Lyft's stock tumbled 15% in extended trading on Tuesday after the ride-sharing company posted disappointing fourth-quarter results.
Here's how the company did versus LSEG estimates:
- Earnings per share: 16 cents adjusted vs 12 cents per share expected
- Revenue: $1.76 billion adjusted vs. $1.76 billion expected
The comparable revenue figure excludes reserve changes and settlements, and a special item analysts hadn't accounted for in projections.
Lyft's earnings figure strips out a $2.9 billion benefit from the release of Lyft's valuation allowance of U.S. federal and certain state deferred tax assets. Other legal, tax, regulatory and settlement expenses were also excluded.
Revenue of $1.59 billion was up 3% from a year ago, the company said. Bookings grew 19% year over year to $5.07 billion, which was in line with Wall Street estimates. Net income totaled about $2.76 billion, or $6.72 per share.
The company said it expects adjusted earnings before interest, taxes, depreciation and amortization, a measure of profitability, to range between $120 million and $140 million in the current quarter. Analysts expected $139.8 million for the current period.
Lyft said that recent legislation, which cut insurance costs in California, contributed to lower rideshare prices.
"While we expect this to drive increased demand over time, broad-based consumer adoption will take time to materialize and we now anticipate this being back-half weighted," the company said in a release.
Lyft posted lackluster ride metrics for the fourth quarter.
Active riders totaled 29.2 million during the period and came up short of a StreetAccount estimate of 29.5 million. Rides totaled 243.5 million, versus a FactSet estimate of 256.6 million.
The company's board also approved up to $1 billion in additional share buybacks.