UBER · 10-Q · 2026Q2 · Full report

Operating Expense Trends

Uber Technologies, Inc · 2026-08-05 · Importance 53 · Surprise 48 · No source text

Second-quarter sales and marketing expense increased 25% to $1.2 billion, driven by $136 million of additional consumer discounts, promotions, credits and refunds and $115 million of additional indirect advertising and marketing. Six-month research and development expense increased 20% to $2.0 billion, primarily from a $320 million increase in employee compensation, including stock-based compensation. Six-month general and administrative expense increased 31% to $1.7 billion, including $148 million of additional legal-related accruals and expenses, $111 million of additional compensation, and $92 million of additional contractor and professional-service costs. Operations and support expense increased 15% for the six months to $1.6 billion, primarily because employee compensation rose $163 million.

Key facts

• General and administrative expenses in Q2 2026: $1,733 million, increased $266 million or 40% in three months ended June 30, 2026 primarily due to $138 million increase in legal-related accruals and expenses, $66 million increase in employee compensation and $53 million increase in contractor and professional services source
• Sales and marketing expenses in Q2 2026: $1,515 million, increased $305 million or 25% in three months ended June 30, 2026 primarily due to $136 million increase in consumer discounts and $115 million increase in indirect advertising and marketing source
• Research and development expenses in Q2 2026: $1,655 million, increased $203 million or 24% in three months ended June 30, 2026 primarily due to $189 million increase in employee compensation including stock-based compensation source
• Operations and support expenses in Q2 2026: $1,568 million, increased $109 million or 16% in three months ended June 30, 2026 driven by $80 million increase in employee compensation including stock-based compensation and $15 million increase in contractor and professional service costs source
• Cost of revenue, exclusive of depreciation and amortization increased $204 million or 3% in the three months ended June 30, 2026, driven by a $545 million increase in Courier payments and incentives, $320 million increase in Carrier payments and incentives, $132 million increase in credit card processing costs, partially offset by $808 million decrease in Driver payments and incentives source
• Net cash provided by operating activities for six months ended June 30, 2026 primarily included $1.0 billion of stock-based compensation expense and $771 million of deferred income taxes source
• Cost of revenue, exclusive of depreciation and amortization in Q2 2026: $7,815 million source
• Net cash provided by operating activities for six months ended June 30, 2025 included $910 million of stock-based compensation expense and $359 million of depreciation and amortization expense source

Impact estimates