Speaker 1: Let's get back to earnings and Lift the right Chair
Speaker 1: company reported before the bell this morning. CEO David Risher
Speaker 1: joins us live from New York City to discuss and
Speaker 1: the basics of it are that bookings, the outlook, missed
Speaker 1: estimates or street expectations, that the stock is down significantly.
Speaker 1: What is happening right now with Lift, the environment that
Speaker 1: Lift finds itself in.
Speaker 2: Yeah, so, hey, it's good to see you again. I mean, look,
Speaker 2: it's to me, it's a little curious, right, And this
Speaker 2: is sort of the way the world works sometimes. So
Speaker 2: we just had our first profitable quarter ever, which is
Speaker 2: an enormous accomplishment thanks to a lot of work for
Speaker 2: the team. Revenue grow forty percent year on year, Bookings
Speaker 2: and rides around midteen, seventeen percent, two hundred and fifty
Speaker 2: six million dollars of free cash so just and service
Speaker 2: levels that are fantastic, fastest pickups we've had in a long time,
Speaker 2: Fastest are more drivers than we've ever had. So all
Speaker 2: those things are incredibly strong and they indicate a strong marketplace.
Speaker 2: And we reiterated our full year guidance and our multi
Speaker 2: year guidance as well. Yes, mid team growth, so all
Speaker 2: those things were good. I think what people are looking
Speaker 2: at is they're seeing what I would consider to be,
Speaker 2: you know, incredibly small, you know, sort of kind of
Speaker 2: adjustment around what we've said about the future the next
Speaker 2: next quarter, in the next couple of quarters. And this
Speaker 2: to me sort of signifies, you know, sort of the
Speaker 2: world we live in. Like the things that we think
Speaker 2: about are one hundred and sixty billion rides in the
Speaker 2: US in total private cars, and we are little by little,
Speaker 2: you know, in a very very disciplined and customer obsessed
Speaker 2: way growing our business. You know, I think Wall Street
Speaker 2: sometimes looks at short term things and gets a little
Speaker 2: bit overly focused on that. I'm thinking about the long
Speaker 2: term and super excited about the prospects.
Speaker 1: David. There's some David Risher's strategy and plans that I
Speaker 1: see playing out, like price lock. Yeah, a paid feature
Speaker 1: that's going to have an impact maybe on the top
Speaker 1: and bottom line. But why, why is that the plan
Speaker 1: for you?
Speaker 2: Yeah? So price lock is a way for riders to
Speaker 2: lock in a price just like it sounds like, on
Speaker 2: the same route and same time every day. It's really
Speaker 2: in first met for commuters, and it's available today by
Speaker 2: the way. I encourage everyone to check it out. It's
Speaker 2: kind of in soft launch, and the idea is it
Speaker 2: takes away that what I think is one of the
Speaker 2: most hated features of all ride share, which is which
Speaker 2: is surge pricing, right and trying to get rid of it.
Speaker 2: You can never get rid of it completely, but we
Speaker 2: can certainly give writers a way to basically pay some
Speaker 2: all subscription fee and lock themselves into a consistent price.
Speaker 2: I think it's great and I think it's the sort
Speaker 2: of thing that's going to grow the business in the
Speaker 2: long term. Of course, it's an investment, right, and you always,
Speaker 2: you know, invest in new features that you have a
Speaker 2: lot of conviction around. But this again is our customer
Speaker 2: obsession is what drives profitable growth. Again, we're profitable now
Speaker 2: and we think there's going to be a great growth
Speaker 2: driver for us.
Speaker 1: Advertising is a battleground as well. You know, I am
Speaker 1: so familiar with the lift ap but why is advertising
Speaker 1: the way to go? And what with who with?
Speaker 2: What?
Speaker 1: Right you think about parallel industries?
Speaker 2: Yeah, so, you know, think about you know, of course,
Speaker 2: let's let's zoom wig out for a second. Since the
Speaker 2: history of advertising, you know, brands have tried to come
Speaker 2: up with new ways to talk to their consumers, right,
Speaker 2: and one hundred years ago, maybe it was billboards, then
Speaker 2: maybe it was radio ads, then maybe TV ads. Obviously
Speaker 2: more recently internet advertising. We see this kind of mobile
Speaker 2: advertising literally advertising that comes to you in the car
Speaker 2: where you're going, as an incredibly important effectually a sector
Speaker 2: that we're really going to help build out because if
Speaker 2: you think about it and reflecting on some of the
Speaker 2: earlier conversations you were having around Reddit, for example, we
Speaker 2: have an enormous amount of first party data, right, two
Speaker 2: million rides a day, every one of them going to
Speaker 2: a seven to eleven or a Starbucks or whatever it
Speaker 2: might be, and that's first party data that's very indicative
Speaker 2: of what it is that riders want to do. And
Speaker 2: so our media business has grown significantly. We're up significantly
Speaker 2: year on year, and we're really optimistic that it's going
Speaker 2: to be a whole new form of advertising and media
Speaker 2: that'll go super great.
Speaker 1: David, when I reported that Tesla was delaying its Robotaxi
Speaker 1: event to October, the shares of your company jumped in
Speaker 1: that session. The vision is a proprietary app from Tesla
Speaker 1: for ride hailing, but a fleet of cars that drive themselves. Tesla's.
Speaker 1: Your stock went up on the basis that everyone was like, Okay,
Speaker 1: the competition from Tesla's not yet coming. Just your latest
Speaker 1: thinking on that, please.
Speaker 2: Yeah. Look, I think avs are going to be great
Speaker 2: for LIFT, I really do. And I think it's because
Speaker 2: we're going to be the best way to commercialize what
Speaker 2: is a very very expensive asset. Different companies will try
Speaker 2: different things, but I think largely you'll have a lot
Speaker 2: of OEMs doing a lot in the av space and
Speaker 2: wanting them on our platform because of you know, millions
Speaker 2: of rides, all the technology we have to incorporate cars
Speaker 2: in our platforms and so forth. I don't want to
Speaker 2: comment on Tesla. I don't know. You know, we'll see
Speaker 2: kind of how that goes. But I do think that
Speaker 2: creating your own thing a kind of closed network is
Speaker 2: it's a front strategy, and maybe a different strategy would
Speaker 2: be to figure out a way to get your cars
Speaker 2: that you've built and your technology, you know, as broadly
Speaker 2: available to as many as possible.
Speaker 1: David Richard, the CEO of Lyft, thank you so much
Speaker 1: for joining us.