Lyft earnings report error prompts shareholder lawsuit


A Lyft logo is seen in the Driver Hub in Los Angeles, California, U.S., March 20, 2019. REUTERS/Lucy Nicholson/File Photo

(Reuters) - Lyft has been sued by shareholders for securities fraud after a mistake in a recent earnings release about a key profit metric sent the ride-sharing company's stock price on a wild ride up, and then down.

In a proposed class action on Tuesday, shareholders said Lyft was careless in initially saying on Feb. 13 that one of its profit margins would expand in 2024 by 500 basis points, or 5 percentage points, when it actually expected 50 basis points.

Play, subscribe and stand a chance to win prizes worth over RM39,000! T&C applies.

Monthly Plan

RM 13.90/month

RM 11.12/month

Billed as RM 11.12 for the 1st month, RM 13.90 thereafter.

Best Value

Annual Plan

RM 12.33/month

RM 9.87/month

Billed as RM 118.40 for the 1st year, RM 148 thereafter.

Follow us on our official WhatsApp channel for breaking news alerts and key updates!

Next In Tech News

Florida AG opens probe into OpenAI ahead of potential IPO
US software stocks slump on renewed AI disruption jitters
OpenAI pauses UK data centre project over regulation, costs
Intel and Google to double down on AI CPUs with expanded partnership
SiFive raises $400 million from Atreides, Nvidia for data-center chip technology
Samsung Electronics mulls investment in chip testing and packaging facilities in Vietnam
India's TCS beats fourth quarter view as North America holds up
OpenAI projects $2.5 billion in ad revenue this year, $100 billion by 2030, Axios reports
BlackBerry forecasts upbeat quarterly revenue, says turnaround complete
Meta, CoreWeave deepen AI cloud partnership with fresh $21 billion deal

Others Also Read