Lyft is sticking to its previous target to hit quarterly adjusted profitability by the fourth period of 2021, a milestone it says it can achieve even with fewer rides.
The company reiterated its quarterly adjusted profit target timeline — a milestone based on earnings before interest, taxes, depreciation and amortization — during its second-quarter earnings call yesterday. Upholding the target in this uncertain era of COVID-19 is newsworthy on its own. But what caught our attention was Lyft’s claim that it would hit this milestone even at a lower ridership than it had previously targeted.
“We now expect we can achieve adjusted EBITDA profitability with 20% to 25% fewer rides than what was assumed when we initially disclosed this last year,” Lyft CEO Logan Green