Lyft Stock Sinks on Revenue Miss, Other Soft Metrics

The Lyft logo is displayed on a car in San Francisco, Calif. (Justin Sullivan/Getty Images)

Lyft missed analyst expectations on revenue but beat on earnings per share in the second quarter, and shares were falling in after-hours trading.

The ride-hailing platform reported revenue of $1.59 billion versus analysts expectations of $1.61 billion. Earnings per share were 10 cents versus analyst expectations of four cents on the basis of generally accepted accounting principles.

Other key metrics came in just shy of analyst expectations among those polled by FactSet. Total rides during the quarter were 234.8 million versus the anticipated 235.7 million. Gross bookings were $4.490 billion, short of the $4.501 billion analysts had in mind.

For the current quarter ending in September, Lyft continues to expect rides growth in the mid-teens from a year ago and gross bookings of $4.65 billion to $4.80 billion, for a 13% to 17% increase over the same period in 2024.

The stock was fell as much as 10% to $12.60 in after hours trading before paring some of those losses. It was down just over 7% at 4:30pm Eastern time.

The disappointing report follows rival Uber Technologies’ earnings beat for the same period, which the company reported early Wednesday morning. Sometimes even an earnings beat isn’t enough to satisfy investors. Uber stock fell slightly despite the modest beat.

Shares of Lyyft were falling even before it reported earnings, closing down more than 3% at $14.04 Wednesday in regular trading. The drop came just two days after it announced a partnership with Chinese firm Baidu to deploy autonomous rides across Europe. Lyft had been seen as something of a laggard in the autonomous vehicle space compared with Uber, whose high-profile partners include Waymo and Lucid.

Lyft’s business is much smaller than Uber’s, which operates in dozens of countries and gets a big chunk of its bookings and revenue from Uber Eats. Lyft operates mostly in the U.S. and Canada, although it announced plans to expand into Europe this spring. It also gets a slice of its revenue from bike share and scooter rentals.

Write to Anita Hamilton at anita.hamilton@barrons.com