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ArabFinance: Uber Technologies Inc. will cut spending on marketing and incentives as response to the company’s “seismic shift” in investor sentiment, CNBC reported on May 9th, citing an email by Uber’s CEO Dara Khosrowashahi.
The ride-hailing firm will also treat hiring as a “privilege” to address the shift in economic sentiment, Khosrowashahi added.
“We will treat hiring as a privilege and be deliberate about when and where we add headcount,” he said.
The company will now focus on making profits on a free cash flow basis rather than adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA), he noted.
“We have made a ton of progress in terms of profitability, setting a target for $5 billion in adjusted EBITDA in 2024, but the goalposts have changed,” Khosrowshahi said.
Uber is a mobility service provider based in San Franscisco, with operations in up to 72 countries.
