Lyft Inc. (NASDAQ: LYFT) recently announced its second-quarter earnings. Lyft reported an all-time EBITDA profit, and the platform’s driver count had returned to pre-pandemic levels.
Lyft’s revenue grew 30 percent to approximately $991 million in the third quarter, led by a roughly 16 percent rise in active users to 19.86 million. The airline also announced a 12 percent increase in revenue per passenger at $49.89.
The management observes that the strong activity is related to the broader economic rebound following COVID-19. Travels to the airport, for example, accounted for more than 10% of total trips for the quarter.
The number of drivers on Lyft is rapidly increasing, reaching its highest level in two years. A driver earned an average of $37 per hour worked, including tips and incentives. This represents an increase of 18% over the previous year. The enhanced salary, according to management, became the motivation to attract a significant number of drivers.
Management has implemented cost-cutting initiatives in recent quarters, which have resulted in improved profitability. Adjusted EBITDA more than quadrupled to $79 million, with the adjusted EBITDA margin increasing to 8% from 3.1 percent the previous year. According to management, this is the company’s greatest adjusted EBITDA in its history.
Lyft anticipates revenue to increase by 20% to 23% year on year to $1.05 billion in the coming quarter. Management also anticipates adjusted EBITDA of $55 million to $65 million.
On August 5, LYFT was valued at $20.28, a gain of more than 16.5 percent in a single day of trade. Despite increasing 46% in one week, the stock is still trading 64% behind its 52-week highs.
Lyft Inc. (LYFT) is now trading -6.63 percent below its three-month high. On the other hand, the stock is trading +69.57 percent higher than its three-month low. Looking at the larger picture, LYFT is trading -6.63 percent below its 52-week high and 69.57 percent above its 52-week low price.