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Business Wire
6 days ago
- Business
- Business Wire
Lyft Reports Record Q2 2025 Financial Results
SAN FRANCISCO--(BUSINESS WIRE)--Lyft, Inc. (Nasdaq: LYFT) today announced record financial results for the second quarter ended June 30, 2025. 'We delivered off-the-charts performance, resulting in our strongest quarter ever,' said Lyft CEO David Risher. 'Our marketplace is thriving, our TAM is expanding with the close of Freenow, and we are building meaningful partnerships, including with Baidu and United Airlines. We're proving that Lyft isn't just another rideshare option – it's the better choice.' 'Q2 was another quarter of strong execution with all-time record Rides, Gross Bookings, and cash flow generation. These results showcase our commitment to operational excellence and customer obsession,' said CFO Erin Brewer. 'With market expansion and our strategic partnerships, we're ready to accelerate growth and deliver on our long-term targets.' Second Quarter 2025 Financial Highlights Record Gross Bookings of $4.5 billion, up 12% year over year. Revenue of $1.6 billion, up 11% year over year. Net income of $40.3 million compared to $5.0 million in Q2'24. Net income as a percentage of Gross Bookings was 0.9% compared to 0.1% in Q2'24. Record Adjusted EBITDA of $129.4 million up 26% year over year compared to $102.9 million in Q2'24. Adjusted EBITDA margin as a percentage of Gross Bookings was 2.9% compared to 2.6% in Q2'24. Net cash provided by operating activities of $343.7 million compared to $276.2 million in Q2'24. For the trailing twelve months, net cash provided by operating activities was $1.0 billion. Record free cash flow of $329.4 million compared to $256.4 million in Q2'24. For the trailing twelve months, free cash flow was $993.0 million. Repurchased 12.8 million shares for $200 million in Q2'25 via our share repurchase program. Second Quarter 2025 Operational Highlights Announced upcoming partnerships with Baidu, BENTELER Mobility, and United Airlines while strengthening our existing partnerships with Alaska Airlines, Chase, and DoorDash. Rides grew 14% year over year to 234.8 million, an all-time high and the ninth consecutive quarter of double-digit growth year over year. Active Riders grew 10% year over year to 26.1 million, an all-time high. Dual-app driver preference for Lyft continues to increase, now 29 percentage points, up from 6 percentage points a year ago. Lyft Silver is exceeding expectations, with nearly 1 in 5 activations coming from new users and a strong retention rate of nearly 80%. We strengthened our offer to business travelers. Riders with linked business accounts now automatically earn Lyft Cash and travel partner points on eligible rides. This high-value cohort is approximately four times more likely to choose premium ride modes. Third Quarter 2025 Outlook Our acquisition of Freenow closed on July 31, so Q3 will include two months of combined company results. Rides growth in the mid-teens year over year driven by industry-leading service levels and strong rider and driver engagement. Gross Bookings of approximately $4.65 billion to $4.80 billion, up approximately 13% to 17% year over year. Adjusted EBITDA of approximately $125 million to $145 million and an Adjusted EBITDA margin (calculated as a percentage of Gross Bookings) of approximately 2.7% to 3.0%. We have not provided the forward-looking GAAP equivalent to our non-GAAP outlook or a GAAP reconciliation as a result of the uncertainty regarding, and the potential variability of, reconciling items such as stock-based compensation and income tax. Accordingly, a reconciliation of these non-GAAP guidance metrics to their corresponding GAAP equivalent is not available without unreasonable effort. However, it is important to note that the reconciling items could have a significant effect on future GAAP results. We have provided historical reconciliations of GAAP to non-GAAP metrics in tables at the end of this release. For more information regarding the non-GAAP financial measures discussed in this earnings release, please see "GAAP to non-GAAP Reconciliations" below. Three Months Ended June 30, 2 025 March 31, 2 025 June 30, 2 024 (in millions, except for percentages) Active Riders 26.1 24.2 23.7 Rides 234.8 218.4 205.3 Gross Bookings $ 4,490.1 $ 4,162.4 $ 4,018.9 Revenue $ 1,588.2 $ 1,450.2 $ 1,435.8 Net income $ 40.3 $ 2.6 $ 5.0 Net income as a percentage of Gross Bookings 0.9 % 0.1 % 0.1 % Net cash provided by operating activities $ 343.7 $ 287.2 $ 276.2 Adjusted EBITDA $ 129.4 $ 106.5 $ 102.9 Adjusted EBITDA margin (calculated as a percentage of Gross Bookings) 2.9 % 2.6 % 2.6 % Free cash flow $ 329.4 $ 280.7 $ 256.4 Note: Information on our key metrics and non-GAAP financial measures is also available on our Investor Relations page. Expand Definitions of Key Metrics Active Riders The number of Active Riders is a key indicator of the scale of Lyft's user community. Lyft defines Active Riders as all unique riders who have taken at least one ride during the quarter. If a ride is requested by another organization or person for the benefit of a rider, that rider is only included in the calculation of Active Riders if the ride is accessible in the rider's Lyft app. In the first quarter of 2025, Lyft updated the definition of Active Riders to simplify the definition and better align the metric with future scaling of the business. Additionally, unique riders were previously identified by phone number and are now identified through a unique internal identifier. The change was adopted prospectively and periods prior to the first quarter of 2025 were not changed as the impact was not material. Rides Rides represent the level of usage of our multimodal platform. Lyft defines Rides as the total number of rides including rideshare and bike and scooter rides completed using our multimodal platform that contribute to our revenue. These include any Rides taken through our Lyft App. If multiple riders take a private rideshare ride, including situations where one party picks up another party on the way to a destination, or splits the bill, we count this as a single rideshare ride. Each unique segment of a Shared Ride is considered a single Ride. For example, if two riders successfully match in Shared Ride mode and both complete their Rides, we count this as two Rides. We have largely shifted away from Shared Rides, and now only offer Shared Rides in limited markets. Lyft includes all Rides taken by riders via our Concierge offering, even though such riders may be excluded from the definition of Active Riders unless the ride is accessible in that rider's Lyft app. Gross Bookings Gross Bookings is a key indicator of the scale and impact of our overall platform. Lyft defines Gross Bookings as the total dollar value of transactions invoiced to rideshare riders including any applicable taxes, tolls and fees excluding tips to drivers. It also includes amounts invoiced for other offerings, including but not limited to: Express Drive vehicle rentals, bike and scooter rentals, and amounts recognized for subscriptions, bike and bike station hardware and software sales, media, sponsorships, partnerships, and licensing and data access agreements. Adjusted EBITDA margin (calculated as a percentage of Gross Bookings) Adjusted EBITDA margin (calculated as a percentage of Gross Bookings) is calculated by dividing Adjusted EBITDA for a period by Gross Bookings for the same period. For the definition of Adjusted EBITDA, refer to 'Non-GAAP Financial Measures'. Webcast Lyft will host a webcast today at 2:00 p.m. Pacific Time (5:00 p.m. Eastern Time) to discuss these financial results and business highlights. Supplemental materials, including management's prepared remarks, will be available on the Company's Investor Relations page in advance of the call. To listen to a live audio webcast, please visit our Investor Relations page at The archived webcast will be available on our Investor Relations page shortly after the call. About Lyft Whether it's an everyday commute or a journey that changes everything, Lyft is driven by our purpose: to serve and connect. Founded in 2012, Lyft has grown into a global mobility platform offering a mix of rideshare, taxis, private hire vehicles, car sharing, bikes, and scooters across 4 continents and nearly 1,000 cities. Millions of drivers have chosen to earn on billions of rides – helping to create a more connected world, with transportation options for everyone. Available Information Lyft announces material information to the public about Lyft, its products and services and other matters through a variety of means, including filings with the Securities and Exchange Commission, press releases, public conference calls, webcasts, the investor relations section of its website ( its X accounts (@lyft and @davidrisher), its Chief Executive Officer's LinkedIn account ( and its blogs (including: and in order to achieve broad, non-exclusionary distribution of information to the public and for complying with its disclosure obligations under Regulation FD. Forward-Looking Statements This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements generally relate to future events or Lyft's future financial or operating performance. In some cases, you can identify forward looking statements because they contain words such as "may," "will," "should," "expects," "plans," "anticipates,' 'going to,' "could," "intends," "target," "projects," "contemplates," "believes," "estimates," "predicts," "potential" or "continue" or the negative of these words or other similar terms or expressions that concern Lyft's expectations, strategy, priorities, plans or intentions. Forward-looking statements in this release include, but are not limited to, Lyft's guidance and outlook, including expectations for the third quarter of 2025, and the trends and assumptions underlying such guidance and outlook, Lyft's expectations regarding its share repurchase program, including the timing of repurchases thereunder, Lyft's plans and expectations regarding its new and existing strategic partnerships and the benefits such partnerships will provide, and Lyft's expectations regarding its acquisition of Freenow and its anticipated impact on Lyft's total addressable market, international operations and financial results, and risks related to the integration and operation of Freenow. Lyft's expectations and beliefs regarding these matters may not materialize, and actual results in future periods are subject to risks and uncertainties that could cause actual results to differ materially from those projected, including risks related to the macroeconomic environment and risks regarding our ability to forecast our performance due to our limited operating history and the macroeconomic environment and the risk that our partnerships may not materialize as expected. The forward-looking statements contained in this release are also subject to other risks and uncertainties, including those more fully described in Lyft's filings with the Securities and Exchange Commission ('SEC'), including in our Annual Report on Form 10-K for the year ended December 31, 2024 and subsequent Quarterly Reports on Form 10-Q filed with the SEC. The forward-looking statements in this release are based on information available to Lyft as of the date hereof, and Lyft disclaims any obligation to update any forward-looking statements, except as required by law. This press release discusses "customers." For rideshare, there are two customers in every car - the driver is Lyft's customer, and the rider is the driver's customer. We care about both. Non-GAAP Financial Measures To supplement Lyft's financial information presented in accordance with generally accepted accounting principles in the United States of America, or GAAP, Lyft considers certain financial measures that are not prepared in accordance with GAAP, including Adjusted EBITDA, Adjusted EBITDA margin (calculated as a percentage of Gross Bookings) and free cash flow. Lyft defines Adjusted EBITDA as net income (loss) adjusted for interest expense, other income (expense), net, provision for (benefit from) income taxes, depreciation and amortization, stock-based compensation expense, payroll tax expense related to stock-based compensation, as well as, if applicable, sublease income and gain from lease termination, restructuring charges and costs related to acquisitions, divestitures and other corporate matters. Adjusted EBITDA margin (calculated as a percentage of Gross Bookings) is calculated by dividing Adjusted EBITDA for a period by Gross Bookings for the same period and is considered a key metric. Lyft defines free cash flow as GAAP net cash provided by (used in) operating activities less purchases of property and equipment and scooter fleet. Lyft subleases certain office space and earns sublease income. Sublease income is included within other income, net on the condensed consolidated statement of operations, while the related lease expense is included within operating expenses and loss from operations. Lyft believes the adjustment to include sublease income in Adjusted EBITDA is useful to investors by enabling them to better assess Lyft's operating performance, including the benefits of recent transactions, by presenting sublease income as a contra-expense to the related lease charges that are part of operating expenses. Lyft excludes certain costs related to acquisitions including due diligence costs, professional fees in connection with an acquisition, certain financing costs, and certain integration-related expenses. These expenses are unpredictable, and depend on factors that may be outside of our control and are not reflective of our ongoing core operations. In addition, the size and complexity of an acquisition, which often drives the magnitude of costs related to acquisitions, may not be indicative of such future costs. We believe excluding costs related to acquisitions, divestitures and other corporate matters facilitates the comparison of our financial results to our historical operating results and to other companies in our industry. Lyft uses its non-GAAP financial measures in conjunction with GAAP measures as part of our overall assessment of our performance, including the preparation of our annual operating budget and quarterly forecasts, to evaluate the effectiveness of our business strategies, and to communicate with our board of directors concerning our financial performance. Free cash flow is a measure used by our management to understand and evaluate our operating performance and trends. We believe free cash flow is a useful indicator of liquidity that provides our management with information about our ability to generate or use cash to enhance the strength of our balance sheet, further invest in our business and pursue potential strategic initiatives. Free cash flow has certain limitations, including that it does not reflect our future contractual commitments and it does not represent the total increase or decrease in our cash balance for a given period. Free cash flow does not necessarily represent funds available for discretionary use and is not necessarily a measure of our ability to fund our cash needs. Lyft's definitions may differ from the definitions used by other companies and therefore comparability may be limited. In addition, other companies may not publish these or similar metrics. Furthermore, these measures have certain limitations in that they do not include the impact of certain expenses that are reflected in our consolidated statement of operations that are necessary to run our business. Thus, our non-GAAP financial measures should be considered in addition to, not as substitutes for, or in isolation from, measures prepared in accordance with GAAP. June 30, 2 025 December 31, 2 024 Assets Current assets Cash and cash equivalents $ 913,845 $ 759,319 Short-term investments 878,319 1,225,124 Prepaid expenses and other current assets 965,418 966,090 Total current assets 2,757,582 2,950,533 Restricted cash and cash equivalents 461,267 186,721 Restricted investments 1,253,399 1,355,451 Other investments 43,343 42,516 Property and equipment, net 401,204 444,864 Operating lease right of use assets 142,788 148,397 Intangible assets, net 37,986 42,776 Goodwill 255,548 251,376 Other assets 16,250 12,435 Total assets $ 5,369,367 $ 5,435,069 Liabilities and Stockholders' Equity Current liabilities Accounts payable $ 104,450 $ 97,704 Insurance reserves 1,947,865 1,701,393 Accrued and other current liabilities 1,839,940 1,666,278 Operating lease liabilities, current 24,482 25,192 Convertible senior notes, current — 390,175 Total current liabilities 3,916,737 3,880,742 Operating lease liabilities 142,854 152,074 Long-term debt, net of current portion 526,532 565,968 Other liabilities 50,568 69,269 Total liabilities 4,636,691 4,668,053 Stockholders' equity Preferred stock, $0.00001 par value; 1,000,000 shares authorized as of June 30, 2025 and December 31, 2024; no shares issued and outstanding as of June 30, 2025 and December 31, 2024 — — Common stock, $0.00001 par value; 18,000,000 Class A shares authorized as of June 30, 2025 and December 31, 2024; 402,575 and 409,474 Class A shares issued and outstanding, as of June 30, 2025 and December 31, 2024, respectively; 100,000 Class B shares authorized as of June 30, 2025 and December 31, 2024; 8,531 and 8,531 Class B shares issued and outstanding, as of June 30, 2025 and December 31, 2024 4 4 Additional paid-in capital 10,954,946 11,035,246 Accumulated other comprehensive loss (7,024 ) (10,103 ) Accumulated deficit (10,215,250 ) (10,258,131 ) Total stockholders' equity 732,676 767,016 Total liabilities and stockholders' equity $ 5,369,367 $ 5,435,069 Expand Lyft, Inc. Condensed Consolidated Statements of Operations (in thousands, except for per share data) (unaudited) Three Months Ended June 30, Six Months Ended June 30, 2025 2024 2025 2024 Revenue $ 1,588,183 $ 1,435,846 $ 3,038,355 $ 2,713,047 Costs and expenses Cost of revenue 935,734 819,518 1,798,608 1,574,880 Operations and support 117,433 115,734 223,768 218,776 Research and development 109,325 98,807 221,820 198,830 Sales and marketing 190,922 176,370 372,939 321,842 General and administrative 232,339 252,643 447,639 488,896 Total costs and expenses 1,585,753 1,463,072 3,064,774 2,803,224 Income (loss) from operations 2,430 (27,226 ) (26,419 ) (90,177 ) Interest expense (5,032 ) (7,852 ) (11,182 ) (14,900 ) Other income, net 46,989 41,943 87,906 83,000 Income (loss) before income taxes 44,387 6,865 50,305 (22,077 ) Provision for income taxes 4,073 1,851 7,424 4,444 Net income (loss) $ 40,314 $ 5,014 $ 42,881 $ (26,521 ) Net income (loss) per share attributable to common stockholders Basic $ 0.10 $ 0.01 $ 0.10 $ (0.07 ) Diluted $ 0.10 $ 0.01 $ 0.10 $ (0.07 ) Weighted-average number of shares outstanding used to compute net income (loss) per share attributable to common stockholders Basic 417,242 406,512 418,793 404,033 Diluted 422,953 411,969 424,137 404,033 Stock-based compensation included in costs and expenses: Cost of revenue $ 5,484 $ 5,759 $ 12,939 $ 11,775 Operations and support 2,471 1,895 5,123 3,989 Research and development 33,894 27,340 72,157 57,172 Sales and marketing 4,254 4,231 9,329 8,435 General and administrative 35,999 46,513 75,712 84,465 Expand Lyft, Inc. Condensed Consolidated Statements of Cash Flows (in thousands) (unaudited) Six Months Ended June 30, 2025 2024 Cash flows from operating activities Net income (loss) $ 42,881 $ (26,521 ) Adjustments to reconcile net income (loss) to net cash provided by operating activities Depreciation and amortization 64,202 70,071 Stock-based compensation 175,260 165,837 Amortization of premium on marketable securities 61 157 Accretion of discount on marketable securities (37,673 ) (43,319 ) Amortization of debt discount and issuance costs 1,689 1,755 Loss (gain) on sale and disposal of assets, net 2,372 (4,514 ) Other (6,504 ) 1,185 Changes in operating assets and liabilities, net effects of acquisition Prepaid expenses and other assets 195 12,146 Operating lease right-of-use assets 11,253 13,124 Accounts payable 7,173 39,854 Insurance reserves 246,472 151,709 Accrued and other liabilities 139,140 75,047 Lease liabilities (15,559 ) (24,152 ) Net cash provided by operating activities 630,962 432,379 Cash flows from investing activities Purchases of marketable securities (1,594,199 ) (2,102,390 ) Purchases of term deposits — (2,194 ) Proceeds from sales of marketable securities 209,395 91,712 Proceeds from maturities of marketable securities 1,868,470 1,693,080 Proceeds from maturities of term deposits 2,194 3,539 Purchases of property and equipment and scooter fleet (20,786 ) (48,905 ) Sales of property and equipment 31,188 46,888 Other investing activities — 1,113 Net cash provided by (used in) investing activities 496,262 (317,157 ) Cash flows from financing activities Repayment of loans (33,174 ) (40,985 ) Payment for settlement of convertible senior notes due 2025 (390,719 ) (350,000 ) Proceeds from issuance of convertible senior notes due 2029 — 460,000 Payment of debt issuance costs — (11,888 ) Purchase of capped call — (47,886 ) Repurchase of Class A common stock (200,000 ) (50,000 ) Proceeds from exercise of stock options and other common stock issuances 7,304 6,403 Taxes paid related to net share settlement of equity awards (61,495 ) (8,898 ) Principal payments on finance lease obligations (20,933 ) (23,629 ) Other financing activities (255 ) — Net cash used in financing activities (699,272 ) (66,883 ) Effect of foreign exchange on cash, cash equivalents and restricted cash and cash equivalents 1,120 (501 ) Net increase in cash, cash equivalents and restricted cash and cash equivalents 429,072 47,838 Cash, cash equivalents and restricted cash and cash equivalents Beginning of period 946,040 771,786 End of period $ 1,375,112 $ 819,624 Expand Lyft, Inc. Condensed Consolidated Statements of Cash Flows (in thousands) (unaudited) Six Months Ended June 30, 2025 2024 Reconciliation of cash, cash equivalents and restricted cash and cash equivalents to the condensed consolidated balance sheets Cash and cash equivalents $ 913,845 $ 604,357 Restricted cash and cash equivalents 461,267 213,903 Restricted cash, included in prepaid expenses and other current assets — 1,364 Total cash, cash equivalents and restricted cash and cash equivalents $ 1,375,112 $ 819,624 Non-cash investing and financing activities Financed vehicles acquired $ 21,962 $ 84,418 Purchases of property and equipment and scooter fleet not yet settled 10,178 12,195 Right-of-use assets acquired under finance leases 3,655 32,775 Right-of-use assets acquired under operating leases 2,754 3,407 Remeasurement of finance and operating lease right of use assets (2,593 ) (7,600 ) 1,113 — Expand Lyft, Inc. GAAP to Non-GAAP Reconciliations (in millions, except for percentages) (unaudited) Three Months Ended June 30, 2 025 March 31, 2 025 June 30, 2 024 Adjusted EBITDA Net income $ 40.3 $ 2.6 $ 5.0 Adjusted to exclude the following: Interest expense (1) 6.2 7.5 9.4 Other income, net (47.0 ) (40.9 ) (41.9 ) Provision for income taxes 4.1 3.4 1.9 Depreciation and amortization 30.6 33.6 37.7 Stock-based compensation 82.1 93.2 85.7 Payroll tax expense related to stock-based compensation 3.9 4.0 4.2 Sublease income 0.1 0.1 1.0 Costs related to acquisitions, divestitures and other corporate matters (2) 9.1 3.2 — Adjusted EBITDA $ 129.4 $ 106.5 $ 102.9 Gross Bookings $ 4,490.1 $ 4,162.4 $ 4,018.9 Net income as a percentage of Gross Bookings 0.9 % 0.1 % 0.1 % Adjusted EBITDA margin (calculated as a percentage of Gross Bookings) 2.9 % 2.6 % 2.6 % Expand (1) Includes $1.2 million, $1.3 million and $1.5 million related to the interest component of vehicle related finance leases in the three months ended June 30, 2025, March 31, 2025 and June 30, 2024, respectively. (2) Includes certain acquisition-related costs which consist of due diligence costs, professional fees, certain financing costs, as well as certain integration-related expenses. These expenses are unpredictable, and depend on factors that may be outside of our control and are not reflective of our ongoing core operations. We believe excluding costs related to acquisitions, divestitures and other corporate matters facilitates the comparison of our financial results to our historical operating results and to other companies in our industry. Note: Due to rounding, numbers presented may not add up precisely to the totals provided. Expand Note: Due to rounding, numbers presented may not add up precisely to the totals provided. Expand
Engadget
04-08-2025
- Automotive
- Engadget
Lyft and Baidu plan to bring their robotaxis to the UK and Germany next year
Lyft and Baidu have shed more light on their plan for a worldwide fleet of autonomous vehicles . After the first rollouts — which are earmarked for Asia and the Middle East later this year — the companies have their designs set on Europe. They're aiming to deploy robotaxis in the UK and Germany in 2026, as long as they get approval from regulators. The goal is to then expand the European fleet to thousands of vehicles across the continent in the following years. Baidu is using its sixth-generation Apollo Go vehicles for this rollout. Once the robotaxis start operations in a given market, consumers will be able to book rides in them via the Lyft app. Lyft says that it will leverage its recent acquisition of taxi company Freenow to speed up deployment of autonomous vehicles, given that platform's established foothold in the UK and Germany. The partnership between Lyft and Baidu, which the pair announced last month, follows Baidu revealing its plans to start testing Apollo Go in Europe later this year.
The Journal
01-08-2025
- Automotive
- The Journal
US taxi app Lyft completes acquisition of Freenow for around €175m
US RIDE-HAILING GIANT Lyft has completed its acquisition of taxi app Freenow. In April, Lyft announced it had entered a definitive agreement, for around €175 million , to acquire Freenow from its current owners, German carmakers BMW and Mercedes-Benz. In a statement yesterday, Lyft announced that the acquisition has been completed. Lyft is a North American ride hailing app, that offers rideshare, bikes and scooters – it's second only to Uber in the US market for allowing users book trips with its drivers. Lyft had 23.7 million active riders in 2024. Advertisement In a statement, Lyft said the move will see the two companies 'join forces to seize the incredible opportunity of doubling Lyft's current addressable market to more than 300 billion personal vehicle trips per year'. Lyft CEO David Risher said the move will 'bring out the best of each company to the other' while Freenow CEO Thomas Zimmerman said that for European users of the app, the service will be 'amplified'. 'With Lyft's platform and resources behind us, we can innovate faster and serve drivers, passengers, and city partners even better,' Zimmerman added. For users of the Freenow app, they will be prompted to download Lyft whenever they use Freenow in the US and Canada. Lyft also said that in the coming months, European users will 'experience more consistent pricing and faster matchings'. Meanwhile, Freenow drivers are told to expect more rides as Lyft users will be prompted to download Freenow whenever they are in Europe. Lyft also noted that around 50% of taxi bookings in Europe take place offline and that it is 'committed to strengthen Freenow's leadership in the taxi industry, backed by decades of trusted partnerships with regulators, cities, unions, and fleet operators'. Readers like you are keeping these stories free for everyone... A mix of advertising and supporting contributions helps keep paywalls away from valuable information like this article. Over 5,000 readers like you have already stepped up and support us with a monthly payment or a once-off donation. Learn More Support The Journal
Irish Times
31-07-2025
- Business
- Irish Times
Freenow passengers face no immediate change after Lyft deal
Irish Freenow taxi passengers face no immediate changes following its €175 million sale to rival Lyft , says the company's general manager for Ireland, Danny O'Gorman. US-based Lyft completed its take over of European-focused Freenow on Thursday creating a global business that hosts more than 300 billion individual taxi trips a-year. Most Irish adults use Freenow's taxi hailing app, according to the company, which does not release precise customer numbers. Mr O'Gorman said on Thursday that they faced no immediate changes following the multinational deal, but pledged that they would see the service and mobile app improve in the months ahead. READ MORE Meanwhile, he noted that Irish drivers could get more business from US tourists as a result. US Lyft customers who arrive here will be prompted to download the Freenow app, which will offer them 50 per cent off their first taxi fare, Mr O'Gorman explained. He predicted that the alliance with Lyft would lure more drivers and passengers to the Freenow app, improving reliability, which Mr O'Gorman stressed was 'already very very high'. Lyft has its own mapping technology which aids drivers in negotiating traffic, forecasting demand and likely earnings. 'That will help route taxis to people quickly,' Mr O'Gorman said. However, he cautioned that the technology would not actually increase the number of taxis operating in the Republic, which he noted had grown by 2,000 within the last few years. Freenow employs around 30 people in the Republic in customer and driver support. Mr O'Gorman said that could increase over time. Freenow Ireland generated a turnover of €46.1 million in 2023, which was up from €38.4 million the previous year, according to the last accounts filed by the company. Profit for the year rose 9 per cent from €4.3 million to €4.7 million. Freenow operates in the Republic, UK, Germany, Greece, Spain, Italy, Poland, France, and Austria, according to a statement on Thursday. The statement confirmed that local managers would remain in place in each country.
Engadget
31-07-2025
- Automotive
- Engadget
Lyft completes its $197 million acquisition of Europe's Freenow
Lyft has received the required regulatory clearance to finalize its acquisition of the European app-based taxi company Freenow. First announced back in April, Lyft's approximately $197 million agreement with BMW and Mercedes-Benz allows the company to expand outside of North America for the first time. Freenow's service will continue to operate as normal, but Bloomberg reports that users will be prompted to download the Lyft app when travelling in the US or Canada, and vice versa for Lyft riders in one of the nine countries or 180 European cities Freenow currently operates in. Eventually you'll be able to book a taxi on either app without having to switch. According to Bloomberg , none of the roughly 600 Freenow employees' jobs are at risk, and while 50 percent of taxi bookings in Europe apparently still happen offline, the new partners believe there is a desire for that to shift more towards an online majority. In 2024, taxis accounted for 90 percent of Freenow's income and they will remain the "backbone" of its business going forward. As well as seamless app integration in the future, Freenow said in April that riders can expect more consistent pricing, faster matching and new features as a result of the Lyft acquisition. Lyft is the second-largest ride-hailing company in the US, trailing Uber, and has been looking to introduce more autonomous vehicles into its network from 2025 onwards after partnering with Mobileye and several other companies last year. If you buy something through a link in this article, we may earn commission.
