A Seasonally Soft Quarter, Profitable for the First Time
Lyft's Form 10-Q for the quarter ended March 31, 2025 shows net income of $2.6 million, versus a net loss of $(31.5) million in Q1 2024 - the first time this site has recorded a profitable first quarter for Lyft, historically the company's seasonally softest period (as flagged in both the Q1 2024 and Q1 2023 posts). Loss from operations narrowed 54.2% to $(28.8) million from $(63.0) million. Total revenue was $1,450.2 million, up 13.5% year-over-year from $1,277.2 million, and Adjusted EBITDA rose 79.3% to $106.5 million. Free Cash Flow was $280.7 million, up from $127.1 million a year earlier - a sixth consecutive positive-FCF quarter. Gross Bookings were $4,162.4 million, up 12.7% from $3,693.2 million, Rides were 218.4 million, up 16.4% from 187.7 million, and Active Riders were 24.2 million, up 10.5% from 21.9 million.
During the quarter, Lyft repurchased $50.0 million of Class A common stock, its first buyback activity under the $500 million program authorized as a February 2025 subsequent event in the FY2024 10-K.
The Prescription
A profitable Q1 - even a thin $2.6 million - is a meaningful signal given this site has tracked five consecutive years of Q1 seasonal softness at Lyft, including a $(216.8) million operating loss as recently as Q1 2023. Revenue growth of 13.5% YoY is the slowest rate this site has recorded since the pandemic-recovery-distorted comparisons of 2022, worth watching alongside Rides growth (16.4%) continuing to modestly outpace Gross Bookings growth (12.7%) - a sign average booking value may be softening again after the two metrics converged through 2024. The $50.0 million buyback, the company's first, is a small first tranche against the $500 million authorization; at the current pace it would take roughly two and a half years to exhaust, though buyback pacing typically isn't linear and this site will keep tracking the cumulative total each quarter.
Key Financial Metrics
Q1 2025 vs. Q1 2024 - consolidated, reported in USD
| Metric | Q1 2025 | Q1 2024 | YoY |
|---|---|---|---|
| Revenue | $1,450.2M | $1,277.2M | ✅ +13.5% |
| Adjusted EBITDA» | $106.5M | $59.4M | ✅ +79.3% |
| Loss from Operations | $(28.8)M | $(63.0)M | ✅ narrowed 54.2% |
| Net Income (Loss) | $2.6M | $(31.5)M | ✅ swung to profit |
Balance sheet: March 31, 2025 vs. December 31, 2024 (as reported in this filing)
| Balance sheet metric | Mar 2025 | Dec 2024 | Change |
|---|---|---|---|
| Cash + Short-Term Investments | $2,154.0M | $1,984.4M | ✅ +8.5% |
| Total Assets | $5,668.0M | $5,435.1M | ✅ +4.3% |
| Total Liabilities | $4,829.9M | $4,668.1M | ⚠️ +3.5% |
| Total Stockholders' Equity | $838.1M | $767.0M | ✅ +9.3% |
For the three months ended March 31, 2025, net cash provided by operating activities was $287.2 million (Q1 2024: $156.2 million), and Free Cash Flow was $280.7 million (Q1 2024: $127.1 million). Insurance reserves rose to $1,823.5 million from $1,701.4 million at year-end 2024. Long-term debt, net of current portion, was $549.9 million (down from $565.97 million, as the current portion of the 2025 Notes continued amortizing toward May 2025 maturity).
Key Operational Metrics
Q1 2025 vs. Q1 2024
| Metric | Q1 2025 | Q1 2024 | YoY |
|---|---|---|---|
| Gross Bookings | $4,162.4M | $3,693.2M | ✅ +12.7% |
| Rides | 218.4M | 187.7M | ✅ +16.4% |
| Active Riders | 24.2M | 21.9M | ✅ +10.5% |
| Adjusted EBITDA Margin (% of Gross Bookings) | 2.6% | 1.6% | ✅ +1.0pp |
Lyft continues to report as a single reportable segment.
Beyond the Usual
The First $50 Million of the New Buyback Program
Lyft repurchased $50.0 million of Class A common stock during the quarter, its first activity under the $500 million program the board authorized in February 2025. Combined with continuing positive Free Cash Flow, this marks Lyft's first quarter returning capital to shareholders in this site's coverage, a capital-allocation shift worth tracking against the pace of continuing growth investment and the still-thin absolute level of GAAP net income.
Target Valuation Range
Undervalued relative to the multiple's recent range: EV/Revenue eased further to approximately 1.29x on a trailing-twelve-month basis (from ~1.40x last quarter on a full-year basis), as the stock fell 8.0% over the quarter to $11.87 - implying a fair enterprise value in roughly the $6.8-8.6B range (1.15-1.45x TTM revenue) against the current ~$7.67B.
With approximately 420.3 million total shares outstanding (411,817 thousand Class A plus 8,531 thousand Class B, per the March 31, 2025 balance sheet) and a March 31, 2025 close of $11.87, Lyft's market capitalization was approximately:
| Metric | Amount (USD) |
|---|---|
| Share price (Mar 31, 2025 close) | $11.87 |
| Shares outstanding | 420.3M |
| Market capitalization | $4.99B |
| Total liabilities | $4.83B |
| Less: cash and short-term investments | $(2.15)B |
| Enterprise value | ~$7.67B |
Against trailing-twelve-month revenue of $5,959.0 million (Q2 2024 through Q1 2025: $1,435.8M + $1,522.7M + $1,550.3M (derived) + $1,450.2M), that implies:
| Metric | FY2024 (prior period-end, full-year basis) | Q1 2025 (this quarter-end, trailing-twelve-month basis) |
|---|---|---|
| Enterprise Value | ~$8.08B | ~$7.67B |
| EV/Revenue» | ~1.40x | ~1.29x |
The stock fell from $12.90 to $11.87 over the quarter, its lowest quarter-end close since Q1 2023. A full DCF still isn't attempted here.
Lyft, Inc.'s Quarterly Report on Form 10-Q for the quarter ended March 31, 2025, filed with the SEC in May 2025.