Discounted Cash Flow Analysis - Uber Technologies, Inc.

(Unlevered DCF)
($ in Millions Except Per Share Data)

Uber Technologies, Inc. - DCF Assumptions & Output:

Company Name: Uber Technologies, Inc. Terminal Value - Multiples Meth

Ticker: UBER
Valuation Date: 2019-05-15 Median Forward EV / EBITDA of
Current Share Price: $ 41.29 High-Growth Marketplaces:
Basic Shares Outstanding: 1,682.500 Mature Marketplaces:
Diluted Shares @ Current Price: 1,835.828 Mature Trucking/Logistics:

Last Fiscal Year End: 2018-12-31 Baseline Terminal EBITDA Multip

Effective Tax Rate: 25.0% Upside
Initial Discount Rate (WACC): 9.36% Base
Terminal Discount Rate: 8.75% Downside
Selected Terminal EBITDA Multip
Scenario: Base
Baseline Terminal Value:
Current Equity Value: $ 75,801 Implied Terminal FCF Growth Rat
(-) Cash & Cash-Equivalents: (13,482)
(-) Equity Investments: (14,767) (+) PV of Terminal Value:
(-) Other Non-Core Assets, Net: (406) (+) PV of Year 20 NOL Balance:
(-) Net Operating Losses: (485) (+) Sum of PV of Free Cash Flow
(+) Total Debt & Capital Leases: 6,529 Implied Enterprise Value:
(+) Preferred Stock: -
(+) Noncontrolling Interests: - (+) Cash & Cash-Equivalents:
(+) Unfunded Pension Obligations: - (+) Equity Investments:
(+) Restructuring & Other Liabilities: - (+) Other Non-Core Assets, Ne
Current Enterprise Value: $ 53,191 (+) Net Operating Losses:
(-) Total Debt & Capital Leases:
(-) Preferred Stock:
(-) Noncontrolling Interests:
(-) Unfunded Pension Obligatio
(-) Restructuring & Other Liabi
Implied Equity Value:

% of Implied Eq. V. from Current B

 Diluted Shares Outstanding:

Implied Share Price from DCF:

Premium / (Discount) to Current

Exercise
Type: Number: Price: Dilution: Type:
Options: 42.900 $ 9.08 33.466 Options:
Warrants: 0.217 10.44 0.162 Warrants:
RSUs: 115.700 115.700 RSUs:
Other: 4.000 4.000 Other:
Total: 153.328 Total:
 Historical:
Uber Technologies, Inc. - Key Drivers: Units: FY 16 FY 17
Revenue and Contribution Margin for Ridesharing and Uber Eats:
Population in Countries of Operation: M People 4,000.0 4,050.0
Population Growth Rate: %

Monthly Active Platform Consumers (MAPCs): M Users 45.0 68.0

Growth Rate: % 51.1%
Upside %
Base %
Downside %

MAPCs % Total Population: % 1.1% 1.7%

Annual Trips: M Trips 1,818 3,736

Annual Trips per MAPC: Trip / User 40.4 54.9
Growth Rate: % 36.0%

Average Bookings per Trip: $ / Trip $ 10.58 $ 9.21

Growth Rate: % (13.0%)
Upside %
Base %
Downside %

Gross Bookings: $M 19,236 34,409

Growth Rate: % 78.9%

Total Serviceable Addressable Market (SAM): $M

Market Growth Rate: %
Market Penetration: %

Adjusted Net Revenue % Gross Bookings: % 16.5% 20.7%

Core Platform Adjusted Net Revenue: $M 3,170 7,136

Growth Rate: % 125.1%

Core Platform Contribution Profit / (Loss): $M $ (755) $ 33

Core Platform Contribution Margin: % (23.8%) 0.5%
Upside %
Base %
Downside %
"Other Bets" (Primarily Uber Freight): FY 16 FY 17
Uber Freight Revenue: $M $ 1 $ 67
Market Penetration: %
Upside %
Base %
Downside %

Revenue Growth Rate: % 6600.0%

Total Serviceable Addressable Market (SAM): $M

Market Growth Rate: %

Uber Freight Contribution Profit / (Loss): $M $ (1) $ (40)

Contribution Margin: % (100.0%) (59.7%)
Upside %
Base %
Downside %
Company-Wide Free Cash Flow Projections: FY 16 FY 17
Total Adjusted Net Revenue: $M $ 3,171 $ 7,203
Revenue Growth Rate: % 127.2%

Total Segment Contribution Profit / (Loss): $M (756) (7)

Segment Contribution Margin: % (23.8%) (0.1%)

(-) Unallocated R&D, G&A, & Other Expenses: $M (1,581) (2,594)

% Adjusted Net Revenue: % 49.9% 36.0%

(-) Depreciation & Amortization: $M (320) (510)

% Adjusted Net Revenue: % 10.1% 7.1%

(-) Stock-Based Compensation: $M (128) (137)

% Adjusted Net Revenue: % 4.0% 1.9%

Normalized Operating Income (EBIT): $M (2,785) (3,248)

Normalized Operating Margin: % (87.8%) (45.1%)

Beginning NOL Balance: $M

(+) NOLs Created: $M
(-) NOLs Used: $M
Ending NOL Balance: $M

NOL-Adjusted Operating Income: $M

(-) Cash Taxes: $M

Net Operating Profit After Tax (NOPAT): $M

(+) Depreciation & Amortization: $M 320 510

(+/-) Change in Working Capital: $M 1,072 1,910

% Change in Adjusted Net Revenue: % 47.4%

(-) Capital Expenditures: $M (1,629) (821)

% Adjusted Net Revenue: % 51.4% 11.4%

Unlevered Free Cash Flow: $M

Growth Rate: %
 Discount Period: #
Discount Rate (WACC): %
Cumulative Discount Factor: #

PV of Unlevered FCF: $M

EBITDA: $M
Growth Rate: %

Sensitivity Analyses:

1747.8% 0.0% 0.2% 0.4% 0.6%

Upside
Operating
Scenario: Base
Downside

$ 17.48 6.6 x 6.8 x 7.0 x 7.2 x

Upside
Operating
Scenario: Base
Downside
rminal Value - Multiples Method: Terminal Value - Perpetuity Growth Method:

edian Forward EV / EBITDA of Peer Companies:

High-Growth Marketplaces: 32.0 x Expected Global GDP Growth:
Mature Marketplaces: 10.6 x
Mature Trucking/Logistics: 8.7 x

seline Terminal EBITDA Multiple: Baseline Terminal FCF Growth Rate:

8.7 x Upside
6.8 x Base
6.6 x Downside
ected Terminal EBITDA Multiple: 6.8 x Selected Terminal FCF Growth Rate:

seline Terminal Value: $ 65,347 Baseline Terminal Value:

plied Terminal FCF Growth Rate: 1.0% Implied Terminal EBITDA Multiple:

(+) PV of Terminal Value: 11,548 (+) PV of Terminal Value:

(+) PV of Year 20 NOL Balance: - (+) PV of Year 20 NOL Balance:
(+) Sum of PV of Free Cash Flows: (2,297) (+) Sum of PV of Free Cash Flows:
plied Enterprise Value: 9,250 Implied Enterprise Value:

(+) Cash & Cash-Equivalents: $ 13,482 (+) Cash & Cash-Equivalents:

(+) Equity Investments:
(+) Other Non-Core Assets, Net:
(+) Net Operating Losses:
(-) Total Debt & Capital Leases:
(-) Preferred Stock:
(-) Noncontrolling Interests:
(-) Unfunded Pension Obligations:
(-) Restructuring & Other Liabilities:
plied Equity Value:
14,767 (+) Equity Investments:
406 (+) Other Non-Core Assets, Net:
485 (+) Net Operating Losses:
(6,529) (-) Total Debt & Capital Leases:
- (-) Preferred Stock:
- (-) Noncontrolling Interests:
- (-) Unfunded Pension Obligations:
- (-) Restructuring & Other Liabilities:
31,861 Implied Equity Value:

of Implied Eq. V. from Current BS: 71.0% % of Implied Eq. V. from Current BS:
uted Shares Outstanding: 1,822.901 Diluted Shares Outstanding:

plied Share Price from DCF: $ 17.48 Implied Share Price from DCF:
emium / (Discount) to Current: (57.7%) Premium / (Discount) to Current:

Exercise Exercise
Number: Price: Dilution: Type: Number: Price:
42.900 $ 9.08 20.613 Options: 42.900 $ 9.08
0.217 10.44 0.088 Warrants: 0.217 10.44
115.700 115.700 RSUs: 115.700
4.000 4.000 Other: 4.000
140.401 Total:
Historical:
FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24

4,100.0 4,223.0 4,349.7 4,480.2 4,614.6 4,753.0 4,895.6

3.0% 3.0% 3.0% 3.0% 3.0% 3.0%

91.0 113.8 136.5 160.4 184.4 207.5 228.3

33.8% 25.0% 20.0% 17.5% 15.0% 12.5% 10.0%
30.0% 27.5% 25.0% 22.5% 20.0% 17.5%
25.0% 20.0% 17.5% 15.0% 12.5% 10.0%
20.0% 17.5% 15.0% 12.5% 10.0% 7.5%

2.2% 2.7% 3.1% 3.6% 4.0% 4.4% 4.7%

5,220 6,851 8,633 10,650 12,799 15,047 17,297

57.4 60.2 63.2 66.4 69.4 72.5 75.8
4.4% 5.0% 5.0% 5.0% 4.5% 4.5% 4.5%

$ 9.54 $ 9.44 $ 9.35 $ 9.26 $ 9.16 $ 9.07 $ 9.07

3.6% (1.0%) (1.0%) (1.0%) (1.0%) (1.0%) 0.0%
3.0% 3.0% 3.0% 2.5% 2.5% 2.5%
(1.0%) (1.0%) (1.0%) (1.0%) (1.0%) 0.0%
(2.0%) (2.0%) (2.0%) (1.0%) (1.0%) 0.0%

49,799 64,708 80,716 98,588 117,293 136,514 156,923

44.7% 29.9% 24.7% 22.1% 19.0% 16.4% 15.0%

3,795,000 3,908,850 4,026,116 4,146,899 4,250,571 4,356,836 4,465,757

3.0% 3.0% 3.0% 3.0% 2.5% 2.5% 2.5%
1.3% 1.7% 2.0% 2.4% 2.8% 3.1% 3.5%

19.9% 19.5% 19.0% 18.5% 18.0% 17.5% 17.0%

9,924 12,618 15,336 18,239 21,113 23,890 26,677

39.1% 27.1% 21.5% 18.9% 15.8% 13.2% 11.7%

$ 940 $ (379) $ (307) $ (182) $ - $ 239 $ 667

9.5% (3.0%) (2.0%) (1.0%) 0.0% 1.0% 2.5%
(2.0%) (1.0%) 0.0% 1.0% 2.5% 5.0%
(3.0%) (2.0%) (1.0%) 0.0% 1.0% 2.5%
(3.0%) (3.0%) (2.0%) (1.0%) 0.0% 1.0%
 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24
$ 373 $ 1,040 $ 2,142 $ 3,724 $ 5,655 $ 7,969 $ 10,397
0.05% 0.08% 0.16% 0.27% 0.40% 0.55% 0.70%
0.10% 0.20% 0.35% 0.50% 0.70% 0.90%
0.08% 0.16% 0.27% 0.40% 0.55% 0.70%
0.07% 0.13% 0.20% 0.28% 0.40% 0.55%

456.7% 178.8% 106.0% 73.8% 51.9% 40.9% 30.5%

700,000 1,300,000 1,339,000 1,379,170 1,413,649 1,448,990 1,485,215

3.0% 3.0% 3.0% 3.0% 2.5% 2.5% 2.5%

$ (152) $ (312) $ (428) $ (559) $ (565) $ - $ 260

(40.8%) (30.0%) (20.0%) (15.0%) (10.0%) 0.0% 2.5%
(30.0%) (20.0%) (10.0%) 0.0% 2.5% 5.0%
(30.0%) (20.0%) (15.0%) (10.0%) 0.0% 2.5%
(30.0%) (20.0%) (15.0%) (10.0%) (5.0%) 0.0%
 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24
$ 10,297 $ 13,658 $ 17,478 $ 21,963 $ 26,767 $ 31,859 $ 37,073
43.0% 32.6% 28.0% 25.7% 21.9% 19.0% 16.4%

788 (691) (735) (741) (565) 239 927

7.7% (5.1%) (4.2%) (3.4%) (2.1%) 0.7% 2.5%

(2,848) (2,732) (2,622) (2,636) (2,677) (2,549) (2,224)

27.7% 20.0% 15.0% 12.0% 10.0% 8.0% 6.0%

(426) (546) (647) (725) (803) (860) (927)

4.1% 4.0% 3.7% 3.3% 3.0% 2.7% 2.5%

(172) (205) (245) (286) (321) (350) (371)

1.7% 1.5% 1.4% 1.3% 1.2% 1.1% 1.0%

(2,658) (4,173) (4,248) (4,387) (4,366) (3,521) (2,595)

(25.8%) (30.6%) (24.3%) (20.0%) (16.3%) (11.1%) (7.0%)

5,100 9,273 13,522 17,908 22,275 25,795

4,173 4,248 4,387 4,366 3,521 2,595
- - - - - -
9,273 13,522 17,908 22,275 25,795 28,390

(4,173) (4,248) (4,387) (4,366) (3,521) (2,595)

- - - - - -

(4,173) (4,248) (4,387) (4,366) (3,521) (2,595)

426 546 647 725 803 860 927

891 840 764 673 480 509 521

28.8% 25.0% 20.0% 15.0% 10.0% 10.0% 10.0%

(558) (683) (821) (944) (1,071) (1,179) (1,298)

5.4% 5.0% 4.7% 4.3% 4.0% 3.7% 3.5%

(3,470) (3,659) (3,934) (4,154) (3,330) (2,444)

N/A 5.5% 7.5% 5.6% (19.8%) (26.6%)
 1 2 3 4 5 6
9.36% 9.33% 9.29% 9.26% 9.23% 9.20%
0.914 0.836 0.765 0.700 0.641 0.587

(3,173) (3,061) (3,010) (2,909) (2,135) (1,435)

$ (3,627) $ (3,602) $ (3,662) $ (3,563) $ (2,660) $ (1,668)

N/A (0.7%) 1.7% (2.7%) (25.3%) (37.3%)

Terminal FCF Growth Rate:

0.8% 1.0% 1.2% 1.4% 1.6% 1.8% 2.0%

Terminal EBITDA Multiple:

7.4 x 7.6 x 7.8 x 8.0 x 8.2 x 8.4 x 8.6 x
owth Method:

2.5%

2.0%
1.0%
–
1.0%

$ 65,347
6.8 x

11,548
-
(2,297)
9,250

$ 13,482
14,767
406
485
(6,529)
-
-
-
-
31,861

71.0%
 1,822.901

$ 17.48
(57.7%)

Dilution:
20.613
0.088
115.700
4.000
140.401
 Projected:
FY 25 FY 26 FY 27

5,042.5 5,193.8 5,349.6

3.0% 3.0% 3.0%

245.4 257.6 267.9

7.5% 5.0% 4.0%
15.0% 12.5% 10.0%
7.5% 5.0% 4.0%
5.0% 4.0% 3.0%

4.9% 5.0% 5.0%

19,338 21,117 22,840

78.8 82.0 85.2
4.0% 4.0% 4.0%

$ 9.34 $ 9.62 $ 9.87

3.0% 3.0% 2.5%
2.0% 2.0% 2.0%
3.0% 3.0% 2.5%
3.0% 2.0% 2.0%

180,703 203,247 225,328

15.2% 12.5% 10.9%

4,555,072 4,646,173 4,739,097

2.0% 2.0% 2.0%
4.0% 4.4% 4.8%

16.5% 16.5% 16.5%

29,816 33,536 37,179

11.8% 12.5% 10.9%

$ 1,491 $ 2,515 $ 3,718

5.0% 7.5% 10.0%
7.5% 10.0% 12.5%
5.0% 7.5% 10.0%
2.5% 5.0% 7.5%
 FY 25 FY 26 FY 27
$ 12,877 $ 14,680 $ 16,549
0.85% 0.95% 1.05%
1.05% 1.20% 1.35%
0.85% 0.95% 1.05%
0.70% 0.75% 0.80%

23.9% 14.0% 12.7%

1,514,920 1,545,218 1,576,122

2.0% 2.0% 2.0%

$ 644 $ 1,101 $ 1,655

5.0% 7.5% 10.0%
7.5% 10.0% 12.5%
5.0% 7.5% 10.0%
2.5% 5.0% 7.5%
 FY 25 FY 26 FY 27
$ 42,693 $ 48,215 $ 53,728
15.2% 12.9% 11.4%

2,135 3,616 5,373

5.0% 7.5% 10.0%

(2,135) (2,411) (2,149)

5.0% 5.0% 4.0%

(982) (964) (1,075)

2.3% 2.0% 2.0%

(427) (482) (537)

1.0% 1.0% 1.0%

(1,409) (241) 1,612

(3.3%) (0.5%) 3.0%

28,390 29,799 30,040

1,409 241 -
- - (1,612)
29,799 30,040 28,429

(1,409) (241) -

- - -

(1,409) (241) 1,612

982 964 1,075

562 552 551

10.0% 10.0% 10.0%

(1,409) (1,446) (1,612)

3.3% 3.0% 3.0%

(1,274) (171) 1,626

(47.9%) (86.6%) (1051.0%)
 7 8 9
9.17% 9.13% 9.10%
0.538 0.493 0.452

(685) (84) 735

$ (427) $ 723 $ 2,686

(74.4%) (269.4%) 271.4%
 Projected:
FY 28 FY 29 FY 30 FY 31 FY 32 FY 33 FY 34

5,510.1 5,675.4 5,845.6 6,021.0 6,201.6 6,387.7 6,579.3

3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0%

276.0 284.3 292.8 301.6 310.6 319.9 329.5

3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0%
10.0% 7.0% 5.0% 4.0% 3.0% 3.0% 3.0%
3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0%
3.0% 3.0% 2.0% 2.0% 2.0% 2.0% 2.0%

5.0% 5.0% 5.0% 5.0% 5.0% 5.0% 5.0%

24,348 25,956 27,671 29,356 31,144 33,041 35,053

88.2 91.3 94.5 97.3 100.3 103.3 106.4
3.5% 3.5% 3.5% 3.0% 3.0% 3.0% 3.0%

$ 10.06 $ 10.21 $ 10.37 $ 10.47 $ 10.58 $ 10.68 $ 10.79

2.0% 1.5% 1.5% 1.0% 1.0% 1.0% 1.0%
1.5% 1.5% 1.5% 1.0% 1.0% 1.0% 1.0%
2.0% 1.5% 1.5% 1.0% 1.0% 1.0% 1.0%
1.5% 1.5% 1.0% 1.0% 1.0% 1.0% 1.0%

245,015 265,116 286,867 307,380 329,361 352,913 378,149

8.7% 8.2% 8.2% 7.2% 7.2% 7.2% 7.2%

4,833,879 4,930,556 5,029,167 5,129,751 5,232,346 5,336,993 5,443,732

2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0%
5.1% 5.4% 5.7% 6.0% 6.3% 6.6% 6.9%

16.5% 16.5% 16.5% 16.5% 16.5% 16.5% 16.5%

40,427 43,744 47,333 50,718 54,344 58,231 62,395

8.7% 8.2% 8.2% 7.2% 7.2% 7.2% 7.2%

$ 5,053 $ 5,468 $ 5,917 $ 6,340 $ 6,793 $ 7,279 $ 7,799

12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5%
15.0% 15.0% 15.0% 15.0% 15.0% 15.0% 15.0%
12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5%
10.0% 10.0% 10.0% 10.0% 10.0% 10.0% 10.0%
 FY 28 FY 29 FY 30 FY 31 FY 32 FY 33 FY 34
$ 18,488 $ 20,497 $ 22,580 $ 23,885 $ 25,232 $ 26,625 $ 27,881
1.15% 1.25% 1.35% 1.40% 1.45% 1.50% 1.54%
1.50% 1.60% 1.70% 1.80% 1.90% 2.00% 2.06%
1.15% 1.25% 1.35% 1.40% 1.45% 1.50% 1.54%
0.85% 0.90% 0.95% 1.00% 1.05% 1.10% 1.14%

11.7% 10.9% 10.2% 5.8% 5.6% 5.5% 4.7%

1,607,645 1,639,798 1,672,594 1,706,045 1,740,166 1,774,970 1,810,469

2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0%

$ 2,311 $ 2,562 $ 2,823 $ 2,986 $ 3,154 $ 3,328 $ 3,485

12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5%
15.0% 15.0% 15.0% 15.0% 15.0% 15.0% 15.0%
12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5%
10.0% 10.0% 10.0% 10.0% 10.0% 10.0% 10.0%
 FY 28 FY 29 FY 30 FY 31 FY 32 FY 33 FY 34
$ 58,915 $ 64,242 $ 69,913 $ 74,602 $ 79,577 $ 84,855 $ 90,276
9.7% 9.0% 8.8% 6.7% 6.7% 6.6% 6.4%

7,364 8,030 8,739 9,325 9,947 10,607 11,284

12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5%

(2,357) (1,927) (2,097) (2,238) (2,387) (2,546) (2,708)

4.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0%

(1,178) (1,285) (1,398) (1,492) (1,592) (1,697) (1,806)

2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0%

(589) (642) (699) (746) (796) (849) (903)

1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0%

3,240 4,176 4,544 4,849 5,172 5,516 5,868

5.5% 6.5% 6.5% 6.5% 6.5% 6.5% 6.5%

28,429 25,188 21,013 16,468 11,619 6,447 931

- - - - - - -
(3,240) (4,176) (4,544) (4,849) (5,172) (5,516) (931)
25,188 21,013 16,468 11,619 6,447 931 -

- - - - - - 4,937

- - - - - - (1,234)

3,240 4,176 4,544 4,849 5,172 5,516 4,634

1,178 1,285 1,398 1,492 1,592 1,697 1,806

519 533 567 469 497 528 542

10.0% 10.0% 10.0% 10.0% 10.0% 10.0% 10.0%

(1,767) (1,927) (2,097) (2,238) (2,387) (2,546) (2,708)

3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0%

3,170 4,066 4,412 4,572 4,874 5,195 4,273

95.0% 28.3% 8.5% 3.6% 6.6% 6.6% (17.7%)
 10 11 12 13 14 15 16
9.07% 9.04% 9.00% 8.97% 8.94% 8.91% 8.88%
0.414 0.380 0.349 0.320 0.294 0.270 0.248

1,313 1,545 1,538 1,462 1,431 1,400 1,058

$ 4,419 $ 5,461 $ 5,943 $ 6,341 $ 6,764 $ 7,213 $ 7,673

64.5% 23.6% 8.8% 6.7% 6.7% 6.6% 6.4%
 FY 35 FY 36 FY 37 FY 38

6,776.7 6,980.0 7,189.4 7,405.1

3.0% 3.0% 3.0% 3.0%

339.4 349.6 360.1 370.9

3.0% 3.0% 3.0% 3.0%
3.0% 3.0% 3.0% 3.0%
3.0% 3.0% 3.0% 3.0%
2.0% 2.0% 2.0% 2.0%

5.0% 5.0% 5.0% 5.0%

37,187 39,452 41,855 44,404

109.6 112.8 116.2 119.7
3.0% 3.0% 3.0% 3.0%

$ 10.90 $ 11.00 $ 11.11 $ 11.23

1.0% 1.0% 1.0% 1.0%
1.0% 1.0% 1.0% 1.0%
1.0% 1.0% 1.0% 1.0%
1.0% 1.0% 1.0% 1.0%

405,190 434,165 465,212 498,479

7.2% 7.2% 7.2% 7.2%

5,552,607 5,663,659 5,776,932 5,892,471

2.0% 2.0% 2.0% 2.0%
7.3% 7.7% 8.1% 8.5%

16.5% 16.5% 16.5% 16.5%

66,856 71,637 76,760 82,249

7.2% 7.2% 7.2% 7.2%

$ 8,357 $ 8,955 $ 9,595 $ 10,281

12.5% 12.5% 12.5% 12.5%
15.0% 15.0% 15.0% 15.0%
12.5% 12.5% 12.5% 12.5%
10.0% 10.0% 10.0% 10.0%
 FY 35 FY 36 FY 37 FY 38
$ 28,993 $ 29,949 $ 30,741 $ 31,355
1.57% 1.59% 1.60% 1.60%
2.10% 2.13% 2.15% 2.15%
1.57% 1.59% 1.60% 1.60%
1.17% 1.19% 1.20% 1.20%

4.0% 3.3% 2.6% 2.0%

1,846,678 1,883,612 1,921,284 1,959,710

2.0% 2.0% 2.0% 2.0%

$ 3,624 $ 3,744 $ 3,843 $ 3,919

12.5% 12.5% 12.5% 12.5%
15.0% 15.0% 15.0% 15.0%
12.5% 12.5% 12.5% 12.5%
10.0% 10.0% 10.0% 10.0%
 FY 35 FY 36 FY 37 FY 38
$ 95,849 $ 101,587 $ 107,500 $ 113,604
6.2% 6.0% 5.8% 5.7%

11,981 12,698 13,438 14,201

12.5% 12.5% 12.5% 12.5%

(2,875) (3,048) (3,225) (3,408)

3.0% 3.0% 3.0% 3.0%

(1,917) (2,032) (2,150) (2,272)

2.0% 2.0% 2.0% 2.0%

(958) (1,016) (1,075) (1,136)

1.0% 1.0% 1.0% 1.0%

6,230 6,603 6,988 7,384

6.5% 6.5% 6.5% 6.5%

- - - -
- - - -
- - - -
- - - -

6,230 6,603 6,988 7,384

(1,558) (1,651) (1,747) (1,846)

4,673 4,952 5,241 5,538

1,917 2,032 2,150 2,272

557 574 591 610

10.0% 10.0% 10.0% 10.0%

(2,875) (3,048) (3,225) (3,408)

3.0% 3.0% 3.0% 3.0%

4,271 4,510 4,757 5,013

(0.0%) 5.6% 5.5% 5.4%
 17 18 19 20
8.84% 8.81% 8.78% 8.75%
0.227 0.209 0.192 0.177

972 943 914 886

$ 8,147 $ 8,635 $ 9,138 $ 9,656

6.2% 6.0% 5.8% 5.7%
WACC Analysis - Uber Technologies, Inc.
($ in Millions Except Per Share Data)

Discount Rate Calculations - Assumptions:

Risk-Free Rate:
Equity Risk Premium:
Pre-Tax Cost of Debt:
Cost of Preferred Stock:

High-Growth Marketplace Companies - Unlevered Beta Calculation:

Levered
Name Ticker Beta Debt
Shopify Inc. SHOP 1.57 $ 104
ANGI Homeservices Inc. ANGI 1.64 367
Zillow Group, Inc. ZG 1.22 1,104
Etsy, Inc. ETSY 0.97 377
Grubhub Inc. GRUB 1.17 434
CarGurus, Inc. CARG 0.68 60

Median: 1.20 $ 372

Mature Marketplace Companies - Unlevered Beta Calculation:

Levered
Name Ticker Beta Debt
eBay Inc. EBAY 1.23 $ 9,975
Cars.com Inc. CARS 0.91 689
Shutterstock, Inc. SSTK 1.19 58

Median: 1.19 $ 689

Mature Trucking and Logistics Companies (NON-Rail) - Unlevered Beta Calculation:

Levered
Name Ticker Beta Debt
Old Dominion Freight Line, Inc. ODFL 1.42 $ 114
J.B. Hunt Transport Services, Inc. JBHT 1.07 1,401
Knight-Swift Transportation Holdings Inc. KNX 0.99 981
Landstar System, Inc. LSTR 1.16 159
Schneider National, Inc. SNDR 1.46 498
Ryder System, Inc. R 1.70 7,350
Avis Budget Group, Inc. CAR 1.93 17,264
Werner Enterprises, Inc. WERN 1.22 133
Hertz Global Holdings, Inc. HTZ 1.84 18,770

Median: 1.42 $ 981

Uber Technologies, Inc. - Levered Beta & WACC Calculation for High-Growth Marketplace Companies:
Unlevered
Ticker Beta Debt
Current Capital Structure: UBER 1.10 $ 6,529
"Optimal" Capital Structure: UBER 1.10 3,966

Cost of Equity Based on Comparables, Current Capital Structure:

Cost of Equity Based on Comparables, "Optimal" Capital Structure:

WACC = Cost of Equity * % Equity + Cost of Debt * (1 - Tax Rate) * % Debt + Cost of Preferred Stock * % Preferred S

WACC, Current Capital Structure:

WACC, "Optimal" Capital Structure:

Average WACC Produced by All Methods:

Uber Technologies, Inc. - Levered Beta & WACC Calculation for Mature Marketplace and Transportation Compan
Unlevered
Ticker Beta Debt
Current Capital Structure: UBER 0.98 $ 6,529
"Optimal" Capital Structure: UBER 0.98 10,488

Cost of Equity Based on Comparables, Current Capital Structure:

Cost of Equity Based on Comparables, "Optimal" Capital Structure:

WACC = Cost of Equity * % Equity + Cost of Debt * (1 - Tax Rate) * % Debt + Cost of Preferred Stock * % Preferred S

WACC, Current Capital Structure:

WACC, "Optimal" Capital Structure:

Average WACC Produced by All Methods:

 Cost of Debt - Calculations:
2.63% 2016 Senior Secured Term Loan: 6.1% $ 1,124
5.96% 2018 Senior Secured Term Loan: 6.2% 1,493
8.75% 2023 Senior Note: 7.7% 500
15.00% 2026 Senior Note: 8.1% 1,500
Careem Convertible Notes: 13.7% 1,700
Capital Leases: 8.0% 212

Preferred Equity Unlevered

% Debt Stock % Preferred Value % Equity Tax Rate Beta
0.4% $ - – $ 28,218 99.6% 25.0% 1.57
4.6% - – 7,654 95.4% 25.0% 1.58
12.8% - – 7,548 87.2% 26.9% 1.10
5.1% - – 7,069 94.9% 25.0% 0.93
7.1% - – 5,702 92.9% 25.0% 1.11
1.4% - – 4,330 98.6% 25.0% 0.67

4.8% $ - – $ 7,308 95.2% 25.0% 1.10

Preferred Equity Unlevered

% Debt Stock % Preferred Value % Equity Tax Rate Beta
23.7% $ - – $ 32,072 76.3% 25.0% 1.00
31.4% - – 1,508 68.6% 25.7% 0.68
3.9% - – 1,407 96.1% 23.0% 1.15

23.7% $ - – $ 1,508 76.3% 25.0% 1.00

Preferred Equity Unlevered

% Debt Stock % Preferred Value % Equity Tax Rate Beta
1.0% $ - – $ 11,744 99.0% 25.7% 1.41
11.9% - – 10,389 88.1% 23.6% 0.97
15.5% - – 5,365 84.5% 23.9% 0.87
3.6% - – 4,262 96.4% 22.3% 1.13
12.7% - – 3,413 87.3% 26.2% 1.32
69.8% - – 3,186 30.2% 26.3% 0.63
87.3% - – 2,501 12.7% 26.5% 0.32
 5.5% - – 2,294 94.5% 24.9% 1.17
92.7% - – 1,476 7.3% 11.0% 0.15

12.7% $ - – $ 3,413 87.3% 24.9% 0.97

 Marketplace Companies:
Preferred Equity Levered
% Debt Stock % Preferred Value % Equity Tax Rate Beta
7.9% $ - – $ 75,801 92.1% 25.0% 1.18
4.8% - – $ 78,365 95.2% 25.0% 1.15

9.64%
9.46%

ost of Preferred Stock * % Preferred Stock

9.39%
9.32%

9.36%

etplace and Transportation Companies:

Preferred Equity Levered
% Debt Stock % Preferred Value % Equity Tax Rate Beta
7.9% $ - – $ 75,801 92.1% 25.0% 1.05
12.7% - – 71,843 87.3% 25.0% 1.09

8.87%
9.13%

ost of Preferred Stock * % Preferred Stock

8.69%
8.81%

8.75%
 Projected Financial Metrics & Multiples:
Revenue EBITDA EV / EV /
Growth Margin Revenue EBITDA
41.0% 4.3% 18.2 x NM
20.8% 21.1% 5.8 x 27.3 x
77.3% 2.0% 3.2 x NM
31.3% 24.7% 9.1 x 36.7 x
35.2% 18.5% 4.4 x 23.9 x
27.2% 10.7% 6.9 x 64.8 x

33.2% 14.6% 6.3 x 32.0 x

Projected Financial Metrics & Multiples:

Revenue EBITDA EV / EV /
Growth Margin Revenue EBITDA
1.6% 34.4% 3.5 x 10.1 x
(2.6%) 30.3% 3.4 x 11.1 x
10.1% 17.3% 1.8 x 10.6 x

1.6% 30.3% 3.4 x 10.6 x

Projected Financial Metrics & Multiples:

Revenue EBITDA EV / EV /
Growth Margin Revenue EBITDA
6.2% 26.4% 2.7 x 10.2 x
7.9% 14.6% 1.3 x 8.7 x
0.5% 19.6% 1.2 x 6.0 x
(3.7%) 8.6% 0.9 x 10.8 x
5.5% 12.9% 0.7 x 5.0 x
7.7% 24.5% 1.2 x 4.7 x
1.5% 8.7% 2.1 x 23.8 x
4.6% 19.3% 0.9 x 4.8 x
2.5% 5.8% 2.0 x 35.2 x

4.6% 14.6% 1.2 x 8.7 x