Lyft, Inc. (NASDAQ:LYFT) shares are trading lower in Wednesday’s after-hours session on the heels of the company’s third-quarter earnings report. Here’s what’s happening.
What To Know: Lyft reported quarterly losses of three cents per share, well below the analyst consensus estimate of 13 cents, a 130% decrease over earnings of 10 cents per share from the same period last year.
The company reported quarterly sales of $1.16 billion, which beat the analyst consensus estimate of $1.14 billion by 1.54 percent, a 9.82% increase over sales of $1.05 billion in the same period last year.
Gross Bookings were up 15% year-over-year, coming in at $3.554 billion. The company clocked 187 million rides, representing growth of 20% year-over-year. Active Riders grew 10% year-over-year. Strong growth in rideshare rides and bike and scooter rides were linked to the increase.
Adjusted EBITDA of $92 million compares to $41 million in the second quarter and $26.7 million loss prior-year quarter. Adjusted EBITDA margin as a percentage of Gross Bookings was 2.6%.
Net loss includes $100.4 million of stock-based compensation and related payroll tax expenses.
For the fourth quarter, Lyft sees Gross Bookings of approximately $3.6 billion to $3.7 billion and Adjusted EBITDA of $50 million to $60 million.
Fourth-quarter revenue is expected to grow mid-single-digits quarter-over-quarter, while Adjusted EBITDA margin will be roughly in line with the 4% seen in the second quarter.
“More drivers and riders are choosing Lyft because we’re following a simple formula: listen to customers and build the experiences they want,” said CEO David Risher.
“Women+ Connect is a great example, and is now available in more than 50 cities and towns across the U.S. There’s so much open road ahead to create a customer-obsessed financially strong Lyft. We’ve got our foot on the pedal!”
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LYFT Price Action: Shares of LYFT were down 4.38% at $10.25 in the after-hours session at the time of publication, according to Benzinga Pro.
Image by Dariusz Sankowski from Pixabay
