S&P raises issuer credit rating on Uber to ‘BBB-‘ from ‘BB+’

S&P stated: “Uber Technologies continues to improve profit margin and free cash flow that we expect it will sustain. Additionally, Uber’s management has a strong commitment to maintain conservative financial policies, providing further credit support. As a result, we expect Uber to maintain a stronger balance sheet, further improve debt to EBITDA below 1x, and sustain free operating cash flow to debt above 40% in the next 12-24 months. This performance is in line with our previous expectations for an investment-grade rating. We raised our issuer credit rating on Uber to ‘BBB-‘ from ‘BB+’. At the same time, we raised our issue-level ratings on Uber’s senior unsecured debt to ‘BBB-‘ from ‘BB’. Our ‘BBB-‘ rating on its secured debt is unchanged. The outlook is positive and indicates upward rating potential over the next 12-24 months if Uber’s financial performance continues to improve in line with our forecast as it navigates an evolving regulatory and technology landscape.”