HYRE - Earnings call transcript Q3 2021

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Operator

Good afternoon, ladies and gentlemen. Thank you for standing by. Welcome to the HyreCar Inc. 2021 Third Quarter Conference Call. [Operator Instructions] This conference is being recorded November 9, 2021 and the earnings press release accompanying this conference call was issued at the close of market today, November 9, 2021. is Scott Joe of Arnold, today De CFO, CoreIR. call and Bock; Senior our HyreCar's Furnari; CEO, Serge On Managing Partner I to the turn will call now Scott. over

Scott Arnold

third welcome, and you, Thank earnings call. quarter to operator conference our everyone, XXXX

take management. or federal we remind beliefs, opportunity HyreCar any securities we or be to, limited about company's from U.S. in to those laws statements risk and statements you express in current materially subject in Before our within statements forward-looking expectations, and These those call, differ known to company to estimates making not with and during this regarding strategies, this forward-looking future on the unknown like projected are particular, during by that intentions, In predictions are the Commission. business this results based its started, I'd will described and or get Exchange to but statements documents that meaning files Inc.'s include included call. the to statements actual events conditions. other expectations, factors statements could the relating that cause activities, implied risks are part company's projections our earnings, Securities These based of the uncertainties made on assumptions

by such and addition, beyond be uncertainties control. affected statements the risks In could related company's to factors

our by beliefs update we as make undertake of predictions except obligation law. statements future as them, on no and forward-looking assumptions forward-looking call on this we to as not statements are All of required rely that You based should events. on applicable today and

portion will include for Investor A addition our be and that and should isolation our or Form on will not release the GAAP results non-GAAP as results. measures. financial with Our be found measures with be in which be our will will found SEC substitute These to website. of will of materials non-GAAP and GAAP be XX-Q also Relations in from to furnished supplemental a earnings reconciliation filed considered in discussions non-GAAP our today the

turn Now, like Furnari, Joe CEO. to I to would it over

Joe Furnari

segments Thank conference drove call. fewer to from significantly pick-up in driver am which revenue car $X.X of in from rates. increased our on drivers the million, the you, quarter in third report Scott our is a rate. pick XX% third increased XX% pleased XXXX. net same $X.X growth Robust quarter, X,XXX over were welcome up to and demand XXXX driver to year-over-year all new unique I driver million our that period daily margin robust incremental up platform a Take and rates creating alternatives to have as demand

stack, for up technology Because take take the QX. rate reward. pricing growth iterates dynamic flexible of rates we've robust up in as data able we learns the QX, relatively model a the We pricing implement to to through environment year were dynamic model Our these changes and X% invested risk and and per day rest brought building in quickly. from $XX anticipate

build as in week, stronger vehicles significant. AmeriDrive over the meeting are to this to margin and drivers. and partnership helping we the the goals At driver of increasing partners to AmeriDrive to available the continuing gig allow continue plan electric We will we fleet our us financial our fleet Under to on from make help we expand to terms meet capacity been forward gas-powered Bank gross to the HyreCar provide our year a fleet its platform. we been the progress supply succeeded of vehicles types HyreCar look and This vehicle Cogent has platform. Cogent of the its that a quarter end we with tremendous with lending agreement, since announced to the that portal. these of and to delivery to the believe our the Importantly, made and has weeks drive Cogent quarter last number partner agreed us to we partner and back AmeriDrive for cost to demand of QX relationship. larger relationships even improved that through and invest help has continue continue and

securitized two Auto attended Auto The Finance the vehicle Allan. invested vehicle conferences to our coast the helping Summit Brian west succeed major related our HyreCar's when team products significant the taking markets drivers financing of our conference opportunities auto access supply, the to as by finance Auto help to headlined partners Finance Finance leveraging the that In tools. was succeed match line of the the to car one HyreCar Summit. addition We is the purpose XXXX. one sources. industry month, realize association's mobility-as-a-service the financing. Last Cogent to in in ecosystem, primary with larger we our financial by we automotive highlighted partners SFVeg, storm And and access retail have and industry

rented mentioned, HyreCar. for give note revenue to customers, As line warehousing for we partners help announce proud lines. secondly, to to $XXX our to to XX,XXX previously access we've cars. financing platform, bank direct of thousands These major approximately of sight to And supply every of a And tens HyreCar. million available investment the our extremely Hyre warehousing Business platform's to I'm growing for large engaged estimate actively vehicle important lines on that $XX will another in million it's cars milestone

signed in official adding focus and and electric acquire the directly to hybrid and vehicles. find initially vehicles The our partnership will platform sustainability and using which This people focused platform on to We on relationship with vehicles Uber to the strategic rental automotive Uber drivers environmental work is partnership have us delivery an vehicle Uber. is rental with sector. allow HyreCar's

Vehicle platform. the listings platform retention section flow roll San users people rates and will Francisco Pairing the and jointly see from the Solutions solutions with can promotion cars to through available single more the to rapidly from the pick HyreCar Uber to Uber quality out in and increase in activities and partnership will various marketing using a delivery sign-on approval We applications. will costs. expect seamlessly our program through cities we drivers driver this Atlanta a app rent create Uber for be drivers integrate will on move Uber's business drivers, now up our should and Potential of anticipate this to We vehicle as will and reduce other driving customers process. app. market oversee able And solution, be rentals improve and our integrated. directly Uber's directly to partnership

dynamic see share result providers and platform our other pricing believe of while are will And a the on Uber attract we volumes to market our our the are aware attractive We increased drivers in partnership. of as will that we the over also expect mix, to rental time, new structures increase. platform car and HyreCar's that

adoption the addition, with as believe improving end changes the business, dynamic on In of X,XXX XXXX. other are some work XX% we on track to cash has for we platform. margins our breakeven Recent anticipates Serge with structures, our rented X,XXX that at are pricing gross of we on our margins making of by vehicles flow done of continue and goal focus to efforts a I the

we been near to to a with be that vehicle Sedgwick. implemented pleased and PwC our gig with our Now purchase higher partner, margins used focus have we in have our continue our shortage the moving impact his term anomalies finance supplier so partners are anomaly helping maintaining pace market the his that well as July on our as many Ford, fortunate we important term, only the believe of budget Amazon have We our the at and economy. leading is driver to it CFO of had down as him tighter reasons processes and supply TPA and among cars of company planning is He central operations. Liberty at -- will and short these scale. the been An do operations adding in expenses Bock to growth De vehicles. it believe is will market market year. for In grow over through to analyzing Mutual extremely going to this are Serge had recently from the and working to gained way partners healthy should Deloitte and vehicle that to Serge make as keep the join operational the due months Conversations the to clear HyreCar are at keep new intends the key our X in a has us ensure improving and of improve join impact our abate. team. not of experienced a this market past financial claims time We forward

gig reports markets, innovate has financial marketplace where this news the to range With providing EV of we and Financial cars have Bock, the Officer, both over Even the appeals goals other market they recent the you As widest between if of from our XXX,XXX us will and continue of been it. but in partner XX,XXX customers to that, calculated and from third ICE gross of want that vehicles. turn Serge? elements will XXX,XXX companies part the seen our and the XXXX XX,XXX some to be in be want, by drivers our consist I'd we walk the total achieve small call XXXX, still now through in like key and vehicles a to De verified market we from our Chief quarter. vehicles, platform suites addressable will Serge the to rental

Serge De Bock

I've sustainable technology onto immediate Thanks, and helpful. past platform. for insurance industries my has the immersing in months, been focus continues revenue In on team. margin and to myself growth expertise HyreCar the where the me My into enjoyed are be automotive, driving and profitable Joe, areas on the welcoming and X

QX in several movement saw a to this opportunities path. future saw we and and On from quarter our continued QX XXXX identified continue rightsize As solid growth to expenses. a Overall, G&A show result, this marketing we QX growth our for at gross XX% and revenue and and on to have year-over-year significant to continue year quarter-over-quarter. margin sales X% this We significant performance. we improvement

in consciously reinvested to technology a continue also our infrastructure accelerated foundation for growth. building have We

are We growth year slowed days million flat XXXX. still line, in This used of relatively top XXX,XXX with combined X surpass XX% constraints for the pace our tight year, days rental QX quarter-over-quarter growth financing were but our quarter X.X the a represents this quarter. of this believe that partner On on the from days million this rental up to market XXXX. from rental car full

at partnerships in grow further supply Cogent partnership the and HyreCar Uber will by delivery we demand drive on earnings have provide travel airport expanded help the in sectors for Uber week XX% and benefiting future. AmeriDrive increased platform. trends HyreCar recent and focus Bank only financial X as alone trips continuing the the with will months platform announced recently to last will and Our risen our car also Lyft rideshare with evidenced indicated Furthermore, the similar last continue calls. in expansion to

One, two, favorable to constraints. rental increased year and to $X.X our assessment due the trend pricing market While dynamic processes; year-on-year, a days revenue The $X.X quarter. XX% million net three, to grew last fees revenue rental stands supply our favorable growth risk strong. rental previous investment improved our XX% X% days in ratio from of from car in year-over-year and increased million engine;

experienced we with a as QX from billings XXXX ratio take $XX in an in are gross divided in which of QX continued XXXX, XX% QX. This actions daily in in historically impacting to our net $XX rental now days QX on increasing XX% in by October coincides XX% represent net QX $XX in in increase to increase trajectory XX% from rate. revenue in revenue QX taken of to QX QX Specifically, and also of net and favorably revenue accelerated and average in XXXX, QX. our an favorable

both part incorporate expand pricing our and as pricing investing of models in are new by optimize and from platform the to to driver sources external internal screening technology information continuing are our and and dynamic processes. looking We

in on Additionally, to owners. offerings also revenue insurance cost achieved we million patterns this QX to to based observed benefits and of million Flipping latest of we XXXX, decreased to the pricing have $X.X new risk expanded ancillary approached. in in owners We a by provided September reduction the side. from optimizing our our cost Cost quarter-over-quarter in four-pronged $X.X deductibles QX.

claims First, improve and we internal our processes policies.

their focus on with we to cost Second, claims HyreCar. new tailor partner our partnering processing process our control to external

reduce gains to effectively on out drivers customer process control risk risk develop more pricing, based insurance our QX continue Third, claim's risk their we on the and we focus maintained we balancing overall these after drivers. satisfaction to profitable costs. of prescreening rolling profiles. Meanwhile, And charging lastly, initiatives, in appropriate retention

we to XX.X% gross guidance, margin QX quarter, our increase expenses gross from in achieved delivering from This QX. one-off in QX XX% profit have an normalized margin

gross to gains combination margins were with in improve September. our in cost in were the achieved of the XX% margin and continue through August we July highlighted. initiatives and pricing While These passed line just the QX, still mark savings I gross

for QX incentives to actively a Looking to We'll margins, to margin a by about decrease profit latter reduced be individual the coverage and continue to in and a mid-XXs surpass forward QX to XX% and attributed are our or our a reduced allowed to gross by headcount We SG&A in with gross introducing XXXX focus non-growth awarded marketing medium-term our stock-based quarter-over-quarter, our refine product offset XX% half expenses however, deliver performance. offering beyond. and QX and trajectory pricing actions processes. $X.X claims Operating to on in our premium Compared And are managing track QX a we expenses for we operating about thanks goal QX SG&A to XX%. of and growth. technology of we optimizing in decrease in current new million believe we These we and developing compensation, of this more ascending automation effort expenses to $XXX,XXX infrastructure. QX. $X.X increase million us will Overall, with reduce drivers which during related by accelerated current cash can on partially low reinvestments are in totaled XXXX, platform an maintain year-over-year, while by for expenses, reduce XX% continuous renegotiate in our plans XXXX, preparing experience.

We reactivation foundation to refocused in at a seamlessly both savings inventory clear toward have technology debt to resources reduced XXXX. to customers, reinvested sufficient generating a marketing we and Additionally, existing cost. the the for build of leads technical some scale the in

and plan. benchmark Looking to of expect after this phase G&A beyond, accelerated further technology return gradual and at costs for transformation decreases QX a a we first in lower our platform

from QX Our represented decline million, loss million time, adjusted $X.X revenue, quarter of year. support improved loss specifically loss $X.X This $X million down quarter-over-quarter $X.X expenditure while but million the at management EBITDA sufficient and is infrastructure primarily for in from attributed a of to quarter. last up maintaining our insurance-related operating cash growth costs, cost same the of to at scale. last

to adjusted expect EBITDA QX in OpEx. margin and gross and We reduced increased positive trends continue beyond with

continues application the sufficient remain and to position with growth of healthy million pursue at cash ongoing $XX liquidity Our QX at end fund our opportunities. to

for capital scale expanded to continue leverage, and our HyreCar will of optimize cost opportunities through pursue We volume. to of fleet our financing accelerate create economies operators financial and

$X forgiving QX as million. financials. We the XX/XX/XXXX obtained for XXXX news final and also Joe will in loan PPP Plan to remarks. was Protection It of the HyreCare received that reflected Paycheck be good Back Program, for from fully

Joe Furnari

on you, the our uniquely Thank the EV partnerships time today. everyone, for of and past create is buzz weeks With taking positioned capitalize the come. thank sustainability mobility-as-a-service, the today you, to and call for should to Serge in to EVs, The and HyreCar momentum join we've fleets all XXXX. waves into announced and us couple

into on being delivery Additionally, finalized. new to some continue and cars update will allow exciting the us are beyond. ridesharing we partnerships These scale for soon to expect XXXX you partnerships and to markets that

cars the and to only ecosystem one ones in to are partners providing rideshare help left succeed. drivers of and and fleets in the market the of one investing We our reliable the few qualified players

are look shareholders that, the will update on Q&A. move our We progress us to let regularly to we making. With operator,

Operator

Argento [Operator Our from Instructions] Street. Mark first question Lake comes with

Mark Argento

a John, of Serge, couple quick just ones.

that off, on the to much there? directly the how pricing the think seeing do attributable dynamic expansion model, is you results First margin of gross you're

Serge De Bock

Mark. question, good very That's

I due as to about model. dynamic improvements this of The quarter improvement to is think actually we pricing the the process attribute well. can remainder half

we'll during the so place those full QX. of see impact those process QX, in of improvements Some took

Mark Argento

does -- how kind And do work insurance with in when dynamic pricing talk offerings, kind expanded with dovetail how of you about that Or you do other? each those concert the the of two model?

Serge De Bock

different and Absolutely. one just to The portion them provided provide the we coverage and experience. the appropriately each plan model driver that the At The reflect on priced them we dynamic claims risk And for trend pricing deductibles different rightsize and we still that kept high time, that we changes truly the a industry. underlying in to based in current customer is the but benefits. plans the deductibles just tailored protection have. profile plan just same was have also the

Mark Argento

take the of higher terms with of have dynamic the noticed a insurance or And more any material change in you kind on rates deductible side?

Serge De Bock

additional start the Yes, coming We seeing absolutely. through. changes

is XX%, XX% You've our seen at actually it in QX. number was at

that, take is increased And of QX. benefits to very in favorable. most the in see addition the adoption rate we we'll to out at so XX% QX, which there. of plan the seen deductible We've end roll So some has

the or plan either So deductible opting come higher which for into to higher reduced twofold cost. opting means protection for going are revenue with higher people benefits

Operator

comes Mike with Grondahl Our next from Securities. Northland question

Mike Grondahl

But in your partnership, the mentioned can could questions. two cars goal kind rate side what financing ask include you you number us of you does AmeriDrive? And then the the in of other sort the year cars? you talk at know of had secondly, bank. secondly, that And were terms and for end on prepared some $XX many little referring a managers very is that cars September Could partnerships of investment an like One, fleet I'll large your you And remarks. take mentioned also the drive the was end at robust. of rented Joe, You of how let under to? the a then partnerships some of about umbrella bit

Joe Furnari

from good Mike, hear Yes. you. to

me the the get of that car to partners on partnerships, of from finance, I the in financing. and Let used back maybe owner -- But think these these some really first the of in question take we've really kind the ADRs. on lenders our with and excited. then peel on we've expertise is I'll markets our second way side worked our partners help perspective, type mean we're to the public side our I our influence with this expertise the

And warehousing so are in I mentioned New one with investment banks Those the line. York. big

We also good warehousing some the conversations guys the term working sheets this received is for and the using as that them traditional kind in primary with conversations the went really we've to Vegas realm bank. and auto had -- that financing we're were that of -- backup with line from investment those with, those there we're

processing whole we running for lot dual decision, when need So and we have thing of to point down partners. this it, get our to a we're finalize parallel a make of kind lines options that a so we it where

we And note those have us to XX add looking so of our they add told cars in Hyre to owners chunk financing and that are have a to vehicle individuals important it's those good on Business for are platforms.

liking the liking the out that they're the like products in they're them. for technology, rolling ecosystem, we're they're So

And working -- down that it's path. so kind that's all of

So there. I'm excited

verified added going about X,XXX the cars tremendous where of amount I end to marketplace to in the mean, think the of cars That's we cars. kind are growth at and ADRs of terms In QX. be we of a year.

a been We're cars continue into think strong going that historically and us. to very to into have we're QX. add very, QX I going QX going for

in the that that catalyst we grow. to our is those put partners expectation the and be for purchase continue grow so to place And we through to becomes able financing And quarters.

that's about So thinking of kind it we're now. right how

Mike Grondahl

about you it. help Got think Uber? you with that And your something think cars? drive is Uber can should How announcement we

Joe Furnari

we to so following the is years excited started back conversation The off is been since in that XXXX. making. that with them. announcement yes, to the you've a we And XXXX in sign story, got with I'm announce Uber because that Mike, X this

excited. really we're So

initiatives to signed very Uber's electric on and the there. by of with end XXXX that is think them whole go fleet I where we've aggressive to their help

it the Initially, approach. EV so kind way a and two-pronged cars. is deal of I about And with is hybrid think this

amount that said and they to tremendous have of EV have the us want to owners and/or platform that individual put hybrid. We a they that come have are on cars

And so really there. excited

we can out help them and of angle. I types grow think think Uber get partnership. into more we more this And expands -- and then the this with all integrated I vehicles with as that really really on partnership

excited really there. So

Mike Grondahl

Congrats there. on getting

Operator

Tom Our next with Davidson. D.A. question White comes from

Tom White

Great. just Maybe Maybe two, Uber if the on I deal. follow-up can. a

like site. you kind guys stuff you like So you and quantify Driver trying integrating that Can I understand might kind of benefits And you Just with think part on like marketing, of roughly more the like be. about, over how help are of kind live reduced business of in deeply just that like visible sign-on or single of I onboarding maybe your that. deeper of time, to think like the mentioned important areas talked the the to and section integration Uber's retention?

Joe Furnari

typically I Serge details Yes, can my on it the I'll Yes. Thanks, -- maybe the then try give But talk benefits renting about that perspective, through, from download to cars I level some and were specific at is what typically, through a partners. high maybe expect in Tom. and I could and those they platform. numbers. think vehicle leads that vehicle go then their seen And past through app they come we've leads solutions their Uber the solutions

going we're be on for in We're those the be through to HyreCar. rent come -- Now to enabled going to and drivers to app. live

do can drivers Uber rent application the the in and cars is sign-on a think they actually state can those their I in actually single future that app.

cars see in there. able be to to going You're HyreCar

EV start then in those is I have that's and renting first shot does think drivers think for options cars, number go of number the going a when they're because to hybrid. one; EV piece us and those and at what we're lot two, to it those So exciting gives drivers shopping, I

how with platform. maybe give thinking does really a kind it think conversion COGS and what a of then rates of that I could us. for you through customer So helps and and we're LTV on color kind Serge And about the OpEx little

Serge De Bock

Yes, absolutely.

what too say learning here, us is as be this numbers But may stay think, to which access obviously, want lot a on which data. platform. to for so don't the benefit acquire to in a of quality long-term I think learn. longer phase mentioned, your drivers good for source want many Joe that's us say right And costs, now. marketing I to low piloting another I drivers We're I cost. the at we to higher, customers still would what I in of allows gathering think a channel Also the of may intent comment is something that and the

marketing to different cost COGS through We're So side. still we decrease. expect the working components the on

for in So be constant to and we drivers provide to as also tailor partnership. that. ourselves refining to through best Uber learn, And and program with we're this we'll discussion we and able able be the the work for

see quality we just the claims, costs. And and provide reduce that. can then experience COGS we So assume but starting to before drivers that looks more think want more like in marketing to a as have have some I better definitive where we'll answer that the able be we and cases, live, side estimates to accurate on we to we'll are we're make platform as we data get what on

Tom White

were think one Okay. flat quarter-over-quarter. -- so follow-up days I rental just on And then

you'll million think Serge, can first -- which up. I think we deal Cogent of rental presume a helping you to excess a the levels up bit quarter the of we maybe able bump X.X like said, in would you for the on sequentially the I imply should think tick How in that's sequential fourth you. kind about quarter, year do of -- from days? be

Serge De Bock

yes. Yes,

the at line good think The is bridge the that Cogent back hit be Joe -- warehousing the to will what to current investment the a spot. I definitely you Cogent is line lowest described. line that

So make move we to forward. want sure we

to meeting cars also the We make want more we'll -- car Cogent also that be sensible in very we QX that to add and we're those selective but sufficient to and sure about and then of substantially. about will the accelerate expect QX to QX able trade-offs continue line in platform quality year next be

the We portion, the So we'll and past faster. get as Joe want we alluded us. benefits in through sure profitable to anomalies to be right to bring deliver scale the that make to that market his cars appropriate we're able we getting to platform

So we feel in go that a during moving as regard, as profitably. very very but just as we'll accelerate XXXX. spot even selectively, not to quickly And fast we're soon we're good in going going go to with forward faster, are

Operator

Jon Ladenburg. Our next Hickman question comes from with

Jon Hickman

that? to rental explain X,XXX you just in quarter about Can added X,XXX go the you cars -- talk but days didn't up. you Can

Joe Furnari

environment there's to for in mean there's of market. sell really been where in the I a a competitive -- cars, dealerships it's market Yes. churn lot this

we're cars, churning when also heightened a so sale you're adding And through process. off cars

some vehicles financing for to of fleets And the attaining means and so key add our us, so and -- to because our for important bought I think tape AmeriDrive with I to that's platform. them commercial is And think are our why having larger platform. partnership purpose that them the buy a it's helping stickier

what that's so happened QX. And in

little Our high that market is, abate a in bit. we're starts level, a at to this expectation

of we or think increase kind through been it abates X and of down QX next -- QX in recently of points -- to It next XX% at -- the year, MMR kind through used in on single at above I digits drop of we've come cars. the on auctions expect X a of XX% end year.

going the market to of good which real at and easing start the they supply partners enables are tailwinds adding start are that and up a then sticky. out there's and kind to so on And cars go some pushing purchase and to start those our cars then price us

So that's kind the market. of what's happening now in

Operator

Our next with Maxim question comes from Group. Jack Vander Aarde

Jack Aarde

Great. official news. partnership. Uber Appreciate It's on Congrats big update, gentlemen. the the

this AmeriDrive the connected Maybe strategic some separate is to initiatives? so provide announcement? understand, partnership Are supply? to Uber overlap. some just related boost Is So or any you But Cogent there I in there? with just way two these distinct the and color can car is

Joe Furnari

distinct Yes. last was looking we Cogent that about call, to one three talked the of In for. deal. kind this initiatives. we're be Two four going Number or catalysts

And It's get really that so to were able done. we exciting.

the that of Uber TNC to are sign sight us deal. to the got were And can of is think our and through cars the car line about Uber deal. previously live on as -- cars talk on describing sites. Two numbers off I the that gives live but those real we We a partnership HyreCar's the end to those see site you actually year.

So are through a leads we're in of it's going line/securitization U.S. flowing that the working partners industry $X.X there. super have on the be autos warehousing a platform. that That's financed some historically And financing exciting. that's to I trillion that then our with to mean

And so new for are players lot that them, players. this there a helping world is the a this we established are teach -- are of well-established to business because right,

this risk with underwriting to we're how these evangelizing and help, in really conferences they market with and our can so going And participate our our technology. with

steer have clarity we and the the three on working them third. in now those public things, on two So of

Jack Aarde

then reported of to strategically your with be well. the the of announcement, and Can as they the also with recently just bankruptcy helpful. buzz That's on but Hertz, then is Uber. perspective lot you as and Hertz Uber Avis where or seem HyreCar them? well market as the out then to all relates Tesla maybe and in lately share on to already fits competitively relates Great. all also kind it a connects in news it they given of just touched this as with And Avis, as lately And in coming

Joe Furnari

to companies this are EV where the mean, going I now you at of charging infrastructure absolutely. them Yes, is fleet from adding very, kind at infrastructure the now EV -- be of to moving infrastructure exciting rental got electric. have is scale Everybody scale. very passed, in of really an combined budgets do that we Everybody times, states the you but -- -- have that fleet partnerships car that largest been the in hasn't right? building able are and historically, enable tailwinds towards one place passing be to running fleets manage electric to to these a validation you is towards moving

in trailblazer, let then can them in them infrastructure we the that cars So behind and place put we'll come add and be at scale.

in start really a now, be in exciting. we're of It's with of as and moving and time Uber. an that prices we're start specifically come it's start back to going car exciting I forward, back that the cars are were well. to do to So strategies Uber used of come to what new doing And to flow to kind validation what technology going to start in as with start we kind dealers right think to start come is strategy the up pick to and cars it's mobility to space going really dealership because as -- down, as

think, into I fleets, it of an having money fleets, well to and us, make -- And run run narrative ICE having this them everybody for business. so in dealerships ecosystem an to creating is ecosystem be going our really fits for EV

Jack Aarde

Great. And think got you million me non-cash given of Serge. OpEx? marketing an it's $X updated this you've target normalized last your quarter a you past just provide time that. expect and But announcement then was the for non-cash you million But what investment, had and to over said. to update updates targets maybe provide that R&D, the on I Uber efficiencies -- you one to Did sales the then so after get metrics get for range quick to just initial can kind on of kind last OpEx you it question be? financial of $X.X maybe

Serge De Bock

OpEx, right? you mean, Cash Absolutely.

Jack Aarde

Yes, correct.

Sorry.

Serge De Bock

problem. no Yes,

profitability. as On our OpEx, we growth is still in to think sensible from we through, so we the infrastructure this and get cash seen a I quarter lot the and technology we long-term want comfortable Uber deal reinvested what then short-term we've but feel between making trade-offs in learn

expect is we've on side we those but normalize down what QX because cash significantly haven't further. reinvestments in think that OpEx dropped I seen we to the of

around to we from will still down sure before us So horses the want a the bring but want we what $X further so to make we'll that target And new stands. benefits. sales able carriage those before Uber carriage channels. bring better marketing cash before the -- we the guidance to horses put or as the to the for be don't million efficiencies these that deal quantifying understand hopefully, from But OpEx

Jack Aarde

Great.

Okay.

that of this million $X then? OpEx So near-term fourth now this applies to quarter, fourth quarter

Serge De Bock

quarter. this goal. to fourth applies medium-term closer We'll a It that get to in more

Operator

the conference for This closing remarks. like session. to would over Joe our I back Furnari question-and-answer turn any to concludes

Joe Furnari

for coming purchase we behind We're to to for rent for be Great. call. new future the cars partners that to partners joining financing drivers. everybody, and holds. our be -- can them to for excited Thanks, we cars to can what COVID excited the us, can so rent -- Excited really online

So good there's things really of lot right happening now. a

and by in to stand look future. So the update everybody

thank you. So

Operator

has for presentation. now you conference Thank The today's attending concluded.

You may now disconnect.

HC Liquidating (HYREQ) 10 Nov 212021 Q3 Earnings call transcript