Lyft gets a lift

Lyft gets a lift

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Someone is finally getting a ride out of Coronaville! Ride-hailing company Lyft (LYFT) reported losses smaller than expected – a great sign of reopening progress in the US and global economic recovery. Lyft’s sales for the first quarter of the year hit $609m, which were still down 36% compared to the same period last year, but grew 7% from Q4 2020.

The firm reported that its average daily ride volume increased monthly so far this year (there were 13.5 million active riders in those three months), which means people are finally moving again as the vaccination program in America continues at full throttle. Investors seemed to be delighted about the prospects of normalcy because Lyft’s shares jumped over 5% following the news.

Why it matters

Despite the legal challenges it has encountered lately over the treatment of its gig workers, the ride-sharing industry as a whole seems to be doing better — Uber (UBER) announced its net losses improved dramatically in Q1 this year, while Europe’s Bolt just launched a new car-sharing service.
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