Lyft, a ride-hailing company, reported a 16% increase in revenue to $1.84 billion in the second quarter, exceeding Wall Street estimates. The company’s CFO, Erin Brewer, attributed the growth to strength across its business, including U.S. rideshare, bikes and scooters, and European operations.
Key Factors Contributing to Growth
The FIFA soccer World Cup, held in the U.S., Canada, and Mexico, lifted demand during the second quarter, especially for airport rides and in host cities. Lyft has also sought to improve growth and profitability by steering riders toward higher-value services, including premium rides, airport trips, and chauffeur offerings.
The company’s gross bookings, which measure the total value of transactions on its platform, rose 23% to a record $5.50 billion in the second quarter. Adjusted core profit jumped 37% to $177.2 million, exceeding estimates of $171.9 million.
Partnerships have become a bigger source of rider acquisition and engagement, with about 30% of North American rideshare rides linked to a partner in the second quarter. Lower insurance costs, helped by California reforms and growth in markets with lower insurance expenses, allowed Lyft to spend more on rider incentives and loyalty programs to drive rides growth.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.
