Ride-sharing company Lyft looks to be on track to recover from the damaging effects of the COVID-19 outbreak, co-founder and President John Zimmer explained in an interview with Yahoo Finance on Tuesday.
This statement comes after Lyft managed to exceed Wall Street’s expectations for the company’s quarterly earnings. The company raked in $499.7 million in net sales, compared to estimates of $486.5 million. They also only suffered an EBITDA loss of $239.7 million, as opposed to an originally estimated loss of $252.2 million.
What’s more, the San Francisco-based ride-sharing platform also managed to achieve cost savings of $300 million, thus driving its profits upward. As states have been reopening their doors following extensive periods of lockdown, Lyft has enjoyed a 44% rise in active riders to 12.5 million.
In the last month, Lyft stocks have risen by a considerable margin of 33%. While Zimmer believes that the release of a COVID-19 vaccine will be necessary to get life back to normal, he remains faithful in his company’s ability to perform under current market conditions, stating optimistically: “Transportation is not going away. People are going to move around. I think there’s going to then hopefully be this renaissance of people wanting to do things, be creative, get around.”
