FY 2018 Revenues to Increase at Least 209% to Record $10.0 Million; FY 2018 Gross Profit To Increase At Least 1,500% to $4.9 Million
HyreCar Inc. HYRE, the carsharing marketplace for ridesharing, has reported preliminary unaudited financial results for the fourth quarter and full year ending December 31, 2018.
Q4 2018 and Full Year 2018 Preliminary Financial Results
Revenues
for the fourth quarter ended December 31, 2018 are expected to be
approximately $3.3 million, an increase of approximately 162% when
compared to revenues of $1.3 million for the fourth quarter ended
December 31, 2017.
Revenues for the fiscal year ended December 31, 2018 are expected to be approximately $10.0 million, an increase of approximately 209% when compared to revenues of $3.2 million for the fiscal year ended December 31, 2017. The growth in revenue is a result of continued expansion of the Company's scalable network business model, which now spans across all 50 states in America.
The company expects gross profit for the fourth quarter ended December 31, 2018 to be approximately $1.9 million, an increase of approximately 2,100% when compared to gross profit of approximately $86,000 in the fourth quarter ended December 31, 2017. Gross profit margin for the fourth quarter of 2018 is anticipated to be approximately 58%, compared to 7% in the fourth quarter of 2017.
The company expects gross profit for the fiscal year ended December 31, 2018 to be approximately $4.9 million, an increase of approximately 1,500% when compared to gross profit of $0.3 million in the fiscal year ended December 31, 2017. Gross profit margin for fiscal 2018 is anticipated to be approximately 49%, compared to 10% in fiscal 2017. This increase was primarily due to greater operating efficiencies as the Company expands its platform.
HyreCar's 2018 anticipated financial results are preliminary and based on the most current information available and are subject to the completion of the financial statements. The Company anticipates releasing its annual financial reporting at the end of March 2019.
Management Commentary
"HyreCar had almost 400,000 rental
days on its platform in 2018 as the expansion of dealer inventory drove
record preliminary revenues of $3.3 million in the fourth quarter and
$10.0 million for the full year 2018," said Scott Brogi, Chief Financial
Officer of HyreCar. "We are also realizing increased operating
efficiencies as we scale, as shown by Gross Profit growing to $1.9
million, and as a result our cash burn was dramatically lower in the
fourth quarter leaving us with $6.8 million in cash and short-term
investments as of the fiscal year end. Now, with almost a year's worth
of growth capital currently in the bank, we are well positioned to reach
our stated goal of positive operating cash flow by mid-2019."
About HyreCar
HyreCar Inc. operates in the carsharing
marketplace for ridesharing through its proprietary technology platform.
The Company is establishing a leading presence in Mobility as a Service
(MaaS) through vehicle owners and institutions, such as dealers and
OEM's, who have been disrupted by automotive asset sharing. HyreCar
currently operates in all 50 states and Washington, D.C. providing a
unique revenue opportunity for both owners and drivers. By providing a
safe, secure, and reliable marketplace, HyreCar is transforming the
industry – one driver, one vehicle, one road at time. For more
information, please visit www.hyrecar.com.
Forward Looking Statements
Statements in this release
concerning HyreCar's future expectations and plans, including without
limitation, HyreCar's expectations regarding its future results,
performance, prospects and opportunities, may constitute forward looking
statements for the purposes of the safe harbor provisions under The
Private Securities Litigation Reform Act of 1995 and other federal
securities laws and are subject to substantial risks, uncertainties and
assumptions. You should not place reliance on these forward-looking
statements, which include words such as "believe," "intend," "may,"
"potential" or similar terms, variations of such terms or the negative
of those terms. Although the Company believes that the expectations
reflected in the forward-looking statements are reasonable, the Company
cannot guarantee such outcomes. Actual results may differ materially
from those indicated by these forward-looking statements as a result of
various important factors, as well as those risks more fully discussed
in the section entitled "Risk Factors" in HyreCar's prospectus,
dated June 26, 2018, that was filed with the U.S. Securities and
Exchange Commission under File No. 333-225157, as well as discussions of
potential risks, uncertainties, and other important factors in HyreCar's
subsequent filings with the U.S. Securities and Exchange Commission. All
such statements speak only as of the date made, and the Company
undertakes no obligation to update or revise publicly any
forward-looking statements, whether as a result of new information,
future events or otherwise.
View source version on businesswire.com: https://www.businesswire.com/news/home/20190207005330/en/
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