Lyft Announces Q2 2024 Results, Including First-Ever Quarter of GAAP Profitability
Achieved All-time High Active Riders and Rides
“For over a year you've heard us say that customer obsession drives profitable growth," said CEO
“Our platform is growing in a very healthy way as evidenced by the strength of our financial results, including strong cash flow generation and GAAP Net income,” said CFO
Second Quarter 2024 Financial Highlights
-
Gross Bookings of
$4.0 billion was up 17% year-over-year. -
Revenue of
$1.4 billion was up 41% year-over-year. -
Net income of
$5.0 million compared to$(114.3) million net loss in Q2’23. Net income includes$89.9 million of stock-based compensation and related payroll tax expenses. Net income as a percentage of Gross Bookings was 0.1% and compared to net loss as a percentage of Gross Bookings of (3.3)% in Q2’23. -
Adjusted EBITDA of
$102.9 million compared to$41.0 million in Q2’23. Adjusted EBITDA margin as a percentage of Gross Bookings was 2.6% and compared to 1.2% in Q2’23. -
Net cash flow provided by (used in) operating activities of
$276.2 million compared to$(70.0) million in Q2’23. For the last twelve months, net cash flow provided by operating activities was$478.2 million . -
Free cash flow of
$256.4 million compared to($112.2) million in Q2’23. For the last twelve months, free cash flow was$368.4 million .
Second Quarter 2024 Operational Highlights
- All-time high Active Riders of 23.7 million: up 10% year-over-year.
- Rides of 205 million: were a company record, up 15% year-over-year.
- Driver hours hit an all-time high: and we welcomed the most new drivers in any quarter since 2019. Our Driver Earnings Commitment also launched nationwide.
-
The Pride effect: Pride was a major celebration for
Lyft riders in Q2. In cities with Pride celebrations throughout June,Lyft saw a 17% increase in rides compared to an average weekend in the quarter; riders inSan Francisco ,Denver , andSeattle took roughly 50% more rides than usual. -
Congrats grads: Riders in top college towns took 23% more rides during spring graduation weekends compared to average weekends in Q2 - especially at schools like the
University of Florida , which has a partnership withLyft to help transport 60,000 students throughoutGainesville and across campus. -
Canada rides doubled: in the second quarter compared to the same period last year, andToronto grew to become our 8th largest market.
Third Quarter 2024 Outlook
-
Gross Bookings of approximately
$4.0 billion to$4.1 billion . -
Adjusted EBITDA of
$90 million to$95 million and an Adjusted EBITDA margin (calculated as a percentage of Gross Bookings) of approximately 2.3%.
FY’24 Directional Commentary: Free Cash Flow Conversion Updated
- Rides growth in the mid-teens year-over-year.
- Gross Bookings growth that is slightly faster than Rides growth year-over-year.
- Adjusted EBITDA margin (calculated as a percentage of Gross Bookings) of approximately 2.1%.
- We remain on track to generate positive free cash flow for the full year. Given our strong progress in the first half of the year and our increased visibility, we now expect we’ll reach our more than 90% long-term conversion target for the full-year 2024, well ahead of schedule.
We have not provided the forward-looking GAAP equivalent to our non-GAAP outlook or a GAAP reconciliation as a result of the uncertainty regarding, and the potential variability of reconciling items such as stock-based compensation and income tax. Accordingly, a reconciliation of these non-GAAP guidance metrics to their corresponding GAAP equivalent is not available without unreasonable effort. However, it is important to note that the reconciling items could have a significant effect on future GAAP results. We have provided historical reconciliations of GAAP to non-GAAP metrics in tables at the end of this release. For more information regarding the non-GAAP financial measures discussed in this earnings release, please see "GAAP to non-GAAP Reconciliations" below.
Financial and Operational Results through the Second Quarter of 2024 |
||||||||||||
|
|
Three Months Ended |
||||||||||
|
|
|
|
|
|
|
||||||
|
|
(in millions, except for percentages) |
||||||||||
Active Riders |
|
|
23.7 |
|
|
|
21.9 |
|
|
|
21.5 |
|
Rides |
|
|
205.3 |
|
|
|
187.7 |
|
|
|
177.9 |
|
Gross Bookings |
|
$ |
4,018.9 |
|
|
$ |
3,693.2 |
|
|
$ |
3,446.0 |
|
Revenue |
|
$ |
1,435.8 |
|
|
$ |
1,277.2 |
|
|
$ |
1,020.9 |
|
Net income (loss) |
|
$ |
5.0 |
|
|
$ |
(31.5 |
) |
|
$ |
(114.3 |
) |
Net income (loss) as a percentage of Gross Bookings |
|
|
0.1 |
% |
|
|
(0.9 |
)% |
|
|
(3.3 |
)% |
Net cash flow provided by (used in) operating activities |
|
$ |
276.2 |
|
|
$ |
156.2 |
|
|
$ |
(70.0 |
) |
Adjusted EBITDA |
|
$ |
102.9 |
|
|
$ |
59.4 |
|
|
$ |
41.0 |
|
Adjusted EBITDA margin (calculated as a percentage of Gross Bookings) |
|
|
2.6 |
% |
|
|
1.6 |
% |
|
|
1.2 |
% |
Adjusted Net Income (Loss) |
|
$ |
98.9 |
|
|
$ |
60.0 |
|
|
$ |
59.5 |
|
Free cash flow |
|
$ |
256.4 |
|
|
$ |
127.1 |
|
|
$ |
(112.2 |
) |
_______________
Note: Information on our key metrics and non-GAAP financial measures is also available on our Investor Relations page. |
Definitions of Key Metrics
Gross Bookings
Gross Bookings is a key indicator of the scale and impact of our overall platform.
Adjusted EBITDA margin (calculated as a percentage of Gross Bookings)
Adjusted EBITDA margin (calculated as a percentage of Gross Bookings) is calculated by dividing Adjusted EBITDA for a period by Gross Bookings for the same period. For the definition of Adjusted EBITDA, refer to “Non-GAAP Financial Measures”.
Rides
Rides represent the level of usage of our multimodal platform.
Active Riders
The number of Active Riders is a key indicator of the scale of our user community.
Webcast
About
Available Information
Forward Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements generally relate to future events or
Non-GAAP Financial Measures
To supplement
In
Lyft’s definitions may differ from the definitions used by other companies and therefore comparability may be limited. In addition, other companies may not publish these or similar metrics. Furthermore, these measures have certain limitations in that they do not include the impact of certain expenses that are reflected in our consolidated statement of operations that are necessary to run our business. Thus, our non-GAAP financial measures should be considered in addition to, not as substitutes for, or in isolation from, measures prepared in accordance with GAAP.
|
||||||||
|
|
|
|
|||||
Assets |
|
|
|
|||||
Current assets |
|
|
|
|||||
Cash and cash equivalents |
$ |
604,357 |
|
|
$ |
558,636 |
|
|
Short-term investments |
|
1,195,970 |
|
|
|
1,126,548 |
|
|
Prepaid expenses and other current assets |
|
879,606 |
|
|
|
892,235 |
|
|
Total current assets |
|
2,679,933 |
|
|
|
2,577,419 |
|
|
Restricted cash and cash equivalents |
|
213,903 |
|
|
|
211,786 |
|
|
Restricted investments |
|
1,125,027 |
|
|
|
837,291 |
|
|
Other investments |
|
39,704 |
|
|
|
39,870 |
|
|
Property and equipment, net |
|
528,233 |
|
|
|
465,844 |
|
|
Operating lease right of use assets |
|
88,959 |
|
|
|
98,202 |
|
|
Intangible assets, net |
|
51,299 |
|
|
|
59,515 |
|
|
|
|
255,391 |
|
|
|
257,791 |
|
|
Other assets |
|
14,635 |
|
|
|
16,749 |
|
|
Total assets |
$ |
4,997,084 |
|
|
$ |
4,564,467 |
|
|
Liabilities and Stockholders’ Equity |
|
|
|
|||||
Current liabilities |
|
|
|
|||||
Accounts payable |
$ |
116,070 |
|
|
$ |
72,282 |
|
|
Insurance reserves |
|
1,489,577 |
|
|
|
1,337,868 |
|
|
Accrued and other current liabilities |
|
1,602,588 |
|
|
|
1,508,855 |
|
|
Operating lease liabilities — current |
|
43,229 |
|
|
|
42,556 |
|
|
Convertible senior notes, current |
|
389,374 |
|
|
|
— |
|
|
Total current liabilities |
|
3,640,838 |
|
|
|
2,961,561 |
|
|
Operating lease liabilities |
|
113,102 |
|
|
|
134,102 |
|
|
Long-term debt, net of current portion |
|
578,334 |
|
|
|
839,362 |
|
|
Other liabilities |
|
87,182 |
|
|
|
87,924 |
|
|
Total liabilities |
|
4,419,456 |
|
|
|
4,022,949 |
|
|
Stockholders’ equity |
|
|
|
|||||
Preferred stock, |
|
— |
|
|
|
— |
|
|
Common stock, |
|
4 |
|
|
|
4 |
|
|
Additional paid-in capital |
|
10,892,833 |
|
|
|
10,827,378 |
|
|
Accumulated other comprehensive income (loss) |
|
(7,773 |
) |
|
|
(4,949 |
) |
|
Accumulated deficit |
|
(10,307,436 |
) |
|
|
(10,280,915 |
) |
|
Total stockholders’ equity |
|
577,628 |
|
|
|
541,518 |
|
|
Total liabilities and stockholders’ equity |
$ |
4,997,084 |
|
|
$ |
4,564,467 |
|
|
|||||||||||||||||
|
Three Months Ended |
Six Months Ended |
|||||||||||||||
|
2024 |
|
2023 |
2024 |
|
2023 |
|||||||||||
Revenue |
$ |
1,435,846 |
|
|
$ |
1,020,906 |
|
$ |
2,713,047 |
|
|
$ |
2,021,454 |
|
|||
Costs and expenses |
|
|
|
|
|
|
|||||||||||
Cost of revenue |
|
819,518 |
|
|
|
606,599 |
|
|
1,574,880 |
|
|
|
1,155,591 |
|
|||
Operations and support |
|
115,734 |
|
|
|
107,649 |
|
|
218,776 |
|
|
|
206,575 |
|
|||
Research and development |
|
98,807 |
|
|
|
154,612 |
|
|
198,830 |
|
|
|
351,516 |
|
|||
Sales and marketing |
|
176,370 |
|
|
|
109,167 |
|
|
321,842 |
|
|
|
225,108 |
|
|||
General and administrative |
|
252,643 |
|
|
|
201,398 |
|
|
488,896 |
|
|
|
457,938 |
|
|||
Total costs and expenses |
|
1,463,072 |
|
|
|
1,179,425 |
|
|
2,803,224 |
|
|
|
2,396,728 |
|
|||
Loss from operations |
|
(27,226 |
) |
|
|
(158,519 |
) |
|
(90,177 |
) |
|
|
(375,274 |
) |
|||
Interest expense |
|
(7,852 |
) |
|
|
(6,151 |
) |
|
(14,900 |
) |
|
|
(11,584 |
) |
|||
Other income (expense), net |
|
41,943 |
|
|
|
53,075 |
|
|
83,000 |
|
|
|
90,290 |
|
|||
Income (loss) before income taxes |
|
6,865 |
|
|
|
(111,595 |
) |
|
(22,077 |
) |
|
|
(296,568 |
) |
|||
Provision for (benefit from) income taxes |
|
1,851 |
|
|
|
2,667 |
|
|
4,444 |
|
|
|
5,343 |
|
|||
Net income (loss) |
$ |
5,014 |
|
|
$ |
(114,262 |
) |
$ |
(26,521 |
) |
|
$ |
(301,911 |
) |
|||
Net income (loss) per share |
|
|
|
|
|
|
|||||||||||
Basic |
$ |
0.01 |
|
|
$ |
(0.30 |
) |
$ |
(0.07 |
) |
|
$ |
(0.80 |
) |
|||
Diluted |
$ |
0.01 |
|
|
$ |
(0.30 |
) |
$ |
(0.07 |
) |
|
$ |
(0.80 |
) |
|||
Weighted-average number of shares outstanding used to compute net income (loss) per share |
|
|
|
|
|
|
|||||||||||
Basic |
|
406,512 |
|
|
|
381,884 |
|
|
404,033 |
|
|
|
377,828 |
|
|||
Diluted |
|
411,969 |
|
|
|
381,884 |
|
|
404,033 |
|
|
|
377,828 |
|
|||
Stock-based compensation included in costs and expenses: |
|
|
|
|
|
|
|||||||||||
Cost of revenue |
$ |
5,759 |
|
|
$ |
7,503 |
|
$ |
11,775 |
|
|
$ |
18,272 |
|
|||
Operations and support |
|
1,895 |
|
|
|
3,981 |
|
|
3,989 |
|
|
|
9,909 |
|
|||
Research and development |
|
27,340 |
|
|
|
49,351 |
|
|
57,172 |
|
|
|
142,856 |
|
|||
Sales and marketing |
|
4,231 |
|
|
|
7,953 |
|
|
8,435 |
|
|
|
19,637 |
|
|||
General and administrative |
|
46,513 |
|
|
|
45,138 |
|
|
84,465 |
|
|
|
103,635 |
|
|
||||||||
|
Six Months Ended |
|||||||
|
2024 |
|
2023 |
|||||
Cash flows from operating activities |
|
|
|
|||||
Net income (loss) |
$ |
(26,521 |
) |
|
$ |
(301,911 |
) |
|
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities |
|
|
|
|||||
Depreciation and amortization |
|
70,071 |
|
|
|
55,841 |
|
|
Stock-based compensation |
|
165,837 |
|
|
|
294,309 |
|
|
Amortization of premium on marketable securities |
|
157 |
|
|
|
87 |
|
|
Accretion of discount on marketable securities |
|
(43,319 |
) |
|
|
(28,386 |
) |
|
Amortization of debt discount and issuance costs |
|
1,755 |
|
|
|
1,374 |
|
|
Gain on sale and disposal of assets, net |
|
(4,514 |
) |
|
|
(8,902 |
) |
|
Other |
|
1,185 |
|
|
|
(8,391 |
) |
|
Changes in operating assets and liabilities, net effects of acquisition |
|
|
|
|||||
Prepaid expenses and other assets |
|
12,146 |
|
|
|
18,978 |
|
|
Operating lease right-of-use assets |
|
13,124 |
|
|
|
17,646 |
|
|
Accounts payable |
|
39,854 |
|
|
|
(49,404 |
) |
|
Insurance reserves |
|
151,709 |
|
|
|
(107,833 |
) |
|
Accrued and other liabilities |
|
75,047 |
|
|
|
(19,091 |
) |
|
Lease liabilities |
|
(24,152 |
) |
|
|
(8,330 |
) |
|
Net cash provided by (used in) operating activities |
|
432,379 |
|
|
|
(144,013 |
) |
|
Cash flows from investing activities |
|
|
|
|||||
Purchases of marketable securities |
|
(2,102,390 |
) |
|
|
(1,192,689 |
) |
|
Purchases of term deposits |
|
(2,194 |
) |
|
|
— |
|
|
Proceeds from sales of marketable securities |
|
91,712 |
|
|
|
294,115 |
|
|
Proceeds from maturities of marketable securities |
|
1,693,080 |
|
|
|
1,772,926 |
|
|
Proceeds from maturities of term deposits |
|
3,539 |
|
|
|
5,000 |
|
|
Purchases of property and equipment and scooter fleet |
|
(48,905 |
) |
|
|
(88,975 |
) |
|
Cash paid for acquisitions, net of cash acquired |
|
— |
|
|
|
1,630 |
|
|
Sales of property and equipment |
|
46,888 |
|
|
|
48,843 |
|
|
Other |
|
1,113 |
|
|
|
— |
|
|
Net cash (used in) provided by investing activities |
|
(317,157 |
) |
|
|
840,850 |
|
|
Cash flows from financing activities |
|
|
|
|||||
Repayment of loans |
|
(40,985 |
) |
|
|
(48,451 |
) |
|
Proceeds from issuance of convertible senior notes |
|
460,000 |
|
|
|
— |
|
|
Payment of debt issuance costs |
|
(11,888 |
) |
|
|
— |
|
|
Purchase of capped call |
|
(47,886 |
) |
|
|
— |
|
|
Repurchase of Class A Common Stock |
|
(50,000 |
) |
|
|
— |
|
|
Payment for settlement of convertible senior notes due 2025 |
|
(350,000 |
) |
|
|
— |
|
|
Proceeds from exercise of stock options and other common stock issuances |
|
6,403 |
|
|
|
5,873 |
|
|
Taxes paid related to net share settlement of equity awards |
|
(8,898 |
) |
|
|
(1,827 |
) |
|
Principal payments on finance lease obligations |
|
(23,629 |
) |
|
|
(24,852 |
) |
|
Contingent consideration paid |
|
— |
|
|
|
(14,100 |
) |
|
Net cash used in financing activities |
|
(66,883 |
) |
|
|
(83,357 |
) |
|
Effect of foreign exchange on cash, cash equivalents and restricted cash and cash equivalents |
|
(501 |
) |
|
|
345 |
|
|
Net (decrease) increase in cash, cash equivalents and restricted cash and cash equivalents |
|
47,838 |
|
|
|
613,825 |
|
|
Cash, cash equivalents and restricted cash and cash equivalents |
|
|
|
|||||
Beginning of period |
|
771,786 |
|
|
|
391,822 |
|
|
End of period |
$ |
819,624 |
|
|
$ |
1,005,647 |
|
|
||||||||
|
Six Months Ended |
|||||||
|
2024 |
|
2023 |
|||||
Reconciliation of cash, cash equivalents and restricted cash and cash equivalents to the consolidated balance sheets |
|
|
|
|||||
Cash and cash equivalents |
$ |
604,357 |
|
|
$ |
638,434 |
|
|
Restricted cash and cash equivalents |
|
213,903 |
|
|
|
365,849 |
|
|
Restricted cash, included in prepaid expenses and other current assets |
|
1,364 |
|
|
|
1,364 |
|
|
Total cash, cash equivalents and restricted cash and cash equivalents |
$ |
819,624 |
|
|
$ |
1,005,647 |
|
|
Non-cash investing and financing activities |
|
|
|
|||||
Financed vehicles acquired |
$ |
84,418 |
|
|
$ |
119,645 |
|
|
Purchases of property and equipment and scooter fleet not yet settled |
|
12,195 |
|
|
|
13,362 |
|
|
Right-of-use assets acquired under finance leases |
|
32,775 |
|
|
|
34,729 |
|
|
Right-of-use assets acquired under operating leases |
|
3,407 |
|
|
|
3,100 |
|
|
Remeasurement of finance and operating lease right of use assets |
|
(7,600 |
) |
|
|
(2,242 |
) |
|
||||||||||||
|
Three Months Ended |
|||||||||||
|
|
|
|
|
|
|||||||
Adjusted EBITDA |
|
|
|
|
|
|||||||
Net income (loss) |
$ |
5.0 |
|
|
$ |
(31.5 |
) |
|
$ |
(114.3 |
) |
|
Adjusted to exclude the following: |
|
|
|
|
|
|||||||
Interest expense(1) |
|
9.4 |
|
|
|
8.5 |
|
|
|
6.9 |
|
|
Other (income) expense, net |
|
(41.9 |
) |
|
|
(41.1 |
) |
|
|
(53.1 |
) |
|
Provision for (benefit from) income taxes |
|
1.9 |
|
|
|
2.6 |
|
|
|
2.7 |
|
|
Depreciation and amortization |
|
37.7 |
|
|
|
32.4 |
|
|
|
28.6 |
|
|
Stock-based compensation |
|
85.7 |
|
|
|
80.1 |
|
|
|
113.9 |
|
|
Payroll tax expense related to stock-based compensation |
|
4.2 |
|
|
|
7.4 |
|
|
|
2.7 |
|
|
Sublease income |
|
1.0 |
|
|
|
1.1 |
|
|
|
1.3 |
|
|
Restructuring charges(2) |
|
— |
|
|
|
— |
|
|
|
52.3 |
|
|
Adjusted EBITDA |
$ |
102.9 |
|
|
$ |
59.4 |
|
|
$ |
41.0 |
|
|
Gross Bookings |
$ |
4,018.9 |
|
|
$ |
3,693.2 |
|
|
$ |
3,446.0 |
|
|
Net income (loss) as a percentage of Gross Bookings |
|
0.1 |
% |
|
|
(0.9 |
)% |
|
|
(3.3 |
)% |
|
Adjusted EBITDA margin (calculated as a percentage of Gross Bookings) |
|
2.6 |
% |
|
|
1.6 |
% |
|
|
1.2 |
% |
_______________
(1) |
|
Includes |
(2) |
|
In the second quarter of 2023, we incurred restructuring charges of |
Note: Due to rounding, numbers presented may not add up precisely to the totals provided. |
|
Three Months Ended |
||||||||||
|
|
|
|
|
|
||||||
Adjusted Net Income (Loss) |
|
|
|
|
|
||||||
Net income (loss) |
$ |
5.0 |
|
$ |
(31.5 |
) |
|
$ |
(114.3 |
) |
|
Adjusted to exclude the following: |
|
|
|
|
|
||||||
Amortization of intangible assets |
|
4.0 |
|
|
4.1 |
|
|
|
4.2 |
|
|
Stock-based compensation expense |
|
85.7 |
|
|
80.1 |
|
|
|
113.9 |
|
|
Payroll tax expense related to stock-based compensation |
|
4.2 |
|
|
7.4 |
|
|
|
2.7 |
|
|
Restructuring charges(1) |
|
— |
|
|
— |
|
|
|
52.9 |
|
|
Adjusted Net Income (Loss) |
$ |
98.9 |
|
$ |
60.0 |
|
|
$ |
59.5 |
|
_______________
(1) |
|
In the second quarter of 2023, we incurred restructuring charges of |
|
|
|
Note: Due to rounding, numbers presented may not add up precisely to the totals provided. |
|
Twelve Months Ended |
|
Three Months Ended |
|||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Free cash flow |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Net cash provided by (used in) operating activities |
$ |
478.2 |
|
|
$ |
276.2 |
|
|
$ |
156.2 |
|
|
$ |
43.5 |
|
|
$ |
2.3 |
|
|
$ |
(70.0 |
) |
|
Less: purchases of property and equipment and scooter fleet |
|
(109.8 |
) |
|
|
(19.8 |
) |
|
|
(29.1 |
) |
|
|
(28.6 |
) |
|
|
(32.3 |
) |
|
|
(42.2 |
) |
|
Free cash flow |
$ |
368.4 |
|
|
$ |
256.4 |
|
|
$ |
127.1 |
|
|
$ |
14.9 |
|
|
$ |
(30.0 |
) |
|
$ |
(112.2 |
) |
_______________
Note: Due to rounding, numbers presented may not add up precisely to the totals provided. |
View source version on businesswire.com: https://www.businesswire.com/news/home/20240807707940/en/
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