Lyft has never been profitable. All your business model is based on the scale and the hope that one day it will become a corner and can offer enough services to be in the black. We do not know when it will arrive, or if it will arrive that day, and it certainly is not today: Lyft has just reported its first earnings report as a publicly traded company, and it is not profitable.
The company reported revenues of $ 776 million, which was north of badysts' expectations of $ 739.4 million. And yet, his loss per share was $ 9.02 compared to expectations of $ 1.81. The company, apparently, is saving money. Reported a net loss of $ 1.14 billion in the last quarter:
The net loss of Lyft in all 2018: $ 911 million
The net loss * of Lyft alone in the first quarter * of 2019: $ 1,139b
– Felix Salmon (@felixsalmon) May 7, 2019
Investors do not seem to know what to do with the report. Initially, Lyft's shares fell more than 2% in post-closing operations, but now stocks rose more than 2.5%.
The company that arrived said it expects to reach revenues of between $ 800 million and $ 810 million, but it will reach some problems in the nearest term: the morning of Wednesday, the drivers of Lyft and Uber go on strike during the peak hour of the morning, in a Try to send a message to the companies that deserve a better payment. The timing of the strike is intentional, as Uber plans to make his Wall Street debut on Thursday.
We will see if these next planned actions will have an impact on the performance of Wall Street of any of the companies or if they decide to advance in the compensation of workers. Meanwhile, no one guesses whether investors will warm up with Lyft after seeing these quarterly losses.