Uber Technologies Inc. (NYSE:UBER)

Debt to Equity

The debt to equity ratio exhibited an overall increase from early 2021 through late 2022, peaking around September 2022 with a value near 1.48. Following this peak, the ratio showed a notable decline from late 2022 onward, reaching approximately 0.38 by mid to late 2025. This indicates a significant reduction in reliance on debt relative to shareholders' equity during the latter part of the observed period.

Debt to Equity (Including Operating Lease Liability)

When including operating lease liabilities, the debt to equity ratio followed a similar trajectory to the standard debt to equity ratio. It rose sharply to a peak of about 1.77 in September 2022 and then consistently decreased thereafter, reaching approximately 0.43 by late 2025. The inclusion of operating leases consistently yielded slightly higher leverage ratios, reflecting the impact of lease obligations on the company’s financial structure.

Debt to Capital

The debt to capital ratio rose from around 0.36 in the first quarter of 2021 to a high near 0.60 by late 2022, indicating an increasing proportion of debt within total capital. From late 2022 onwards, there was a gradual and sustained decline in this ratio down to approximately 0.27 by late 2025, signifying a strategic reduction in debt financing over this period.

Debt to Capital (Including Operating Lease Liability)

This ratio increased from 0.41 in early 2021 to a peak of 0.64 in the third quarter of 2022, followed by a decline through to about 0.30 by late 2025. Similar to the non-inclusive ratio, its decline after 2022 suggests improved capital structure and lower reliance on debt and lease liabilities combined.

Debt to Assets

Debt to assets ratio marginally increased from 0.23 in early 2021 to approximately 0.30 by mid-2022 and maintained a relatively stable level around 0.23 to 0.29 in subsequent quarters. From 2024 forward, the ratio showed a further reduction to around 0.17, indicating less debt relative to asset base.

Debt to Assets (Including Operating Lease Liability)

The inclusive ratio mirrored the non-inclusive trend, increasing from 0.27 in early 2021 to a peak near 0.36 by mid-2022, then gradually declining to about 0.19 by late 2025. This consistent pattern reflects the lowering of overall liabilities as a proportion of total assets over time.

Financial Leverage

The financial leverage ratio showed a substantial increase during 2021 and 2022, starting at approximately 2.55 and rising to nearly 4.98 by late 2022. From early 2023, it then steadily decreased, reaching approximately 2.25 by the end of 2025. This decrease reflects an improvement in equity financing or a reduction in total liabilities relative to equity capital.

Interest Coverage

The interest coverage ratio was negative and highly volatile during 2021 and 2022, indicating the company was unable to cover interest expenses during these periods. Beginning in 2023, a marked improvement occurred, with the ratio turning positive and increasing steadily. By late 2025, the ratio had improved to over 15, suggesting strong earnings relative to interest obligations and a significantly healthier ability to meet interest expenses.

The financial data reveals several key trends in the company's capital structure and leverage over the observed periods.

Total Debt

The total debt levels remained relatively stable from March 2021 through September 2023, hovering around the 7,800 to 9,400 million USD range. However, notable fluctuations appear starting December 2023, with debt increasing sharply to nearly 11,000 million USD by September 2024, followed by a significant drop to approximately 8,350 million USD in the following quarter. Subsequently, debt levels rose again, ending at over 10,600 million USD by September 2025. These movements indicate periods of increased borrowing and repayments or restructuring of debt.

Total Stockholders’ Equity

Equity levels showed initial stability and moderate growth from March 2021 through December 2021, staying within a range of about 13,600 to 14,500 million USD. A sharp decline occurred starting in March 2022, dropping equity to around 6,200 to 7,300 million USD by late 2022. From early 2023 onward, equity embarked on a consistent upward trajectory, rising steadily each quarter to reach over 28,100 million USD by the end of the observed data. This reflects a substantial strengthening of the company’s equity base in recent periods.

Debt to Equity Ratio

The debt to equity ratio rose significantly from early 2022, peaking at around 1.48 in September 2022, indicating a period of relatively higher leverage. Thereafter, the ratio declined progressively, falling below 1.0 by December 2023 and reaching a low of approximately 0.38 by mid to late 2025. This trend shows a marked reduction in leverage and a shift toward a more conservative capital structure with increased reliance on equity financing.

Overall, the data indicates a transition from a period of elevated leverage and lower equity through 2022 to a phase of strengthened equity and reduced leverage starting in 2023. This shift may reflect strategic initiatives to deleverage the balance sheet, improve financial stability, and support future growth opportunities.

Total Debt (including operating lease liability)

The total debt remained relatively stable from March 2021 through December 2022, fluctuating slightly around $9.5 billion to $11.2 billion. Beginning in the first quarter of 2023 and extending through 2024, the debt figures showed minor variability but generally stayed within a similar range, until a notable increase to $12.66 billion in September 2024. Subsequently, a reduction occurred in the following quarter to just under $10 billion, followed by fluctuating debt levels approaching $12.2 billion by the end of the September 2025 period. This pattern indicates episodic increases and decreases in debt, without a continuous upward or downward trend over the examined periods.

Total Stockholders’ Equity

The stockholders’ equity demonstrated a declining trend from $13.6 billion in March 2021 to a low near $6.2 billion by September 2022. From this point forward, equity began to recover steadily, rising above $7 billion by the end of 2022 and continuing to increase throughout 2023 and 2024. A sharp and significant increase was observed from December 2024 to March 2025, with equity expanding from approximately $14.8 billion to over $21.5 billion, culminating in a further rise to more than $28 billion by September 2025. This upward trend suggests improving financial strength and possibly successful capital management or profitability enhancements during the latter half of the time frame.

Debt to Equity Ratio (including operating lease liability)

This ratio started below 1.0 in early 2021, indicating a higher equity base relative to debt. It then climbed sharply beginning in March 2022, peaking around 1.77 in September 2022, which reflects a period where debt increased relatively more compared to equity. Following this peak, the ratio steadily declined through 2023 and 2024, dropping below 1.0 and reaching around 0.43 by September 2025. This consistent reduction in the debt to equity ratio aligns with the observed increase in equity and relatively stable or decreasing debt levels, implying an improvement in the company's leverage position and a stronger equity buffer against obligations over time.

Summary Insight

Overall, the data reveals a period of financial consolidation where the company initially experienced declining equity and rising leverage through 2022. However, subsequently, there was a recovery phase characterized by substantial growth in stockholders’ equity and a corresponding reduction in the debt to equity ratio. Despite periodic fluctuations in total debt, the company's capital structure improved significantly by mid-2025, indicating better financial stability and potentially enhanced investor confidence or operational performance driving equity expansion.

The analysis of the quarterly financial data reveals several notable trends in the company's capital structure and indebtedness over the observed period.

Total Debt

The total debt level experienced a moderate increase from US$7,801 million at the end of March 2021 to approximately US$9,459 million by December 2023. Following this, the debt level showed fluctuations, including a notable decrease to around US$8,347 million in June 2025 before increasing again to approximately US$10,615 million by September 2025. Overall, total debt remained relatively stable within a range of roughly US$7.8 billion to US$10.6 billion, with periods of both increase and decrease, indicating some variability but no consistent long-term upward or downward trend.

Total Capital

Total capital showed a general upward trajectory throughout the period. Starting from US$21,399 million in March 2021, it initially declined sharply to US$15,515 million by September 2022, reflecting a contraction phase. However, from that point onward, total capital increased consistently, reaching US$38,749 million in September 2025. This substantial growth in capital after the mid-period decline suggests an expansion or strengthening of the company’s financial base over the latter part of the timeline.

Debt to Capital Ratio

The debt to capital ratio illustrates the proportion of debt financing relative to total capital. Initially, this ratio rose from 0.36 in March 2021 to a peak of approximately 0.60 by September 2022, indicating a growing reliance on debt in the capital structure. After this peak, there is a clear declining trend, with the ratio falling steadily to 0.27 by September 2025. This decrease signifies a shift away from debt dependence, suggesting the company has improved its capital structure by either reducing debt proportionally or increasing equity or other capital components.

In summary, the company initially increased leverage up to late 2022, reflected in both rising debt levels and debt-to-capital ratio. Following this period, it showed a strategic repositioning by markedly growing its total capital base while reducing relative indebtedness, leading to a stronger, less debt-dependent capital structure by 2025. This pattern may indicate efforts to improve financial stability and reduce risk exposure associated with high leverage.

Total debt (including operating lease liability)

The total debt level remained relatively stable from March 2021 through September 2023, fluctuating slightly mostly within the range of approximately 9,000 to 11,500 million US dollars. There was a noticeable increase to 12,660 million US dollars in September 2024, after which the debt sharply decreased to 9,976 million US dollars in December 2024. Subsequently, the debt gradually increased again, reaching 12,190 million US dollars by September 2025. Overall, the debt exhibited periods of moderate stability punctuated by sharp fluctuations in late 2024 and mid-2025.

Total capital (including operating lease liability)

The total capital showed an initial gradual increase from 23,101 million US dollars in March 2021 to a peak of 25,563 million US dollars at the end of 2021. Following this, there was a significant decline throughout 2022, reaching a low around 17,330 million US dollars in September 2022. From that point onward, capital began a steady upward trend, accelerating sharply in 2024 and continuing into 2025, with total capital reaching 40,324 million US dollars by September 2025. This phase represents a substantial growth in capital following a pronounced trough in 2022.

Debt to capital ratio (including operating lease liability)

The debt to capital ratio rose from 0.41 in March 2021 to a peak of 0.64 in September 2022, indicating that debt comprised a larger portion of capital during this period. After the peak in 2022, the ratio showed a consistent declining trend throughout 2023 and into 2025. By June 2025, the ratio decreased sharply to 0.31, and continued to decline modestly to 0.30 by September 2025. This downward trend suggests an improvement in financial leverage, with the company reducing reliance on debt relative to its capital base in the most recent periods.

Summary of trends

The data reflects a period of financial fluctuation followed by stabilization and growth. Total debt remained broadly steady for several years with intermittent spikes, while total capital experienced a major dip in 2022 before rebounding strongly through 2024 and 2025. The debt to capital ratio peaked in late 2022, indicating a higher debt burden relative to capital, but subsequently declined, signaling an improved capital structure and reduced leverage. The recent trends point toward an enhanced balance sheet with a growing capital base and moderated debt levels by late 2024 and onward.

Total Debt

Total debt remained relatively stable between March 2021 and December 2022, fluctuating slightly around the 9,200 million US$ mark.

Starting from March 2023, total debt exhibited a notable increase, reaching a peak in September 2024 of approximately 10,986 million US$.

Following this peak, there was a sharp decline in total debt to about 8,347 million US$ in June 2025, after which it increased again progressively up to 10,615 million US$ by September 2025.

Total Assets

Total assets showed a general upward trend over the full period analyzed, starting near 34,655 million US$ in March 2021 and growing steadily to reach 63,344 million US$ by September 2025.

There was a decline in total assets observed during most of 2022, hitting its lowest point at approximately 31,014 million US$ in June 2022, before recovering and resuming a strong growth trajectory.

Post-2022, total assets grew significantly, with particularly strong increases during 2024 and into 2025, more than doubling the value compared to early 2021.

Debt to Assets Ratio

The debt to assets ratio exhibited variance aligned with the trends in debt and assets.

The ratio initially fluctuated modestly between 0.22 and 0.30 from March 2021 through late 2022, reflecting a relatively stable leverage position.

Beginning in early 2023, the ratio declined steadily from around 0.29 to a low point of 0.16 by mid-2025, indicating improved asset coverage relative to debt.

This decrease in leverage ratio was primarily driven by the rapid growth in assets outpacing increases in debt over the same period.

Overall Analysis

The financial data reveals a company that managed to maintain consistent debt levels across much of the early part of the observed period while experiencing asset contraction in 2022.

Subsequent years show an aggressive asset growth strategy leading to a significant increase in asset base by 2025, which corresponded with a reduction in relative leverage as measured by the debt to assets ratio.

Although total debt peaked twice during the period, it did not keep pace with asset growth, thus potentially lowering financial risk and strengthening the balance sheet.

The presented financial data reveals several noteworthy trends concerning the company's liabilities and asset base over multiple quarters. The analysis primarily focuses on the evolution of total debt, total assets, and their proportional relationship, expressed as the debt to assets ratio.

Total Debt (Including Operating Lease Liability)

The total debt exhibits relatively stable values initially, fluctuating marginally around the range of approximately $9.5 billion to $11.2 billion from the first quarter of 2021 through the first quarter of 2024. Notable is a spike in the third quarter of 2024 where debt rises sharply to approximately $12.7 billion, followed by some volatility but ending higher in the last reported quarter at about $12.2 billion. The variation within this period shows moderate debt management practices, with occasional increases possibly related to financing activities or lease obligations.

Total Assets

Total assets demonstrate a generally upward trajectory throughout the examined period, starting from around $34.7 billion in the first quarter of 2021 and increasing steadily to approximately $63.3 billion by the third quarter of 2025. Some periods, such as mid-2022, exhibit minor declines or plateauing, but the overall momentum is a robust asset growth. This suggests ongoing investments or accumulation of resources, reflecting expansion or asset acquisition strategies.

Debt to Assets Ratio (Including Operating Lease Liability)

The debt to assets ratio fluctuates within a moderate range but presents a decreasing trend after peaking at 0.36 during mid-2022. Starting from approximately 0.27 in early 2021, it rises slightly to 0.36 and then descends steadily to around 0.19 by mid to late 2025. This declining ratio indicates enhanced balance sheet strength, as debt represents a smaller portion of asset value over time. It reflects a potentially more conservative leverage position or improved asset base relative to liabilities.

In summary, while total debt has periods of increase, it remains relatively contained compared to consistent and significant asset growth. The resulting decrease in the debt to assets ratio suggests a strengthening financial position and potentially reduced financial risk over the period under analysis. This pattern may indicate strategic initiatives aimed at improving solvency and capital structure.

Assets Trend

The total assets exhibited a generally increasing trend from March 31, 2021, through March 31, 2025. Initial values started around US$34.7 billion, slightly rising through 2021, followed by a modest dip in early 2022. Post this period, assets demonstrated steady growth, accelerating significantly from the end of 2023 onward, culminating in approximately US$63.3 billion by March 31, 2025.

Equity Trend

Stockholders' equity showed fluctuations and an overall structural change over the observed periods. From March 31, 2021, equity started at US$13.6 billion and saw a decline through 2022, reaching a low near US$6.2 billion by the third quarter. However, from late 2022 onwards, equity progressively increased, surpassing previous highs and reaching an approximate value of US$28.1 billion by March 31, 2025. This indicates a significant recovery and expansion in owners' equity over the medium term.

Financial Leverage Analysis

Financial leverage ratios indicated variability and trends corresponding to changes in assets and equity. Initially, leverage was around 2.55 to 2.68 in 2021, reflecting moderate use of debt relative to equity. There was a marked increase in leverage in 2022, peaking near 4.98, suggesting heightened reliance on liabilities or decreased equity base during that period. Following this peak, leverage steadily declined and stabilized between approximately 2.2 and 2.5 from late 2024 through early 2025, indicating a reduction in financial risk and a stronger equity position relative to total assets.

Overall Financial Position

The analyzed data points to an initial phase of growth in assets combined with diminishing equity and increasing leverage, which possibly reflects expansion supported by external financing or operational challenges affecting equity negatively. Subsequently, the company improved its equity base significantly while reducing leverage, aligning with stronger financial stability and potentially improved profitability or capital raising activities that enhanced the equity capital. The trajectory suggests a positive shift toward a more balanced and resilient capital structure by early 2025.

Earnings Before Interest and Tax (EBIT)

The EBIT shows significant volatility over the observed periods. Initially, there is a positive start in early 2021, with 178 million USD in March, followed by a decline to negative values by September 2021. This downward trend continues with pronounced negative EBIT through 2022, reaching lows around -6,000 million USD. A gradual recovery is observed beginning late 2022 and throughout 2023, with the EBIT returning to positive territory and then increasing notably, peaking near 2,900 million USD in the third quarter of 2024. This upward trajectory continues into 2025, with EBIT stabilizing at elevated positive levels exceeding 1,400 million USD in the first quarter.

Interest Expense

The interest expense remains relatively stable across the entire timeline, fluctuating slightly between approximately 105 million and 168 million USD. There is no clear upward or downward trend, indicating consistent borrowing costs or debt levels that do not vary dramatically over the quarters. Minor variations could be attributed to refinancing, changing interest rates, or incremental debt changes.

Interest Coverage Ratio

The interest coverage ratio presents a notable improvement trend. In 2021 and 2022, the ratio is deeply negative or close to zero, reflecting that EBIT is insufficient to cover interest expenses, indicating financial stress or operational losses. From late 2022 onwards, a marked positive improvement emerges, with the ratio shifting above 1.0 by mid-2023 and continuing to climb steadily. This improvement reflects the company's recovery in operating earnings relative to interest obligations, culminating in a robust coverage ratio above 15 by late 2025, evidencing strong ability to meet interest payments from operating profits.

Overall Observations

The data reveals a cyclical pattern where the company experiences significant operating challenges leading to negative EBIT and weak interest coverage through mid-2022. These challenges appear to be overcome by a sustained improvement phase starting late 2022, characterized by rising EBIT and strengthening interest coverage ratio, while interest expenses remain stable. This suggests effective operational turnaround and strengthening financial health, improving the capacity to cover debt-related costs and indicating enhanced profitability and financial stability approaching 2025.