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Lyft gets boost from improving outlook
SAN FRANCISCO, Aug 8, 2019 (BSS/AFP) – Lyft shares gained Wednesday after
the US ride-hailing giant said it sees “positive momentum” that will help the
company cut losses over the rest of 2019.
The San Francisco-based Uber rival said its loss in the second quarter
more than tripled from a year ago to $644 million including stock
compensation expenses.
But revenue rose 72 percent to $867.3 million, and the company raised its
outlook for the coming month.
Shares rose 1.3 percent in after-hours trade.
“We remain focused on reshaping transportation and we are pleased with the
continued improvement in market conditions,” said chief executive Logan
Green.
“This environment along with our execution is translating to strong
revenue growth and sales and marketing efficiencies. As a result of this
positive momentum, we anticipate 2019 losses to be better than previously
expected and we are pleased to have updated our outlook.”
Lyft said the number of “active riders” in the quarter rose 41 percent
from a year ago to 21.8 million.
It forecast revenue of $900 million to $915 million.
The report comes a day before results from Uber, Lyft’s larger rival, with
both firms struggling to achieve profitability as they disrupt traditional
local transport markets.
Both ride-sharing groups made their stock market debut earlier this year
and have seen their shares decline since.
BSS/AFP/HR/1030