On Wednesday, Uber shared its first-quarter financial results that fell short of forecasts, yet the ride-hailing leader provided booking guidance for the upcoming quarter that surpassed what analysts had predicted.

Shares of the company rose by 10% after the financial report was made public.

Below is a breakdown of how the company’s performance compared to Wall Street’s projections, based on data gathered by LSEG:

• Profits per share: 13 cents compared to the anticipated 70 cents
• Total income: $13.2 billion compared to the projected $13.29 billion

Uber noted that its net profit was reduced by $1.5 billion because of the reassessment of equity holdings. On a non-GAAP basis, the firm reported profits of 72 cents per share in its Wednesday financial statement. The company holds equity stakes in Didi and Grab, two Asian-based firms.

Due to the ‘pre-tax challenge’ caused by these reassessments, net profit dropped to $263 million from $1.78 billion in the previous year. Income for the quarter grew by 14% from $11.5 billion a year prior.

Uber’s delivery division, which is expanding the most rapidly, saw a 34% increase in income to $5.07 billion from $3.78 billion in the same period last year. This surpassed the average analyst forecast of $4.89 billion, according to StreetAccount.

The firm highlighted that delivery expansion was robust in Australia, Japan, and the U.K.

The shortfall in total income was driven by the results of Uber’s mobility, or ride-hailing, operations. Sales grew by 5% from the previous year to $6.8 billion, while analysts had anticipated revenue of $7.11 billion, according to StreetAccount.

In advance of the earnings call, CEO Dara Khosrowshahi stated that Uber is dealing with a ‘complex macro environment characterized by weather-related disruptions, geopolitical conflicts, and fluctuating fuel costs.’ Since the U.S. initiated military actions in Iran in February, domestic fuel prices have risen by approximately 50%.

These elevated costs are especially difficult for Uber drivers, who cover their own fuel expenses. Towards the end of March, Uber introduced fuel discounts and additional incentives for drivers, which will remain available until nearly the end of May.

The firm logged 3.6 billion trips during the first quarter. Total bookings grew by 25% to $53.7 billion, exceeding the average estimate of $52.8 billion. For the second quarter, the company anticipates bookings between $56.25 billion and $57.75 billion, surpassing the consensus forecast of $56.17 billion.

Uber continues to invest in autonomous technology and intends to purchase self-driving vehicles from partners such as Waabi, Wayve, Rivian, and Nuro once they are certified as safe for operation without human oversight or drivers.

The company is also providing services like specialized insurance, operational support, and training data to the autonomous vehicle sector.

To cut internal expenses, Uber has integrated artificial intelligence to boost engineering efficiency and is slowing its recruitment pace. The firm noted in its prepared remarks that 95% of its engineering staff now utilize AI coding tools on a monthly basis, with over 10% of the company’s code being ‘generated autonomously by AI coding agents.’

Uber leadership will review the results on a conference call with analysts starting at 8 a.m. ET.