LYFT Q1 2024 Earnings

Call Details

• Call Title: Lyft, Inc. Q1 2024 Earnings Call
• Date: May 7, 2024 at 9:00 PM UTC
• Management Team:
  • Sonia Banerjee (Head of Investor Relations)
  • David Risher (Chief Executive Officer)
  • Erin Brewer (Chief Financial Officer)
  • Kristin Sverchek (President)

Call Summary

Financial Performance

• Total rides supported were 188 million in Q1 2024, which grew up 23% year over year.
• Active riders were 21.9 million in Q1 2024, which grew up 12% year over year.
• Gross bookings were approximately $3.7B in Q1 2024, which grew up 21% year over year.
• Revenue was $1.3B in Q1 2024, which grew up 28% year over year, and income statement measures referenced are non-GAAP unless otherwise indicated.
• Cost of revenue was $747M in Q1 2024, which grew up nearly 40% year over year and reflected higher ride volumes and higher per-ride insurance costs.
• Operating expenses were $500M in Q1 2024, which grew up roughly 8% year over year and were approximately 14% of gross bookings.
• Adjusted EBITDA was $59M in Q1 2024, which represented 1.6% of gross bookings on a non-GAAP basis and was more than double the comparable margin a year ago.
• Lyft generated positive free cash flow of $127M in Q1 2024 and ended the quarter with about $1.7B of unrestricted cash, cash equivalents, and short-term investments.

Guidance

• Q2 2024 gross bookings guidance is $4.0B to $4.1B, which implies growth of 16% to 19% year over year and assumes rides growth of approximately 15% year over year.
• Q2 2024 adjusted EBITDA guidance is approximately $95M to $100M, implying an adjusted EBITDA margin of about 2.4% of gross bookings.
• Full year 2024 guidance remains for total rides growth in the mid-teens year over year with gross bookings expected to grow slightly faster than rides.
• Full year 2024 adjusted EBITDA margin is expected to be approximately 2.1% of gross bookings on a non-GAAP basis.
• Lyft expects to generate positive free cash flow for full year 2024 and now expects at least 70% of adjusted EBITDA to convert to free cash flow for the full year.
• Quarterly free cash flow conversion will vary materially by quarter, with the company expecting free cash flow to be weighted more toward the first half of 2024 due to anticipated insurance renewals in the back half of the year.