Uber Technologies’ Board of Directors has authorized the repurchase of up to $7 billion of the company’s common stock, it said on Wednesday.
“Today’s authorization of our first-ever share repurchase program is a vote of confidence in the company’s strong financial momentum. We will be thoughtful as it relates to the pace of our buyback, beginning with actions that partially offset stock-based compensation, and working towards a consistent reduction in share count,” Uber CFO Prashanth Mahendra-Rajah said.
The buyback announcement comes a week after the company, which operates ride-hailing and food-delivery services, announced its results.
Uber’s fourth quarter revenue grew 15 percent year-on-year to $9.9 billion. For the full year, revenue was up 17 percent at $37.3 billion.
Gross bookings in the last quarter grew 22 percent year-on-year to $37.6 billion. Trips during the quarter grew 24 percent to 2.6 billion, or approximately 28 million trips per day on average.
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