Shares of Lyft Inc’s (NASDAQ: LYFT) tumbled around 11% on Wednesday hitting a record low after the transportation network company reported a disappointing loss for the current quarter, putting pressure on its rival Uber Technologies Inc as it’s getting ready to price its IPO.
Lyft gave up $1.1 billion through March 31, as reported by the company on Thursday, however, Wall Street complimented the company’s revenue growth. With the latest results, Lyft shares slumped 27% from their March 28 IPO price. Lyft’s current market cap is around $15 billion.
The company’s loss of $48.53 per share in Q1 happened mostly because of the stock-based compensation and payroll tax related to its initial public offering. Lyft expects its losses to hit its highest point this year, adding nothing regarding the profit expectations.
Lyft’s revenue jumped 95% settling at $776 million, beating consensus estimates, as reported by Refinitiv.