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Lyft Co-Founder Discusses Last-Mile Delivery, Taking On Uber Eats

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Lyft Co-Founder Discusses Last-Mile Delivery, Taking On Uber Eats

Lyft Inc (NASDAQ: LYFT) Co-Founder and President John Zimmer joined Andrew Sorkin on CNBC’s “Squawk Box” Wednesday morning to discuss the company’s third-quarter earnings.

Zimmer on Earnings: Lyft reported third-quarter revenue of $499.7 million, which beat the Street consensus target of $486.5 million. Revenue declined 48% year-over-year in the third quarter, but rose 47% from the second quarter.

“We had a great quarter,” said Zimmer.

The co-founder of the ride-sharing company said the “recovery is happening.”

Zimmer said Lyft confirmed it's on track to hit positive adjusted EBITDA by the end of next year.

Related Link: Lyft Is Going All-In On Delivery Business To Take On Uber Eats

Exploring Delivery: Lyft is exploring getting into the delivery business but would approach it differently than Uber Technologies (NASDAQ: UBER).

Lyft would partner with companies to provide last-mile deliveries.

Zimmer said Lyft is in the early stages of development and the company would “help retailers and all sorts of businesses deliver.”

Retailers want organic traffic and don’t want to pay large commissions, according to Zimmer.

“That’s where our approach would be.”

What’s Next: Zimmer is “optimistic for first half of next year” for a vaccine coming for COVID-19.

Lyft has a broad portfolio of transportation with bikes, rideshare and mobility, said Zimmer.

Zimmer said Lyft is already offering scheduled rides in response to Uber’s news yesterday announcing a similar program.

“You can do it on the app today. Nothing new to us.”

Price Action: Shares of Lyft are up 5% in pre-market trading to $37.85.

 

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