Uber, Lyft boosted by return of riders

WASHINGTON:

Ride-hailing companies Uber Technologies and Lyft promised Wall Street they would be back on the road to profitability and growth by the time they reported second-quarter results this week, thanks to cost-cutting done to survive the pandemic. Now, concerns over an ongoing driver shortage and the spreading Delta variant are clouding the outlook for making good on achieving profitable operations this year. The ride-hail companies’ core businesses are closely tied to broader economic activity and provide insights into the comfort levels of Americans and Europeans in resuming pre-pandemic activities. Uber has been moving to expand into goods and meal delivery to reduce dependence on rides. During the second quarter, many countries reopened their economies, and analysts expect Uber and Lyft will report revenues rebounded.

Published in The Express Tribune, August 3^rd, 2021.

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