Ride hailing company Lyft showed signs of a pandemic recovery in its first-quarter earnings report on Tuesday. The company outperformed the top and bottom lines, surpassing Wall Street rider expectations this quarter.
In after-hours trading after the report, Lyft’s share price rose by more than 1%.
The key numbers reported by Lyft are:
- Loss per share: Analyst Refinitiv Survey Expected 35 Cents vs. 53 Cents Per Share
- Revenue: $ 609 million compared to $ 558.7 million expected by Refinitiv
- Active rider: Expected from FactSet survey of 14.98 million vs. 12.8 million
- Revenue per active rider: Expected $ 45.13 vs. $ 44.50 per FactSet
It’s difficult for investors to compare company year-over-year figures as the Covid-19 pandemic began to take hold a year ago and travel was severely restricted. For example, revenue was down 36% year-on-year, but up 7% from the fourth quarter.
Transport companies are beginning to recover from pandemic lows as the Covid vaccine is deployed and state regulations are lifted, making people feel more comfortable when they return to work or travel.
The company said in mid-March that it expects positive growth in weekly ride hailing, except for a significant deterioration in coronavirus status, year-on-year and weekly and until the end of the year.
Investors are also looking for updates on the company’s earnings call on its path to a profitability-adjusted EBITDA base, a benchmark it expects to achieve by the end of 2021.
Lyft reported a net loss of $ 427.3 million, up from a net loss of $ 398.1 million in the year-ago quarter. According to the company, net losses include $ 180.7 million in equity-based compensation and associated payroll taxes. According to Lyft, the net loss margin was 41.7% to 70.2% year-on-year.
The adjusted EBITDA loss was $ 73 million, about $ 62 million better than the company’s latest outlook. The adjusted EBITDA loss margin for the quarter was 12%, compared to 8.9% in the first quarter of 2020 and 26.3% in the fourth quarter of 2020. EBITDA refers to interest, taxes, depreciation and profit before amortization.
Lyft also reported $ 2.2 billion in unlimited cash, cash equivalents, and short-term investments, down slightly from the previous quarter.
Last week, the company sold its self-driving car unit to Toyota’s subsidiary Woven Planet for $ 550 million in cash, advancing its profitability timeline. The company expects the transaction to reduce non-GAAP operating expenses by $ 100 million annually on a net basis, according to the release.
“With the sale of the Level 5 autonomous driving division pending, Lyft is ready to win the transition to autonomous through a hybrid network of human drivers and AV, advanced market technology, and key fleet management capabilities. It’s done, “said John Zimmer of Lyftco. -The founder and president said in the earnings announcement.
This story is developing. Please update for updates.
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