Uber, Lyft Revenues Drop By Staggering 50% Due To Coronavirus Outbreak

"I think both political parties are going to be looking at that pretty hard coming out of the crisis to enhance corporate responsibility in lots of different ways whether it’s keeping employees as independent contractors, whether its restricting buybacks," Chanos said.

Additionally, when it comes to food-delivery services like GrubHub and Uber Eats, Chanos said whether they can ever be profitable remains an open question. As Chanos sees it, the problem is still essentially the same as it was when the WSJ ran its big series on the future of food delivery a year ago: No matter how much businesses like UberEats and GrubHub can scale, individual drivers can still only deliver 2-4 meals an hour, tops. There's only so much efficiency they can wring out of these drivers, and at a certain point, if GrubHub and other companies start demanding larger shares of the revenue pie, restaurants might start walking away.

1 2 3
View single page >> |

Disclaimer: Copyright ©2009-2020 ZeroHedge.com/ABC Media, LTD; All Rights Reserved. Zero Hedge is intended for Mature Audiences. Familiarize yourself with our legal and use policies every ...

How did you like this article? Let us know so we can better customize your reading experience. Users' ratings are only visible to themselves.


Leave a comment to automatically be entered into our contest to win a free Echo Show.
Andrew Armstrong 3 months ago Member's comment

It’s never about how much money they make NOW, especially when a company has a huge cash pile. It’s about increasing their customer base, and establishing their hegemony, which they’re doing by exploiting this situation.

Backyard Hiker 3 months ago Member's comment

That's from last month Anne. #Uber is operating with rideshares down 94% in the US last week. also uber eats loses money on every single delivery so any increase in that is irrelevant actually hurts them more

Anne Barry 3 months ago Member's comment

Bruce, I read that UBER Eats delivery is currently free in NYC. So not sure how that helps, though I'm not sure about the rest of the country.

Bruce Powers 3 months ago Member's comment

Considering that many companies are now at 0%, this is actually surprisingly good news for $UBER and $LYFT. Plus that 50% decrease does not include the additional 50% increase in Uber’s food delivery segment.