Uber posted a first-ever positive operative income last quarter, but worries regarding slowing sales have overshadowed any investor optimism.
After falling short of analysts' revenue expectations, shares of Uber closed down more than 5%.
Uber reported a net income of $394 million (18 cents per share), which is a significant improvement from last year's net loss of $2.6 billion ($1.33 per share).
But after Tuesday's market opening, Uber stock slid as much as 6% before recovering to a milder 4%, which still stands as the company's steepest decline since March.
Despite a remarkable 100% surge in the past year, Uber stock remains approximately 20% below its early 2021 peak.
Still, Uber's CEO is proud of the company's milestones during the quarter and announced that it was the first quarter of free cash flow of over $1 billion.
Competitors like Lyft and DoorDash are not coming close to Uber’s 15% gain during the period, and analysts predict both will report nearly $200 million in operating losses.
Uber also celebrated its first GAAP operating profit during the quarter, and its CEO said that the company plans to be profitable every quarter going forward.