth concerns that consumers will lose out in a marriage of the country’s two biggest ride-hailing providers. “Danantara’s possible minority stake in a potential combined entity would serve as both a symbolic and structural safeguard of national interest,” and would assuage monopoly concerns, the Citigroup analysts wrote.

    Patuwo joined the company more than seven years ago from an Indonesian conglomerate, according to his LinkedIn profile. He started at the ride-hailing arm Gojek, building relationships with drivers and merchants and expanding its network across the country. Patuwo then moved to head payments and financial services.

    Among other leadership changes, GoTo said it’s appointing co-founder Andre Soelistyo to the board of commissioners. In Indonesia, company commissioners typically function as a separate body from directors, serving as a sort of steering committee on matters including corporate governance.

    Soelistyo, who headed the company before he was replaced by Walujo, helped carry out the merger of Gojek and e-commerce firm Tokopedia that created Indonesia’s biggest internet company. Previously, he was an executive director at Northstar Group, Walujo’s former private equity firm.

    GoTo shareholders will vote on matters including the leadership shift in an extraordinary general meeting on Dec. 17.

    Olivia Poh, Bloomberg

    Source link

  • Newsom signs bill giving Uber and Lyft drivers in California the right to unionize | TechCrunch

    Drivers for ride-hailing apps like Uber and Lyft will soon have the right to unionize in California as independent contractors, thanks to a bill signed Friday by Governor Gavin Newsom.

    This is part of a larger deal between lawmakers, unions, and ride-hailing companies, resulting in the passage of separate bills supporting lower insurance requirements for Uber and Lyft, along with union rights for their drivers. When the deal was first announced in August, Newsom described it as an “historic agreement between workers and business that only California could deliver.”

    The Associated Press reports that more than 800,000 drivers will gain the right to join a union and collectively bargain for better pay and benefits. Ramona Prieto, Uber’s head of public policy for California, told the AP in a statement that the two bills “represent a compromise that lowers costs for riders while creating stronger voices for drivers.”

    Massachusetts voters passed a ballot measure giving ride-hailing drivers unionization rights last fall.

    Anthony Ha

    Source link

  • Uber’s Q3 numbers include impressive profitability gains | TechCrunch

    Uber’s Q3 numbers include impressive profitability gains | TechCrunch

    Uber reported third-quarter earnings on Tuesday that show a profitable ride-hail and delivery company that’s chugging along in spite of slowing growth in some sectors.

    The company reported revenue of $9.3 billion, an 11% increase year over year. Investors had expected Uber to report revenues of around $9.5 billion (FactSet, Refinitiv), meaning that despite the company’s growth, it fell short of estimates. Turning to profitability, Uber reported net income of $221 million in the third quarter, or 10 cents per share, compared with a net loss of $1.2 billion, or 61 cents per share, in the same quarter last year. Again, the company fell short of expectations that it would generate 12 cents in per-share profit.

    Looking ahead, Uber anticipates gross bookings of $36.5 billion to $37.5 billion, up just 6% at the top-end from its Q3 result.

    After reporting, shares of Uber are up 1.6% in trading, after an up-and-down morning of shares exchange.

    Against a backdrop of macroeconomic uncertainty, the former startup darling’s results can be viewed as an indication that its business model has matured and is now in a stable, profitable and cash-generating position. On the other hand, under-performing demand results from a company as global as Uber could indicate that consumer spend is coming in lighter than anticipated.

    For startups in the transport and on-demand sectors, Uber’s earnings are a regular informational zeitgeist. So let’s work to understand where Uber’s revenue came from in the third quarter, and how each of its top-line sources converted — or not — to bottom-line results.

    Where did the money come from?

    In the third quarter, Uber saw total bookings rise from $29.1 billion to $35.3 billion, a gain of around 21%. In business segment terms, Uber generated $17.9 billion in ride-hailing bookings (+31% year over year), and $16.1 billion worth of delivery bookings (+18%). Those key business groups at the company generated $5.1 billion and $2.9 billion in revenue, respectively, during the September quarter.

    There’s nuance to the revenue figures that we need to consider as the rule-changes in question do affect startups that operate in related categories. On the ride-hailing front, Uber told its investors that its Q3 2023 revenue was “negatively impacted by business model changes in some countries that classified certain sales and marketing costs as contra revenue by $161 million.” That was not the only legal change that led to Uber’s results changing shape. Under its delivery business results, the company added that its revenue result “negatively impacted by business model changes that classified certain sales and marketing costs as contra revenue by $360 million.”

    The combined impact of those two items was 8 percentage points of growth.

    The profit perspective

    From bookings to revenues to profits: How did the main portions of Uber’s business generate black ink?

    Turning to what Uber calls “segment adjusted EBITDA,” it’s not hard to see how the company managed to rack up more income in its most recent quarter. Ride-hailing adjusted profit rose to $1.29 billion, up 43% from $898 million in the year-ago quarter, while delivery saw its own profitability skyrocket from $181 million in Q3 2022 to $413 million in its most recent fiscal period.

    Uber did spend more during Q3 2023 when compared to its Q3 2022 result, but the 5% gain in “Corporate G&A and Platform R&D” costs to $595 million was far less than the gains we saw above. So, Uber’s adjusted EBITDA rose from $516 million in aggregate to $1.09 billion in the third quarter of this year.

    Of course, adjusted EBITDA is to profit as hidden heels in men’s shoes are to height, so we’ll want some harder figures as well. In the third quarter, Uber generated $394 million in operating income and $219 million worth of net income. Mix in $966 million worth of positive operating cash flow, and Uber looks very healthy given that all of the figures in this paragraph were improvements on its year-ago results.

    But while food delivery and scooting humans about town were profitable for Uber in the quarter, the final major portion of its business had a more lackluster quarter.

    Freight falls

    One area that continues to drag on Uber is its freight business.

    While Uber’s ride-hailing and delivery business saw an uptick in gross bookings in the third quarter, Uber Freight experienced a 27% drop year-over-year. Revenue, as a result, had a similar fall.

    The business unit reported revenue of $1.3 billion in the third quarter, a 27% drop from the same period last year. On an quarter-over-quarter basis, Uber Freight had a 1% gain in revenue.

    The results don’t get any better once we turn to net income. On an adjusted basis, Uber Freight lost $13 million in the third quarter compared to a $1 million profit in the same quarter last year.

    Uber said the dismal year-over-year revenue results for its freight business was driven by lower revenue per load and volume. Both are consequences of the challenging freight market cycle.

    Uber Freight isn’t alone. Other more recent entrants to the freight and logistics industry such as Flexport and Convoy have struggled this year. In Convoy’s case, the business was forced to shut down with its assets gobbled up by Flexport.

    Uber Freight continues to plug along, despite these economic headwinds. The question is whether Uber believes in the long-term income potential of freight.

    So what?

    When discussing Uber’s results internally, our vibe was that it is a very profitable and healthy company today, albeit one that is not growing as fast as the market had hoped. The fact that Uber’s share price is up as we write this indicates that investors are content thus far to excuse the small Q3 misses and keep their eyes more focused on its year-over-year improvements and forward guidance. More when we get Lyft’s numbers.

    Kirsten Korosec

    Source link

  • Former Uber LatAm Head of Policy Leads Crypto Ride-Hailer Drife (DRF) Toward Planned Global Expansion Later This Year

    Former Uber LatAm Head of Policy Leads Crypto Ride-Hailer Drife (DRF) Toward Planned Global Expansion Later This Year

    Former Uber Latin America Head of Policy w/ over 20 yrs of ridesharing, policy, and governmental experience, will lead crypto ride-hailer, Drife, toward its planned Market Expansion to Brazil, France & Dubai

    Press Release
    –

    Mar 7, 2022


    LOS ANGELES, March 7, 2022 (Newswire.com)
    –
    Drife, the world’s first decentralized blockchain-based ride-hailing platform announced that former Uber Technologies, Inc. LatAm Head of Policy, Daniel Mangabeira Dantas, who now serves as a Strategic Investor and Policy Advisor for Drife, will help lead the company toward its planned global expansion. Dantas, who has over 20 years of experience in regulatory, policy, government, and institutional relations, is assisting Drife through the advanced stages of obtaining operational approval for Brazil, France, and Dubai, and will also help the company break into the US and Asian markets.

    Dantas states, “I truly believe that Drife’s business model, supported by token-based blockchain-intensive governance protocols, can come to strengthen ridesharing businesses as we know it today. It is the sort of innovation that, beyond conflicting, has what it takes to add great value to the ride-hailing ecosystem at large.” 

    What value can Drife’s decentralized model add to the ride-hailing industry?

    In the Ridesharing space, Drife takes inspiration from more consolidated ridesharing models – but makes use of distinct blockchain-based technology and innovative crypto-intensive economics. Drife introduces a new, decentralized language to the ride-hailing environment: the platform’s flexible peer-to-peer marketplace allows for significantly increased customization. Drife’s unique decentralized, NFT-based franchise model will seek to enable riders, drivers, fleet owners, and local transportation companies to govern themselves more efficiently, thus making use of innovative and powerful technology to run a fair and cost-effective business model. 

    Utilizing Drife’s patent-pending price negotiation model, drivers and riders can communicate directly on the Drife platform, negotiating a fee-for-service to complete rides.  Drivers then take home 100% of the fares, which they can withdraw on the same day.  Riders can also pay using cryptocurrency.

    Drife utilizes blockchain technology to tokenize every step of the ride-hailing process.  The DRF cryptocurrency token is utilized for governance of the Drife ecosystem, ride rewards, and staking for franchise operations.  One can either stake DRF to earn franchise operational rights or choose to share in the profits as an investor.

    Where is Drife currently operating? 

    Drife is currently piloting in Bangalore, India, where it already amassed over 2000 drivers and 3500 registered users.  Drife also has a waitlist of 20,000 more drivers who are onboarded and ready to join with an aim of expansion of 10,000 active drivers by end of Q2 2022.

    About Drife

    Drife is a decentralized ride-hailing platform powered by blockchain with the intent of empowering drivers, riders, and community developers. Drife plans to disrupt the existing business model and remove the corporate intermediaries involved in the transactions.

    For more information on Drife:

    Official Website: https://www.drife.io
    Telegram – https://t.me/Drife_officialchat
    Twitter  – https://twitter.com/Drife_official
    Medium  – https://blog.drife.io

    Media Contact:
    Firdosh Sheikh
    info@drife.io

    Source: Drife

    Source link

  • Mobility on Demand Market Revenue to Hit USD 250 Billion-Mark by 2026: Global Market Insights, Inc.

    Mobility on Demand Market Revenue to Hit USD 250 Billion-Mark by 2026: Global Market Insights, Inc.

    The North America mobility on demand (MOD) market accounts for a large share as compared to other regions owing to large number of consumers, primarily the millennial generation that is more inclined to adopt these technologies.


    SELBYVILLE, Del., November 12, 2019 (Newswire.com)
    –
    ​​According to the latest report “Mobility on Demand Market by Service (Car Sharing [By Model {P2P, Station-Based, Free-Floating}, By Business Model {Round Trip, One Way}], Ride Hailing, Car Rental [By Vehicle Type {Luxury Car, Executive Car, Economy Car, SUV, MUV}], Application (Business, Private), Regional Outlook, Competitive Market Share & Forecast 2026”, by Global Market Insights, Inc., the market valuation for mobility on demand will cross $250 billion by 2026. The growing demand for alternative transportation modes over private vehicles is anticipated to drive the market in the coming years.

    Request for a sample of this research report @

    https://www.gminsights.com/request-sample/detail/1229

    Some major findings in the mobility on demand (MOD) market report include:

    Ø  Stringent regulations pertaining to hazardous gas emissions are encouraging several companies to invest in industry developments

    Ø  The rising working population has created the requirements for time-reliable and flexible mobility solutions across the globe

    Ø  Increased consumer security and flexibility offered by newly developed mobility service providers is adding up to the demand globally

    Ø  Rising automobile prices and cost of ownership of technically advanced vehicles limit consumers to purchase new vehicles. However, these factors of the automotive industry are compelling consumers to opt on-demand mobility options supporting the mobility on demand market development.

    Ø  Prominent players operating in the industry include Drivy, Grab, Didi Chuxing, Daimler AG, Avis, Enterprise Holdings, Lyft, Uber Technologies, General Motors, Zipcar, Delphi Automotive, etc.

    Several service providers are focusing on the regional expansion and gaining investments from government, automakers, and investors to develop a flexible service portfolio. Automotive manufacturers in cooperation with other industrial entities are launching various car sharing, ride hailing, and car rental platforms to cater to the increasing consumer demands and gain high profits over smaller companies. For instance, in April 2019, Enterprise Holdings announced its plan to launch a new car subscription service, which will allow customers to pay a monthly fee for its six vehicle options.

    Make an Inquiry for purchasing this report @

    https://www.gminsights.com/inquiry-before-buying/1229

    The North America region accounted for a large mobility on demand market share in 2018 as compared to other regions owing to the large number of consumers, primarily the millennial generation that is more inclined to adopt these technologies. Employing mobility on demand provides consumers with the benefits of using a vehicle without extra financial funds such as vehicle lease, maintenance, repair, and insurance needed in owning & maintaining a vehicle. Large organizations operating in this region are also employing corporate mobility on demand (MOD) to attract and retain employees without incurring very high financial costs. North America also accounts for a large number of market players such as Lyft, Zipcar, and Maven, that are growing in prominence owing to the large target customer base and ideal work conditions such as ease in setting up a business.

    Technological advancements and changing social & environmental needs are enabling the mobility on demand industry to change continuously. Several industry participants are increasing their investments in innovations to enhance the efficiency of these services. For instance, the Federal Transit Administration developed the mobility on demand initiative to develop efficient, automated, integrated, and connected transportation systems to offer personalized mobility options. Governments across the globe are promoting the usage of these on-demand mobility options to reduce traffic congestion and maintain the environmental conditions.

    Browse key industry insights spread across 320 pages with 554 market data tables and 31 figures & charts from the report, “Mobility on Demand Market Statistics 2019-2026” in detail along with the table of contents @

    https://www.gminsights.com/industry-analysis/mobility-on-demand-mod-market

    Table of Contents (ToC) of the report:

    Chapter 3    Mobility on Demand Market Insights

    3.1    Industry segmentation

    3.2    Industry landscape

    3.2.1    Evolution of car sharing business model

    3.2.2    Ride hailing industry landscape

    3.2.3    Demographic analysis

    3.2.4    Automotive industry landscape, 2015 – 2026

    3.3    Mobility on demand service availing frequency, per day, per month, per year

    3.4    Industry ecosystem analysis

    3.4.1    Aggregators

    3.4.2    Optimizer

    3.4.3    Fleet management service providers

    3.4.4    Fleet financing

    3.4.5    Fleet manufacturers

    3.4.6    Intermediary bodies that act as intermediary between mobility services and public transport

    3.4.7    Vendor matrix

    3.5    Technology & innovation landscape

    3.5.1    Ride hailing apps

    3.5.2    5G infrastructure

    3.5.3    Radio Frequency (RF)

    3.5.4    GPS based navigation

    3.5.5    Autonomous vehicles

    3.5.6    Electric vehicles

    3.6    Regulatory landscape

    3.6.1    Vehicle Excise and Registration Act 1994 (Section 29)

    3.6.2    Environmental Protection Agency

    3.6.3    Regulation for Greenhouse Gas Emission from Passenger cars and Trucks

    3.6.4    Road Traffic Act 1988

    3.6.5    Canada Motor Vehicle Safety Act

    3.6.6    Vehicular Safety Standards & Regulations in India

    3.6.7    Anti-air-pollution law

    3.7    Industry impact forces

    3.7.1    Growth drivers

    3.7.2    Industry pitfalls and challenges

    3.8    Growth potential analysis

    3.8.1    Car sharing

    3.8.2    Car rental

    3.8.3    Ride hailing

    3.9    Porter’s analysis

    3.10    Competitive landscape, 2018

    3.10.1    Key differentiators

    3.10.2    Investment landscape

    3.10.3    Significant development by key players

    3.11    PESTEL analysis

    Browse Complete Table of Contents (ToC) @

    https://www.gminsights.com/toc/detail/mobility-on-demand-mod-market

    About Global Market Insights

    Global Market Insights, Inc., headquartered in Delaware, U.S., is a global market research and consulting service provider; offering syndicated and custom research reports along with growth consulting services. Our business intelligence and industry research reports offer clients with penetrative insights and actionable market data specially designed and presented to aid strategic decision making. These exhaustive reports are designed via a proprietary research methodology and are available for key industries such as chemicals, advanced materials, technology, renewable energy and biotechnology.

    Contact Us:

    Arun Hegde
    Corporate Sales, USA
    Global Market Insights, Inc.
    Phone: 1-302-846-7766
    Toll Free: 1-888-689-0688
    Email: sales@gminsights.com

    Source: Global Market Insights, Inc.

    Source link