Lyft is expected to price its shares above the target range for its initial public offering, which is expected on Friday.
Lyft is in the process of courting investors, but potential buyers still question how and when the company will make money.
Lyft executives told hundreds of investors on the 20th floor of the St. Regis that the company will eventually reach 20 percent EBITDA margins, but gave no clear timeline for that watermark, according to three investors who asked not to be named because the meeting was private. Much like its rival Uber, Lyft is losing money. The second-largest ride-hailing company reported a $911 million loss on $2.1 billion in revenue last year, according to its IPO prospectus filed in early March. Lyft, which plans to list on the Nasdaq next week, said it expects sales to grow faster than its losses.
The company told the group, over a lunch of Caesar salad with chicken, that it would keep spending this year before pulling back to focus on profits.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Lyft to investors: We'll get to 20 percent margins...somedayPotential Lyft investors are questioning how and when the company will make money.
Read more »
As Lyft kicks off IPO roadshow, investors still uncertain about profitabilityPotential Lyft investors are questioning how and when the company will make money.
Read more »
At IPO road show, Lyft executives look to lower insurance costsLyft Inc executives are focused on cutting insurance costs and will phase in sel...
Read more »
Lyft's IPO oversubscribed on road show's second day: sourcesLyft Inc's initial public offering (IPO) is oversubscribed based on commitm...
Read more »
Exclusive: Lyft's IPO oversubscribed after two days - sourcesLyft Inc's initial public offering (IPO) is oversubscribed based on commitm...
Read more »
Pinterest has spent $309 million on Amazon's cloud since 2017 as part of a $750 million contractPinterest, like Lyft, is under a massive Amazon Web Services contract.
Read more »
Union fund adviser CtW questions Lyft's path to profitability ahead of IPOUnion pension fund adviser CtW Investment Group said on Thursday Lyft Inc '...
Read more »
‘I'm really struggling’ — Facing pay cuts, some ride-hailing drivers prepare to strikeLed by a group called Rideshare Drivers United, Uber and Lyft contractors in Los Angeles are planning a strike after Uber slashed the per-mile pay from $0.80 to $0.60.
Read more »
Lyft outlines all the reasons ridesharing could fail, in its IPO documentsScooters and bikeshare, self-driving promises and lawsuits requiring better treatment of drivers could all stand in the way.
Read more »
From Lyft to Airbnb, new round of IPOs is no market top: Nick ColasDataTrek's Nick Colas sees historical trends and valuations as bullish support for the next round of IPOs.
Read more »