A $750 Million Buyback Finished, and a $1 Billion One Begins
Lyft's Form 10-Q for the quarter ended March 31, 2026 discloses that the 2025 Share Repurchase Program - originally $500 million in February 2025, increased to $750 million in May 2025 - was completed as of March 31, 2026. During the quarter alone, Lyft repurchased $300.0 million of Class A common stock, the largest single-quarter buyback in this site's coverage. On February 10, 2026, Lyft's board authorized a new program to repurchase up to $1.0 billion of Class A common stock, with management announcing intent to utilize $500.0 million of the new authorization before the end of Q2 2026 - a faster stated pace than the prior program's roughly fourteen-month completion.
Operationally, net income was $14.2 million, up 455% from $2.6 million in Q1 2025, while GAAP loss from operations narrowed 81.5% to $(5.3) million from $(28.8) million. Total revenue was $1,650.5 million, up 13.8% year-over-year from $1,450.2 million, and Adjusted EBITDA rose 24.7% to $132.8 million. Free Cash Flow was $287.3 million, up 2.4% from $280.7 million - a ninth consecutive positive-FCF quarter. Gross Bookings were $4,946.0 million, up 18.8% from $4,162.4 million, Rides were 236.9 million, up 8.5% from 218.4 million, and Active Riders were 28.3 million, up 16.9% from 24.2 million.
The Prescription
Completing a $750 million buyback and immediately launching a $1.0 billion successor, with a stated intent to deploy half of it within one quarter, is a meaningfully more aggressive capital-return posture than the gradual pace this site tracked through 2025 ($50 million in Q1 2025 building to $499.992 million for the full year). It signals management's confidence that Free Cash Flow generation - now nine consecutive positive quarters - can fund both continuing growth investment and a faster buyback cadence simultaneously. On operating results, Rides growth of 8.5% notably lagged Gross Bookings growth of 18.8% this quarter, a wider gap than this site has seen in several quarters and worth watching for whether it reflects average-booking-value strength (a positive read) or a Rides growth deceleration the company hasn't yet called out explicitly.
Key Financial Metrics
Q1 2026 vs. Q1 2025 - consolidated, reported in USD
| Metric | Q1 2026 | Q1 2025 | YoY |
|---|---|---|---|
| Revenue | $1,650.5M | $1,450.2M | ✅ +13.8% |
| Adjusted EBITDA» | $132.8M | $106.5M | ✅ +24.7% |
| Loss from Operations | $(5.3)M | $(28.8)M | ✅ narrowed 81.5% |
| Net Income | $14.2M | $2.6M | ✅ +455% |
Balance sheet: March 31, 2026 vs. December 31, 2025 (as reported in this filing)
| Balance sheet metric | Mar 2026 | Dec 2025 | Change |
|---|---|---|---|
| Cash + Short-Term Investments | $1,720.9M | $1,837.2M | ⚠️ -6.3% |
| Total Assets | $8,890.0M | $9,030.1M | ⚠️ -1.6% |
| Total Liabilities | $5,864.0M | $5,756.5M | ⚠️ +1.9% |
| Total Stockholders' Equity | $3,025.9M | $3,273.5M | ⚠️ -7.6% |
For the three months ended March 31, 2026, net cash provided by operating activities was $307.7 million (Q1 2025: $287.2 million), and Free Cash Flow was $287.3 million (Q1 2025: $280.7 million). Insurance reserves rose to $2,245.0 million from $2,180.4 million at year-end 2025.
Key Operational Metrics
Q1 2026 vs. Q1 2025
| Metric | Q1 2026 | Q1 2025 | YoY |
|---|---|---|---|
| Gross Bookings | $4,946.0M | $4,162.4M | ✅ +18.8% |
| Rides | 236.9M | 218.4M | ✅ +8.5% |
| Active Riders | 28.3M | 24.2M | ✅ +16.9% |
| Adjusted EBITDA Margin (% of Gross Bookings) | 2.7% | 2.6% | ✅ +0.1pp |
Lyft continues to report as a single reportable segment.
Beyond the Usual
A Faster, Larger Buyback Program Follows the First One's Completion
The original $500 million buyback authorization (February 2025) was increased to $750 million in May 2025 and, per this filing, fully completed as of March 31, 2026 - a program that took roughly fourteen months to exhaust. On February 10, 2026, the board authorized a new $1.0 billion program, with management stating an intent to utilize $500.0 million of it before the end of Q2 2026, implying a pace roughly three times faster than the prior program's average. This is the clearest evidence yet of management prioritizing capital return alongside continued reinvestment, funded by nine consecutive quarters of positive Free Cash Flow.
Target Valuation Range
Undervalued after the sell-off: EV/Revenue eased to approximately 1.42x on a trailing-twelve-month basis (from ~1.85x last quarter on a full-year basis), as the stock fell 31.3% over the quarter to $13.30 - implying a fair enterprise value in roughly the $8.1-10.1B range (1.25-1.55x TTM revenue) against the current ~$9.23B.
With approximately 382.5 million total shares outstanding (382,531 thousand Class A and no Class B shares, per the March 31, 2026 balance sheet - down from 400,856 thousand at year-end 2025, reflecting the buyback activity) and a March 31, 2026 close of $13.30, Lyft's market capitalization was approximately:
| Metric | Amount (USD) |
|---|---|
| Share price (Mar 31, 2026 close) | $13.30 |
| Shares outstanding | 382.5M |
| Market capitalization | $5.09B |
| Total liabilities | $5.86B |
| Less: cash and short-term investments | $(1.72)B |
| Enterprise value | ~$9.23B |
Against trailing-twelve-month revenue of $6,516.6 million (Q2 2025 through Q1 2026: $1,588.2M + $1,685.2M + $1,592.7M (derived) + $1,650.5M), that implies:
| Metric | FY2025 (prior period-end, full-year basis) | Q1 2026 (this quarter-end, trailing-twelve-month basis) |
|---|---|---|
| Enterprise Value | ~$11.68B | ~$9.23B |
| EV/Revenue» | ~1.85x | ~1.42x |
The stock fell sharply from $19.37 to $13.30 over the quarter, its largest single-quarter percentage decline since Q2 2022's 65.4% drop, though on a much smaller absolute base. Share count continues to decline meaningfully quarter over quarter as the accelerated buyback program takes effect. A full DCF still isn't attempted here.
Lyft, Inc.'s Quarterly Report on Form 10-Q for the quarter ended March 31, 2026, filed with the SEC in May 2026.