Lyft shares fall after disappointing revenue, active rider miss

Shares of Lyft plunged much than 19% successful aboriginal trading Tuesday, a time aft the institution reported worse-than-expected gross for the 3rd quarter, and progressive riders missed analysts' estimates.

Here's however the institution did:

• Earnings: 10 cents per share, adjusted, vs. 7 cents per share, according to analysts surveyed by Refinitiv
• Revenue: $1.05 billion, vs. $1.06 billion, according to analysts surveyed by Refinitiv

The rideshare institution recorded 20.3 cardinal progressive riders successful the 3rd quarter, abbreviated of Wall Street's projected 21.2 million, according to StreetAccount. The fig of radical utilizing its work besides remains beneath pre-pandemic levels. Lyft had 22.9 cardinal progressive riders successful the fourth 4th of 2019, for example.

Revenue of $1.05 cardinal besides came successful beneath analysts' expected $1.06 billion. That represented year-over-year maturation of 22%, marking the slowest gross enlargement successful much than a year.

The lackluster results travel aft Uber past week beat analysts' estimates for gross and said rider numbers were higher than earlier than pandemic, putting unit connected its rideshare rival to beryllium it tin retrieve from its pandemic slump.

Lyft precocious joined a slew of tech companies successful slashing costs amid a worsening economical outlook. The institution said past week it would chopped 13% of its workforce, citing expectations of a looming recession successful the adjacent twelvemonth and rising rideshare security costs.

Lyft CEO Logan Green said connected the company's net telephone that it is not seeing immoderate concerning macro trends successful the 4th quarter. For the existent quarter, Lyft said it expects to study gross betwixt $1.15 cardinal and $1.17 billion, which is successful enactment with statement estimates of $1.16 billion, according to StreetAccount.

WATCH: Lyft beats EPS but misses connected gross and progressive riders