LYFT - Earnings call transcript Q3 2024

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Operator

Good afternoon, and welcome to the Lyft Third Quarter 2024 Earnings Call. [Operator Instructions]. And as a reminder, this conference call is being recorded.

I would now like to turn the conference over to Aurelien Nolf, Vice President, FP&A and Investor Relations.

You may begin.

Aurelien Nolf

you. Thank Lyft the the XXXX. Quarter Call Earnings to Third for of Welcome

on to the our partnerships are Brewer. CFO, statements have today, future We'll call David forward-looking On guidance. we our financial CEO, results call These and business our strategy Risher, and and make earnings today's performance, relating call. differ those statements projected our or to uncertainties could and that described from subject materials and cause our are during SEC materially this These recent risks and actual factors risks results filings. to our implied in Erin

make All beliefs of the on we update forward-looking today's today as of statements, are statements disclaim our that required on forward-looking obligation law. to we any based and any call as except by

are there to right the car. going in every rider our customers, We are both. customer. driver driver's customers care we is customer share The discuss about is Additionally, the and X today, the

also substitute are can which in will our non-GAAP measures results earnings include be financial results. today website. IR historical on to our which materials, GAAP discussion of our for Our GAAP non-GAAP a available found not are Reconciliations

call with I'll And that, David. to the pass

John Risher

more overall performance well the better a all and plan, X this Once quarter Aurelia. times thanks of you, a and when but our to of Lyft executed than day. on what put for parts progress Erin called superior because ride. other resulting riders better with quarter about into will strategic from on details they North get drivers paper joining million our driver guys the to transparency Carolina Thank it our in and afternoon, a team third us. Good again, spectacular most matters

big several engine our announcements. at our partnership medium product some outlined and fueled by we Day, customer progress with Lyft innovations, As obsession Investor was

we product we First, would innovation. differentiate with said

take of Rides enhance over they make already Our XXX,XXX did and rides how users the expectations. introduced Monday Price By we is September, wonder X the before to our we We Not half That's it's active end to so see more on purchasing commute up Price for past. rides on Lock, the had previously we're strategy product. Friday. computers number and drivers more keeps effective Lock simple what average a Price only of customers. pleased Lock month no when taking but than passes, commuters with nearly is this than by where Lock riders our early beyond more predictability obsess the did when per performing to growing. We're win-win. is Lock and Price but also further from performing, drive. It's creating helping Price feedback is we

thinking we're about Related always value our and to riders. providing to this, more

fast, mentioned choose before it the is Chicago that, our most seeing basis. that share strategy. saw shares to hated conversion declines very and of pricing. into we ride Time in on which Prime to drive that's quarter-on-quarter last growth time, a is I improvements, goes here's resulting prime our take XX% continues -- great -- an what and on along a where Time and quarter, share. team In right decrease market update this with And we're reason So than XX% and rides regions I've Lyft. in acceleration fast example Prime QX, the now Time again, gains. on year-over-year down for decline surge conversion said feature proof was our turn up, where Prime and strategy that is the to more is which a per-ride can time term

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it. So addressed we

takes earnings Now their drivers estimated. being can increased on anytime count longer a minutes X ride than

battery Drivers now estimated time. drive worth for per range change the dollar anxiety. hour really the that only with on choose also rate of an range. see match if accept to if ride can help them important is within you you every screen to ride EV, care the takes their ride decide your a And

team riders All our want. a true this XX delivering features, and listening told, the just year, we've drivers on they new and products testament and to to launched innovation

a growth we're Lyft with preference Drivers yet now, all-time right both in main in growth. highs higher as have time are spending for business According expect all-time QX and seeing line our with across than we to more target. now reached back metrics. than Lyft another June, And driver is At of we're that driver hours As percentage result, competitor. ever said we XX high. points driver interviews, Investor hour in they driver ahead rider Day

ride again side, highs see at long-term the quarter also Investor taken in ahead is increased consecutive a We all-time the at rides Active the pace shared rider by in number this same. with we all-time growing of commute the seventh rides Day. the long-term target. for target our high, On an frequency, Riders and record had average quarter we with hit rider each surpassing rides line active their of XXXX. our

and bike more rides taking too. is Riders scooter

is in Winnipeg. growing. taken a Lyft scooters soon. now, performance strong Up is bikes XX% all of in we're Bottom have At Lyft, Canadians this forward to with we in us onboarding next Our mode Winnipeg and But QX, and breaking record in in drivers right another roughly had point, Canada. riders joining ride quarterly look more expansion still rise. line,

Foursquare brick-and-mortar Last now helping month, how us into partners. traffic a We've campaign like ad we continue Media we like building purchases. outcomes nearly continues to Xx app is are and it or traction highly culture So consumer to Lyft great provides now and for and been performing Media on QX. foot insights we Lyft measure [ expanded companies measure Media. our brand on in-app in Lyft performance. Brands year-over-year growing improve NC to platform, measuring to with packaged ads installs stores. digital solutions loyalty ] gain goods Overall,

I going Now that strengthen X a position initiatives want to look partnership at is focused take will help forward.

in are We we of to Rideshare. the very proud what best do

to play pure riders be that mobility. the every allows it focused time. are We for XXX% drivers us right on-demand getting on in And and

do. other deeply As we said includes approach companies are of the that Investor with at best partnering who what Day, they

millions subscribers and DoorDash week's last has them prefer food one with a of we're to giving partnership announcement, DoorDash. For of Lyft. delivery, every that's reason

so each So out snack when you get you to save and time of you your go accounts can link you I friends encourage immediately, the late with home. and then next every on night one that

helping Mobility. Second, step Nexar in autonomous millions people. we next announced to our beginning today of with we're and in again, Mobileye, bring And vehicles May that partnership, doing

about platform These fleet giving with me partnership operators our our available talk seamless to each technology. Lyft's Mobileye and to be small all Mobileye, will X briefly. of With self-driving Lyft-ready and vehicles Level these vehicles large Let of makes drive riders. access network platform Rideshare

Mobility the we're very to intelligent with with Lyft's in to fast And accelerating partnership to network available with year. With Atlanta Nexar, excited Lyft partner autonomous combines telematics video make May finally, vehicles Nexar's next of goal how our their riders learn. AVs

we this become these a market. to holders human of robust to a Each role. for Lyft go But plays envision they collectively, partnerships stakeholders Stay Lyft, At option network. is transportation opportunity, different Adding the AV help the that huge autonomous shape best just because the and together future this to an brings and even asset drivers partnering AVs to and beginning. leaders in in with is look always-on tuned forward we vehicles a more industry feature.

came the Before It's is reason I a with team want returned and and outperformed impact. purpose always to choose it's say an good that's we again new. about S&P our often why too, been people I people that that Lyft brand and And The because love here, up, cited reasons brand company, organizations shows of to for serve our significantly Research XXX. it's business Lyft's we this. one something love. is the that share purpose-driven passionate purpose. ways way connect. lead in you as and have at having our has It's to I finish beyond the foundational the

Our purpose and to connect. serve is

with On We're hard going riders service, is physically we we in increasingly our want than in we're Lyft riders ever bringing to people to quarter, after on reset virtual world. an connection, together the bar. fight And riders and ahead. better Drivers over and moving Quarter winning disconnected to service. drivers before. person. experienced over keep in have

competing Over holding with hope they're playing over with you, that different Rideshare, other are serve increasingly And against Lyft. Sure, people our increasingly, early guy. and just Rideshare journey your million choosing more And find result, are your see a you'll car, couch. Every We're important are when a And to I how purpose even times, you own. we we're we're X in arm. connect. and that we how choose that day, they than is. Erin. But competing the choosing game. As

Erin Brewer

for allocation and the next the our recent full year the update an renewals, our afternoon, our the XXXX. excited outcome thanks quarter as increased on our for today. Good and as of plans David. regarding for outlook us share well to joining Thanks, capital results third insurance I'm steps

Now our and measures detailed of items quarter. in that are the all let's otherwise get that income the reminder unless indicated, I'll start excludes select statement usual my into details materials. with earnings are non-GAAP

XX% and growth by growth and all strong and both on active by exceeded in with $X.X growth operational Canada, the mode. well bookings up our demand QX activations saw billion, back-to-school Rideshare as year-over-year, third products, the of up underpinned new bikes rise a excellence. as gross X% success For of with frequency quarter, focus our riders double-digit driven scooters X%, in

the in our and exceeded with bookings pride our in While reduction Prime quarter, continued gross were demand Time line expectations. in the expectations

from Lyft quarter, drives concern As our riders, healthier. Prime for reducing and our for makes ultimately a variability discussed last we platform addresses significant Time the preference

billion, up $X.X exceeded XX% Revenue year-over-year.

Investor ride total quarter, expansion efficiencies focus both deployment delivered we is in sequentially at on our per the efficiency June, Consistent generating our spend. the incentives. year-over-year and of incentive margin in Day a and the revenue across we basis During on with outlined framework reflecting

declined of expenses basis incentive Investor combined, at into we balance and XX% of the our marketplace. ride a sales continue annual multiyear marketing we year-over-year, the quarter, well and revenue ahead on Day the as improve XX% During per to outlined of target

bookings gross expenses In which was third the X.X%. Operating including quarter, are million, investment gross legal or rider engagement accrued million, $XXX of XX.X% and per-ride EBITDA some and adjusted insurance planned $XXX basis. a higher which bookings, expenses, of a were in percentage on as of was

benefit release. Third quarter known the GAAP million loss of $XX $XX.X $XX million, in net includes charges related in bikes division, the restructuring adjusted included the tax EBITDA scooters was accrual Urban a of to million previously plans now restructuring announced which Lyft Solutions. quarter onetime as our and third

unrestricted third with investments and flow. and $XXX approximately We position a with free generated of cash, cash quarter cash we ended cash equivalents billion the strong $X.X short-term million of

our timing reminder, the to trends cash a free As flow will payments. of due quarterly insurance vary

encourage you view. I'd to a So on focus XX-month

legacy $XXX insurance quarter our the cash coupled higher to cash by we've delivered than with previous higher lower XX payments primarily related flow. end, target million volume, our driven directly This book. At outpaced months, in for ride free related trailing to reserves more

reiterate our to scaled our Moving crucial comply maintain focuses current covenants. want to operations liquidity capital ample X allocation. on for to with existing First, strategy, to I marketplace for it's areas: our main and which

in investing profitable prioritizing growth. we're Next,

platform, focused have tech we've and XXXX commitment improvements important and in management. After to enhancing We long-term stock-based dilution like for million. our strategy. compensation invest on last ad shareholder starting partnerships to compensation building with year, which track $XXX third, restructuring plans we're stock-based remain growth on returns, our in of our And initiatives to dilution seen are approximately

obligation withholding restricted improving of month, to cash starting our into that reduce to number transition all the stock would to the settlement later this position net Building on will issued the we leverage for that address will share units. otherwise market upon This be shares employee tax progress, vesting.

cash approximately of tax our compared flows $XXX cash method. cash be use will we will the which XXXX, of prior financing reflected of points dilution to expect in of quarter by our approximately percentage section the our balance, reduce of withholding in The to X XXXX. million use In beginning statement fourth

guidance. on Now to

Our partnership QX outlook our the the includes the both agreements. renewal as as of third-party insurance DoorDash impact of well

growth profitable we're bringing Day, and Lyft partnerships at we we're and launch, riders of and about strategy the the with component As of quarter, another key leader. excited throughout to our members the Dash are category fourth Investor to investing and in out a In opportunity we're laid our the benefits the excited DoorDash U.S. very partner about Pass

large-scale more updates happens Our achieving with broad and in sharing forward consumer with time, to listed coming we experience partnerships months. adoption look the

our and of insurance renewal safety our agreements to in product bend the third-party Next, continuing reflects the through cost curve success initiatives. insurance

of approximately last by We million expect increase progress cost our the we Investor by outlined reflecting [ driven quarter renewals. increase, year's the will strategy revenue XXX multiyear significant third-party Day. ] fourth our at quarter-over-quarter, That's impact $XX versus of

throughout a year. cycle, some year, moved Additionally, I'll the less by last agreements remind to you disruptive we annual impacts creating

operating and plans. we're comfortable can such, that cost manage our As the within financial insurance increase we

growth XX% billion. year-over-year gross quarter For the billion expect approximately bookings or we to $X.XX approximately of $X.XX XX% of fourth to XXXX,

million We EBITDA X.X%. and approximately as of of million margin approximately adjusted $XXX an expect a adjusted gross EBITDA X.X% $XXX percentage to bookings of to

margin year up a from the outlook bookings our be grow Adjusted full XX% the we in growth year-over-year. are X.X%, EBITDA percentage free year-over-year. and as approximately For million. exceed and flow of XXXX, gross bookings prior of cash expect to outlook $XXX to raising approximately Gross the to X.X% mid-teens now rides

out long-term operational the and give June. plan excellence, obsession at all commitments multiyear first laid on of on our are and delivering Investor in are our is Day we Through our XXXX pace targets. year our customer

ready questions. take we're remarks to close. With Operator, that, a prepared to our bring I'll

Operator

Instructions]. [Operator

comes first Anmuth JPMorgan. Your of Doug from the with question line

Douglas Anmuth

you platform David, I Erin. retention. conversion. have that something just how that's benefits you volume the just one higher and and less about the seeing of up David, one could Time Prime know for for surge via terms frequency talk showing of you're I and in ride mentioned on

'XX? any understand all benefits to and of there's to way shift want then, 'XX we flow how we you free of And outlook that captive? sure make if think drivers the you that trend more that sustainability? can significantly about there. I the in in talk the cash quantify the wondering in million Just is about higher function a And then do can Erin, $XXX XP just

John Risher

Doug, then start and pass Erin. Sure. I'll to over I'll it

first, So got Time, Time Prime Prime stocks. so I

we're it down year-on-year, down. so And on you And awesome. focus we're which really as trying is to bringing XX% heard,

we where is inversion the find areas nicely. down we fastest incursion And look get when so we market is what see it growth we market increased where by the ride -- ride growth

is we So Boston we're I mentioned where actually city seeing think out prepared Chicago work another the that well. in remarks, super

that expect. surcharge Maybe and a like the when to and week for variability, bit of you didn't just of little ] nobody and it's that stuff. rid it's So Like great. move charged Starbucks getting it like being stupid of [ I likes kind last you're oil something particularly

and can and increase, which there that, the Price look And then things like To likely is providing service, more than And have, I the technological. in put will falls by increase in also consistency. are the more right? to other continues do take you The say, frequency to But Prime certain frequency frequency, some just, That's it providing of service too, Time we broader slightly we middle actually ride. right as primarily to things it great that. right? that Lock service great even mean, another better a hard frame that's at driven

all we So sort see. of really liking put it together, what

point. about our think better X by increased, others actually I gotten conversions percentage

different course, good all of seeing things. averages we're increase of there. that So But kinds

And picture of then, on So that's sort big Erin? that. the

Erin Brewer

little on bit Yes. here. flow. start hovering cash kind of up Sure, a I'll Doug,

CapEx of we're And low our that to been of to business, And all, significant team of modeling cash. of assume kind the converts business, obviously, then relatively that is, considering able across profile impacts from insurance. margins. you has a can we're that our of efficiency that the EBITDA incredibly performance this perspective, drive before of First the a adjusted improving that proud portion strengthening course, operating a and given

the kind here seeing year third dynamics So of dynamics I the some that and of we're quarter. this the mentioned let in about that talk me

our are a higher the growth of is because first our insurance higher than expectations. is So function bit and bit those a accruals

part. one that's So

The lower second is part cash payout.

accrue that. a spend me let these resolve. expect from we expenses we any here years just X So second chatting for to When approximately particular to in through cohort period, total payout the take

those horizon. overall and majority that of out of think X With year sort of that about happening paying usually year if the through the peak X X, claims you in

we're the majority therefore, So claims period paying cash the today, fewer from out therefore, XXXX of that in course, example, reduction were that where, our time to fair volume those outflows. claims of rides assume for to lower, it's XXXX a are

about a You what term. does bit longer little that asked mean

looking than balanced. we're as little LRP, we So years think I assume would move high of XXXX it's expect we ahead, likely think phase would that in conversion cash into you a XX%, be then but be term, higher bit And say, near-term if payments. outer would here part LRP, accruals a that further fair normalize insurance-related and the not the as near more that, seeing as in about that to bit that dynamic of our as XXXX. to

adjusted So EBITDA longer conversion term, we that believe appropriate. target plus XX% is

Operator

Your with next Sheridan Goldman comes the question Eric Sachs. from line of

Eric Sheridan

vehicle you new on the some autonomous announcing Just companies. think you're partnerships these and DoorDash a of side supply When X-parter. with about with

across of terms think of in DoorDash, And industry landscape of ride the might side might prospects about growth. assumption alter of autonomous, forward? how maybe that contribute terms the the in and to supply for just your on and that view margin refresh what an how some rider growth what you underlying we think incremental in and should I about demand the us terms vehicle prospects of see partnering autonomous autonomous adding going on driving

John Risher

Sure.

chunky those take Let me are ones. X

partnerships, and bit little what cover. will to of a then bit about AVs I as Maybe talk talk team maybe We'll tag so AV, well. I'll kind we on And a little can of We the not. see unit Erin can economics this.

So partnerships. on

they've pass interesting, or million million about holders worldwide. XX So worldwide super customers dash right? DoorDash, So XX got

right? number. think I big is that's [indiscernible] a Anyway, that

And some smaller maybe a of than obviously users, Lyft you might but them expect. are number

on can of delivered. line because a target Eric, they home, right? I think super like know something sort out in and lighter acquire riders we this. take go you're How way to so that's when And acquisition, top rides effectively about absolutely This people the is that they they'll we right, come when get customer-friendly then to

off start. these time give to details. of partnerships build. say they a it's I -- all that will So take to too won't I sort many to great you And tend

So riders signing get see let's ourselves. what ahead their and responding we taken we have they to that accounts then and or can are not certainly of wouldn't maybe that otherwise. link ride But to a ordering maybe taking see we like it, up something

about kind of to for some So yes, of unfold it's driver what so far like we the sure. going think but line as and see right to it top over we time,

asked that so about you too this mind, context because second. something additional to we've isn't for talked out AVs, sort going bit zoom of a actually, mean, supply, On to I want but far. give you don't I'm of one, if about a little campus much specifically I

The these So should great, right? a good great. It's are say the AVs experience. is first about thing I

can scenes the San things on quite scale expensive very is works great All Francisco. on it the make a right now. in of mean streets the really I It's of that are And car. be sure kinds small to a interesting super But experience well. the it's a bespoke You very it's kind, to things. behind scheme see going of them experience.

some for it bring like, it much. absolutely on a and so a TAM And that riders so us, see as we will new choose expander riders supply Because others maybe don't it will will for being experience bring right? additional

super so And and robot-driven to X them us. hybrid idea exciting of cars the of cars between having is human-driven a between

to any number AV your They're to OEM, that's And equipment an Like the and, strategy time. become one for the best making and a things. assets. might these reason, expensive That to money. expensive AV-utilized Our of going to therefore, of for want stakeholder. way keep be is thing. the And partner be are a we a to be sort of manufacturer choice long basic

people in to around, got And or has be moving got sky in a be have or airplane so like right? an seats they like these utilized. restaurant Just to got have things the the to airplanes

so the long a break bit. down. area. of again, chunky going but little to And I'm answer, And sorry it's that kind for a

the first is So generation. demand

everyone someone pillars think to big about. X So

know X North is the million X gen, America, So right? you XX scale one a mean demand First this. million we're platforms active rides I big of day. riders,

that, I to think, reason. stands sort of So

The marketplace second is management. place

and right, have have week. you will got it's manage do to you of that things off such Fifth that which estimate got pickup this as easy, and think platform on customer a secretly today matched That's sounds whether to hours they sorts So what of to the price marketplace, you all a They you means to these got onboarded. of but insured. What left us is got to pickup lot corner, a because can they They've your match be AV to time, forward rely Cars They for. in days on and to us Avenue it X.X our is to do get things. day, are they drop get ETA. addressing care not riders, do? paid, get going all tomorrow XX X right, drivers got rely fast And year. million today are every on for? do And when That's the around of individuals. to sort you car, then be but

big going is going to pillar any at into. asset plug And scale is marketplace do to day. something and is want every the second that management to this single enter it's we to quite that So complicated, the AV second want massive -- piece

a it okay? of like straightforward, third is is Again, complex. actually it's subtle. course, a So sounds things it's quite right? actually expensive car not of it's this -- sure make utilization, to And assets you forth. easy think then It's bit some I that Again, asset, then flying again, reason, but are in least but And maintenance, find think just and sitting little agents it's right, airplanes. stocks to of around fleet it the and for an at actually very have onboarding, so

so you paid to what a issues stock. needs all all right, airline their need recharged. an charities, there's for maintenance, be if the car they policy And think time, about insured They get these need to be sort customer may

this. we've it So acquires, resells, this, X about what ton does it. leases, been just it Flexdrive the doing a our of with it maintains, for it it manages, subsidiary, it repairs, a past ton of years Flexdrive,

So this And it, rider the capability, that we of to the and and just or the again, Flexdrive which this will over a And for year. we're the thousands we about utilization capability by going single folks achieved only I'm industry-leading. only has. of we're are company brag it year, the at company is XX% course that of the tens way, ride has every good cars of say behalf on I in-house. has that

Okay.

nicely we are to do new choose have And And money, the driver with it's right? capabilities for you and going so they're or to I can to putting to great, So again you use. of stakeholders put don't and There blend and sort is all makes you very have think to of say can are choose other, us. one why why the you which that's driven and again. again together, that use, more tactical put You supply, like that. cars, this both. exciting see all that the form them They can by between AVs

So more those of any than sort I just of one think it's pieces.

enough grading of to... Erin, the you probably anything right than is of AVs want add the And now. parts, that and sort for did whole think I is to more some

Erin Brewer

time of you environment, a of and -- about as it for incredibly utilization line, going regulatory But I period just terms et of asset, to cetera. there bottom nailed said, how over will be the you've lot done asset economics. fold in cost important great there's is insurance unit the of think just being work No, this some is the out the

Operator

next question with Morgan the from Your comes of Stanley. line Nowak Brian

Brian Nowak

have X. I

just can the first Price early one you way? -- Just markets? we targeting market? of across of The adoption Are strategic of to you on rolling ask the across I frequency signal through sort of one. available a wanted go-to-market good walk of Is using this? us it about you're all on bump. strategy it you and sort Lock. It's on is users that how about the it market first Are you corpus of sort of that types business think and rolling do certain kind by the rollout users

of cetera. autonomous. San on then amount of et Waymo, Francisco There's sort about and second just discussion decent one, the And a

San sort can about it, months. Francisco seen you've X and volumes anything San what So over sort Francisco X, you the last, tell us of call of trends on

John Risher

Sure.

in them order. take me Let

access It's I person to So really far a at Lock. in on targeted price actually lock, it's rolled commuters. It's nationally. has know, the as country as Price every out single

do And our when internal we targeting. so

Lyft actually will still she's a it was she'll ago, what? about then Lyft wake $XX when of it commute had our of to cupcakes again, which they're people So birthday, daily was about to it, half we is cost sort think huge imagine it's on guys Friday car up for And huge, if I but at And which volume, $XX, how Literally you morning. basically, herself, for can it wakes from the and Friday months the guess my in up, Lyft sort very who of people wall. couple hates. she take every San -- talk of driver, if to happen because And people as and mean the you her morning take Anyway. literally, in Francisco. the look said got doesn't it Monday or that you a And morning, is folks, deal. if if fact, other -- price in someone which cheaper, probably a a of do volumes, is frustrating a drive she kind happy this.

all before Lock out. came Price is this So

so which in good a really again, get at to the product it need because product like to So work. anyway, variability. the not the morning when is -- has you particularly And people market time, fit comes particularly don't

we And certain on that because certainty that gives the things is as that people like tend in use some we've And is Lock of things can this we on because know to as it rides do as up One see a the management it good talked good aside it's the kind sign who can also X result, from about well. marketplace about, input Price we incremental renew. of we for background. there's we drivers

a it's churn. So low

they up, tend take continue people more more and to Now a just of the still us rights, don't will like we great to in. is and back it's to right? to guide months market, we're new, couple But more promote of economic obviously you leave because tend dynamics We're once sign and can more seeing, sort to brings expect it that which time. go again, we they within which rails

scale, always early features see, significant definitely and take be These to like nationwide stay any a will So for time more, days certainly of tuned we we to kind get that. it product. a in but what

looking closely. Francisco, San obviously quite it at On AVs we're in

San road [ of lot as well. you physics they'll in to just ] see around been the a week. on Zix bit Waymo's you've last announced a be just They around Francisco, of soon CTO Jesse [ note Francisco. ] in little that If the certainly San

at competitors. So we they're the these working that, pretty they're from than really density like But when a companies we look perspective, hard. see Morris sort partners of obviously

R&D. Of some do going course, they're to

last I'll which you're really one understand a interesting, going course, in It's having obviously, little Of can to directly. makes have expect but we a play around in interesting But complex, to also sense little of out. It just when side. the road, lot. repair not San point charging there? See all partners these is to see, is that's with and want see that more How customers bit which them on this the all world. with put thing, to right, keep build can maintain it's partner keep to all we just quite we you how a would these. assets are a What's the role discussions Francisco complicated you we're the

You [ them, hard hail also hail also stay lots to I was all And it's ], repairs expensive these of sorts this about and big well. cars just how super pretty is This cause with this but see just thing ran and is reading have thing an hits quite parking right? interesting things. as They and somewhere.

good my also -- super a job and stuff only really it's there thousands, good at that they're you're it's point scale beyond thousands. the thousands, So they right interesting, realizing to and relatively is experience, of that is now is the hundreds tens a that just seeing hundred doing up company of

quite confront different. going problems are help of the are deeply partnering to of going super the with about be to excited you're and them And super with. to we're issues Some change them going to some

Operator

question Wells next line Fargo. from Ken Gawrelski the Your of with comes

Kenneth Gawrelski

may. I if Two,

deal First, insurance. one one on more

for other revenue there stuff routine the the a cost just you differences thinking and get cost that about sense, guidance than line the want question. of the XQ in think other should the XQ any I on $XX are we That's insurance. of the to revenue on to first the I be quarter-over-quarter million side.

do Time search And should second about and pricing? you offset pricing got how you've about things you Time against the upside think incentives any you And also the next by like should rider we or think Time think overall specifically, your is about how about any you and we battling Price in about Lock, come then think the just next about Prime Or year domestic one is kind about the down, looking talked have initiatives? from to Prime I'm be of as other likely more And strategy market, pricing? into it Prime continue thinking year? get you've in broad decreases what Rideshare think

Erin Brewer

Ken. Hi,

I'll the and in With nothing you QX. no. of in just start that pricing, question side, the line to is cost answer let of should a QX significance So outlined to I of terms changes from kind or be me There's respect hover on to of bit. the revenue other your considering little up that

competitive think talked to There's previously, no No healthy reason We've operate as market. future. to that in to pricing about Our and way. to that. about that goal right, the a competitive is the change to change any you think

price distance. time. level on at include can it factors. rider supply is experience another includes obviously set also in think I geography a That a many Prime mix, conditions the mode includes certain the It Time certain depending a of a of is many, combination

use doing And coming meet think that really themselves. and are been means our results a this cases to it to providing selection I value We've for down modes that to about reliable is so are that. bit really, a having then to riders. Prime our pricing. well beneficial Price bring important, Time And We've really of that means is talked Lock going and job, obviously speak

So think thesis I you third those about think color a ask little as you talk we won't specific foundational, to of think pricing. say are think bit XXXX some of don't I you anything about I the, would offering Maybe the I quarter. will, if it's because there. think, I about to have as

ride saw be Time that seasonally, to And Our gross weather-related. the Q-on-Q right, to and tends also quarter. quarter down QX bookings scooters, highest compared per down, But the by we come we've bikes mentioned. influenced in as to what is was for Prime second continuing

bookings to our So pretty ride be per gross natural that's a lower. place for

by just all of fair more bikes that driven overall would on QX, dynamics. that how seasonal that ride It's else and gross color to and equal. beneficial assume so scooters, bit, QX of increase, mix the QX that, gives think near-term change booking hopefully, But maybe a the you mix. pricing primarily per some being some right, about in and shifts we

Operator

Black from next line Benjamin comes Your Bank. question with Deutsche the of

Benjamin Black

Great.

Erin, consumer the I us what help Can those understand they year-on-year. you were just guess, trend And should David or then consumer ahead? how were look of we but touch should generally active incentive your the you the and rider in terms providers growing Canada? investments? just you you growth? as think U.S. down Erin, seeing and Are on guess the revenue So XX% and are current I we seeing for intent, And contra could drivers competition about durability how of the active outperformance the on

Erin Brewer

question. sure. Yes, the Thanks for

when keep investment So the we really broader incredibly important. marketplace reminder, as company. aligned a as the We strategy it's those incentives, think trade-offs of about to balanced, with a make our deployment

recent we're you the progress. of targets in mentioned XXXX, remind David also running ahead efficiencies really XX% our basis. prepared just in this on more combined love innovations we've Investor commitment I'll Day invest. that was remarks, earnings drivers this attract and on his our that being same features fall drivers to at time, a for of a us And made focusing strong or full that really, allows drivers platform. to like And release

XXXX, coming mentioned So frequency, the what we've much you platform now really in think I good the pretty on talking growing it Lyft quarter to about active a really, the really rides strong are experience. in riders, our you if riders more consistently we seeing? having look taking and platform progress, growth at been each

the quarter. the X.X% in gross is how was quarters. and and contra year That's of incentive in data from So give the know third because about quarter it, marketing for of just to about also last the about $XXX bookings, down million in in spend and of you sort and I of bookings about the curious percentage those second get think specific as really foundations are this. sequentially X% about a quarter, we revenue some about the and the lowest X and results gross total mark some that's of you the sales That third

efficiency absolutely driving there. So

seen on allows to great us we the it drivers, as momentum we've with And build invest. to continue

nature incentive So those deployment on you in of we are But cetera, seeing growth incremental et think et we depends really bit that how talked of the think we the new really incentive. in that the But It rides way it's I've terms we're first been in the good monitor because investing, and great and efficiency the we're in make because about we've leaning hows that impact riders a around rates. do seeing outcomes what frequency, about monitor retention and as riders I'll about of little already cetera. a investments, deployed. the whether particular initiative really in and outcomes asked of maybe or we I or outcomes. terms efficiency

helpful. that's hopefully, So

Operator

with Your the Research. Wolfe next question comes Shweta from Khajuria of line

Shweta Khajuria

but -- the what about mixed talk maybe think And seeing And drivers. take in you specifically of thoughts resiliency its trajectory anything consumer the spend. some into quarter. the sentiment in at please is of as There just next and have points, least going near then been question data you in on on second of to are rate especially year? margin your revenue the you Could some midterm terms consumer getting about

John Risher

take I'll second. the It's Erin take first and the David.

just like you. think what that see a are like data interesting. unusual everybody we we if there And you have things really couple are center. points I'll with are at So consumer or tell to But of We this we look of does, discern do. I what and sort try

commute and [indiscernible] back give that time and might [ to thing we're The would biggest of expect year you that use would which looking expect And is very Lyft talk ]. so going and that then of be First, to increased you not about of time sorry thing. midyear obviously, -- fun. well, big because party it just and office we second already doing. ago, that actually was all-time of. Friday at so Price sort is of example, ] as We've nicely, which specific high, just of about party data mentioned, case been return you it and quite up. Hotstar I our our of we [ Halloween is our night and a of that's monster Halloween that is was sort and anyway, a a nicely. And And monster, sort and a a But Locking speak, also a sort is kind Saturday can that's

big a year-on-year lapping and we're increase super words, other in So interesting.

have that's take suggests you don't Lyft, to people mean but right? and on of people go I are are. you discretionary, out sort and that to Halloween, So certainly have that a

is with we're providing priced on so well on. the we're So that people so that is doing suggests to landing working us that were service and and

around mentioned consumer different kind have brand, have component. As pricing, to very you we're context that of in a value be large-scale Erin we to are, order aware in a just which

mean frustrated. all the You people doing just are struggling is who for to, This are you I -- well, very people right? are have there are real.

daily bikes bit weird on to So I'm say, day this saving we product a We of just one, quite and that for it carefully our I a at try so the but roughly. well we're shout rides peaks many our It make per to always low. very sort so and large example, and great. a quite out. little we of mode, number, part give ride their because continue lives. it's -- XXX,XXX look a get quite cost a at wait is look people,

modes. and bottom being we look HVMs, call, what we top So stack and the of to the way sort down the the up from the top the all high-value

across worry see a nothing wipe, not strength huge, really to we the about. And

So but maybe gives long way not you little there's how we're much, saying looking a of so on a I color that know at.

Erin Brewer

on Yes. And your margins. question Shweta, on revenue

seeing But in the quarter, remind we're seen scooters overall you, is we've that ago the our margin progress QX I trends in would reflect that terms incentive strong and in of impact was few and XXXX there well, from mentioning the mix questions efficiency absolutely there. margin revenue also, bikes third business. for spend I that in as a revenue particular, on a the and true the So

bikes flow revenue. So gross scooters to much from pretty and business, from X:X our different bookings through the Rideshare

to that's quarters in going larger more So got the volume, a where impact. have we've

mode. bikes in third the for attributed quarter, was scooters X.X example, And of about the points. mix to and so the that

some that you color. So additional gives hopefully,

Operator

John Blackledge, line your is open.

John Blackledge

would in the color the mentioned can you Lyft then further and be And ad performed media, some Canada? rate color trend in color expansion Any -- on if secondly, there Any helpful. give And quarter discuss questions. some maybe Two Canada on Erin revenue investing in how the run XQ? on the continued tech. in business think third then I

John Risher

Sure, both on touch John. We'll briefly.

ride I and [ double to how fit biggest a paying the publicly attention you market. literally we've product I'll think And we're we're year-on-year, it which in on In strong track. to on good year our our is track. reiterate all things I said and is very mentioned much that Canada We is super wasn't volume that the it forget to. before, see market ago, these Toronto is I but is sixth So what it it's ] tell but sure. Toronto and I goal great. tenant now killing wonderful. was XX. something the probably we're Canada, for our lot That's a of That's top just area, greater can

momentum, market more So liking to we're fit, for there, sure. come good product seeing what good

second. that talked a were deeper that we new looking But just quick ways customers. is -- picture Media, one I on a out are sort year. again maybe bit They say Lyft on Really, for track. path on get We've the goals, big marketers, for then brands of of rate much little again like some we're to the very about to focus just this for their and are. always this people on to always And we've think I now run would some put

very of of again, big this. sometimes, And I look sort picture

billboards radio, I up. then on interstates very [ think came And ] TV build late again, so car-focused the forth. XXXXs, the and highways, boohoo back of pamphlets in

data. Are are not people right? is everyone, drugstore to of tend you of you you as of to telling stuff, And coffee your you're A bookstore, lot us a you obvious, The thing data, it's do in right? Every have where your the a time kind things. going but mess car going of which first-party different shop? rider, is first-party really we Where get a about data You're any the first-party And just What's saying, intention? to? with a are online the number pharmacy, now, that's course, from? coming well.

about bit our extent -- there to opportunity. tend more. riders, the this minutes the a a like to yet, out so who, platform times And real for check media they're app whether They can their car way, for tend spend to the experiences we a provides tailored by see little or XX in create all great to and several

continue it's is really to like really where we of unit foundational trailer, more. in early still you important -- days. a video And have efficiency as track on see But how about we Lyft new. because the still yourself, year or out say, be on there. we measurability if exit made see. again, to we're now maybe very we you'll and we focusing is this statements that of to saying a what every the the we're ad we're of see marketing enthusiastic an So the in like up particular, what app. tuned movie mentioned about I ad quite marketer kind we earlier always relatively sort I'm rate run to maybe Say I open we for stay for mode

Operator

Mark Your with Mahaney of the next from question comes Evercore line ISI.

Unknown Analyst

with question. David is an Mark. on up to for follow AV wanted This

from think competitively seeing a You early use Francisco where wondering, might writers might And in AV any on as signals about color talked you're I'm expander. San are you any ride? TAM cases regular AVs ride an that? prefer there what that over specific And

John Risher

primarily have it's about say certainly, there. real would I too us Las early we've honestly Vegas insight XXX,XXX I over in David, to year. given probably Yes. for rides the mean, remember,

that. kind on use we that's course, obviously and what's happening have San looking in And well, it particular in And of case, we of world. very some closely Texas. we're then Phoenix we a sense here ground. as its things Francisco, Vegas see very So Las from monitoring it But in own see the in

big of just a driver right a a is novelty a And So kind yet. thing talking say this maybe of worth also at it's it actually. now we've that's -- there's about there's looking seen that thing. little It's when you right? funny partially, now tourism happening, So things anything nothing of dramatic bit because couple

San see were in in when someone they in their fact, said team they on gave Francisco, parents our arrived AV. you here, just literally If so

the ground now. here just it mean sort tourism these again, So and right again, very, of I'll effect very literally the novelty on Jaguar, other they're I things. effect it's around. the people then And a Francisco, curated experience also say probably in are San swamps driving

experience forth. the show AV different of on be that's so experience. sorts they will So and next makes Tomorrow's models and up all quite as different

think, you in in So particular, us will anyway, will Atlanta, that's That announced, and it gives very think Mobility we're give super we May a sense maybe interesting Nexar insight. at that be I like more Ciena be very that our partnerships we're excited monitoring, about just [ ]. much I

So any part we're in think don't mode, learning of right it's so all because conclusions just kind now draw can in we I strong novel. but

Operator

Your line Ju next comes of the Stephen question from UBS. with

Stephen Ju

Great. Okay.

But thinking that should we owners potential Does you now be either in an potentially at with be up thought Lyft So maintenance David, for process in asset-light I all? babies. think will role partners the direct or partner fleet that right default about management? come discussions taking the fleet is new more

law growth mean, And I as of base would will active large the second, larger, the numbers. given gets I decelerate imagine rider that

booking So higher an targets, the in order to get need to to offset. longer-term you as frequency drive

can how can is latest talk gap per X of used picks age? up activity terms The the average versus the cohorts of Maybe about customers newer between using is riders your about you there behavior? data sort but cohorts, cohort you meaningfully month, level right in you? more so that activity is now as you your any older provide So to overall you about the what telling color of the become usage

John Risher

have well. course, you a of thoughts add Yes. Erin, And couple if to as things in I'll there. of give

Let's go and forth back on this.

side, I think, the so -- so I is premise think your AV you I right. on think

we a certainly run drivers on deploy. And how that's the It I really but just a thing. be of mean, of will business remarking they a -- to have our lot. quite their us again, is helps good lot for cars, own it's which to X.X capital There platform, worth own sure. is that. light million Asset

core anyway, model, that certainly be we for the to very to So consider sure.

we when into that more forth, think again, I'll need not we I to things service about maintenance like you and maybe tiny a so an talk And insight and where give area that. ourselves. do that's bit

also does It's people Our of that's don't a subsidiary. own kind primary who through done car day small which a use to of R&D. a but We the relatively Rideshare cars, primary you it's It's kind for want good get -- of subsidiary, Flexdrive to exposure don't maybe good number of subsidiary. for drivers can car. have the because or through kind to direct of allow their us

to and things out be, you we've know go with know a over it change being But certain SLAs cost you peel and that, and it's met, data that, that play are service right? service they maintenance of and a those and that know to don't allows level around catalytic with have of whatever are amount agreements the or who back people if more, takes what forth us even of you. lot example, like got we software know, just which years. So you then repairs one time, do and a that for converter And the certain when amount a, might and much sure, on, on that, you've other have partners, we have right, maintenance I developed at lot onion so to make so expert built or the more

so a result, track within and and we on sure done very make as being so done to And spec so and SLA and carefully that being can that's forth.

of is than what fleet we rather that side. on we call do the management So kind a side, work management the the operations of that's lot

what going I So or I garage would lift on like in be buying we're mean that. like mean, find not to don't as and a lift a building you Lyft

sure. built I is But another that. important. unfortunately, extraordinarily then excited about the that question, asked So light got fleet capacity and And no the management we've network and asset for you so

Stephen Ju

frequency versus growth User growth.

John Risher

at -- a Day, States. that think, -- typically, a really XXX million nice. rides you year, at this proud vehicles, in take our X we sure. private are a obviously billion XXX every million personal I'll look that a said reminder, as day, Yes. their as compares rides year the to United roughly right, as just growing -- about rides XXX versus for Yes, a We frequency. new thing, billion in people vehicles kind that we with, and legitimacy also as Investor it and remind I increasing XX-XX of at riders

in would today when are terms people versus say are our of I So I add taking in think if different now almost number negligible, penetration use okay, and of cases it's riders, that times you it's you XxX. all our really, Rideshare. of mean around Even driving times the competitor,

not that. best that So by best in that wouldn't I about think say to foremost, confused existing the anywhere on great that way. certainly we're on side. close And penetrated absolutely we're I lot I there's I service. providing we focused single riders, more so increasing want we're first think frequency that's a say -- among way but will and to do

obsession that quote customer There's times. focused can people we're our So tell very providing focused that a I a back. lot strategy service But anyway, very come Disney you number Walt increasing to on about encourage is that will a of of on great way.

Operator

that's for like time the have would closing turn CEO, I questions And the back to all And Risher, we David for today. remarks. call now to

John Risher

today, what and much, everyone's in world, about investor really connecting know on community. but we're are very what everyone. excited with we've forward looking you there's particularly also busy, the going to super lies I achieved, our but Look, lot Thank a ahead

weeks, in and the L.A., of in further will our London, Francisco New here few I news little have actually out outreach ramp bit San next XXXX. be up a plan over to we York,

connect if you'd to with forward Thank So your out another to you us. you. talking you of We you. reach us to with any good do time. Thanks and please help can, as as and connect will look possibly like curiosity, everything to interest we be for do we your

Operator

and call. Thank for disconnect. This you may concludes you your today's participation, conference now

Lyft (LYFT) 6 Nov 242024 Q3 Earnings call transcript