Lyft was founded in 2012 in San Francisco by Logan Green and John Zimmer. It is the developer of an app which enables users to find drivers to take them where they want to go in exchange for a reasonable fee. Its creators designed the app with the aim of helping their customers save up to 30% compared to the cost of the same journey with a licensed taxi.
Lyft cars are immediately identifiable by the company's signature pink mustache, which their drivers place on the vehicle's front bumper.
Following a campaign of expansion, the ride-hailing service's geographic footprint now covers 60 US cities. In addition to its taxi service, Lyft also offers pay-by-the-minute bike and electric scooter rentals.
It has turnover in excess of $900 million following a 75% increase in 2018, when it finished the year with $2.15 billion in revenue. The company has a market value of over $15 billion, having managed to secure more than $330 million in investment.
As it stands, Lyft controls 28% of the US market, while its biggest competitor (Uber) boasts a share of approximately 70%.
Lyft publishes its first financial results
Ride-hailing company Lyft has published its annual financial results for the first time ever, reporting revenue for 2018 of $2.2 billion – almost twice as much as it generated in 2017 and 5 times more than it managed in 2016.
Despite this, the company still finished the year with a loss of $911 million (up $223 million from a year ago). The company has made a loss every year since it was founded as it hopes to reach break even before eventually starting to generate profit.
At its latest funding round, Lyft's value was estimated at $15.1 billion.
Lyft to introduce special bonus system for its drivers
As it prepares for its IPO, Lyft plans to offer its drivers the chance to purchase private shares in the company at a knock down price.
It hopes that this will allow its drivers to make a profit on the price difference when they come to sell. However, it is not yet known whether they will be able to sell immediately after the IPO or whether their shares will be subject to a lockup period.
The market currently values Lyft at over $15 billion.