Lyft forecasts strong quarterly earnings driven by ride-hailing demand and new features

Ride-hailing company Lyft projected higher-than-expected gross bookings and core profit for the current quarter on Tuesday, driven by robust demand for its services and benefits from new user and driver features.

It also reported first-quarter revenue and core profit above expectations, sending its share up 10% in extended trading.

Lyft has been luring consumers with shortened wait times for some pre-scheduled rides and drivers with minimum wage guarantees while trimming costs to boost profitability.

Since CEO David Risher took charge last April, the company has cut hundreds of jobs, reduced the firm’s losses, and managed to keep fare increases in check.

Lyft slashed costs by 13% and narrowed its net loss by 78% in 2023.

The company’s shares rose 36% over the last year.

Lyft is benefiting from the industry-wide trend of a pickup in ride-hailing demand and its strong execution of new functionalities, Risher told Reuters in an interview.

“Our pickup times now are better than they’ve been in four years,” he said.

The company estimated gross bookings, representing the total value of transactions on its platform, to range from $4.0 billion to $4.1 billion in the current quarter ending June, compared to estimates of $3.96 billion, per LSEG data.

Lyft forecast adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) between $95 million and $100 million, surpassing analysts’ average expectations of $81.1 million.

Lyft’s primary competitor, Uber Technologies, is scheduled to release its quarterly earnings before the market opens on Wednesday.

For the quarter ending March 31, Lyft’s revenue increased 28% to $1.28 billion, outperforming analysts’ expectations of $1.16 billion. Adjusted core earnings stood at $59.4 million, exceeding forecasts of $55 million.

The San Francisco, California-based firm said it had benefited from heightened demand during morning work commutes and weekend evening trips. It also gained from further expanding its service in Canada and growth in its advertising business.

The number of active riders and completed rides grew by 11.7% and 22.7%, respectively.

—Yuvraj Malik, Reuters

https://www.fastcompany.com/91120624/lyft-forecasts-strong-quarterly-earnings-driven-by-ride-hailing-demand-and-new-features?partner=rss&utm_source=rss&utm_medium=feed&utm_campaign=rss+fastcompany&utm_content=rss

Erstellt 1y | 08.05.2024, 00:20:05


Melden Sie sich an, um einen Kommentar hinzuzufügen

Andere Beiträge in dieser Gruppe

Using ChatGPT or other AI tools? Here’s who can see your chat history

While AI tools like ChatGPT and Google Gemini can be helpful, they&#82

04.08.2025, 11:50:02 | Fast company - tech
These 8 highly rated tech companies have 300+ remote jobs to fill

Ditch the commute and embrace the pajama pants-powered productivity of

04.08.2025, 07:10:07 | Fast company - tech
How Trump’s trade war impacts the tech sector

The Trump administration has announced sweeping tariffs—ranging from 10% to 41

04.08.2025, 04:50:03 | Fast company - tech
This TikToker is going viral for calling out the ‘bad walkers’ of NYC

If you’ve ever experienced incommensurate rage from slow or oblivious walkers, this Ti

03.08.2025, 12:40:03 | Fast company - tech
Is Apple getting ready to launch a PlayStation and Xbox competitor?

The Apple TV is probably my favorite device that Apple makes. While the Apple TV app is in dire need

02.08.2025, 11:10:06 | Fast company - tech
This free Adobe tool offers Photoshop-strength background removal

Sometimes, the simplest photo feats are the most satisfying of all.

Me? I’ve lost count of the number of times I’ve needed to remove the background from an image for one reason or anothe

02.08.2025, 11:10:04 | Fast company - tech
Google loses appeal in antitrust battle with Epic Games

A federal appeals court has upheld a jury verdict condemning Google’s Android app store as an illegal monopoly, clearing the way for a federal judge to enforce a potentially disruptive shake

01.08.2025, 18:50:03 | Fast company - tech