The ridesharing giant saw second-quarter losses climb to $100 million in the U.S. alone, where it turned a profit in the previous quarter, the company's chief of finance told investors during a Friday conference call. Second-quarter losses are said to exceed $750 million overall, adding to previous losses of $520 million before interest, taxes, depreciation, and amortization.
Uber partly blames its situation on the competition with Lyft. The company told investors it's willing to spend more money to hold onto U.S. market share. (Uber claims to have between 84 and 87 percent of the U.S. market, delivering 62 million rides to Lyft's 13.9 million last month.)
It's also worth noting Uber had been losing a lot of money in China, a market it recently abandoned. In July, the company agreed to be locally acquired by its rival, Didi Chuxing, for $1 billion and a 17.5 percent stake in the business. Uber says it doesn't plan to see any losses from China after August.
"I think what Uber is trying to do is, 'Hey, look, we're going to take the losses up front in order to get to disproportionate scale," said Robert Siegel, a lecturer at Stanford's business school. "The question is when they can get to profitability."
The news come just one week after Uber announced that it will test its first self-driving cars in Pittsburgh later this month.