Lyft, Inc.

Previous wording

Today, Lyft is one of the largest multimodal transportation networks in the United States and Canada. Our established, scaled network of users is brought together by our robust technology platform (the “Lyft Platform”) that powers rides and connections every day. Our Lyft mobile application (the “Lyft App”) connects riders with drivers for on-demand ride services and supports a variety of other multimodal mobility solutions. Our offerings on the Lyft App include an expanded set of transportation modes in select cities, such as access to a network of shared bikes and scooters (“Light Vehicles”) for shorter rides and first-mile and last-mile legs of multimodal trips.

Current wording

Today, Lyft operates as a global mobility platform offering a mix of rideshare, taxis, private hire vehicles, car sharing, bikes, and scooters across 4 continents in select cities. Our established, scaled network of users is brought together by our robust technology platform (the “Lyft Platform”) that powers rides and connections every day. Our Lyft mobile application (the “Lyft App”) connects riders with drivers for on-demand ride services and supports a variety of other multimodal mobility solutions.

Previous wording

Substantially all of our revenue is generated from our ridesharing marketplace that connects drivers and riders. We collect service fees and commissions from drivers for their use of our ridesharing marketplace. We also generate revenue from licensing and data access agreements, the sale of bikes and bike station software and hardware, advertising services, riders renting Light Vehicles, drivers renting vehicles through Express Drive and by making our ridesharing marketplace available to organizations through our Lyft Business offerings.

Current wording

Substantially all of our revenue is generated from our ridesharing marketplace that connects drivers and riders. We collect service fees and commissions from drivers for their use of our ridesharing marketplace. We also generate revenue from licensing and data access agreements, the sale of bikes and bike station software and hardware, advertising services, riders renting through our network of shared bikes and scooters, drivers renting vehicles through Express Drive and by making our ridesharing marketplace available to organizations through our Lyft Business offerings.

Previous wording

In the first quarter of 2025, we updated the definition of Active Riders to simplify the definition and better align the metric with future scaling of our business. Additionally, unique riders were previously identified by phone number and are currently identified through a unique internal identifier. The change was adopted prospectively and periods prior to the first quarter of 2025 were not changed as the impact was not material.

Current wording

In the first quarter of 2025, we updated the definition of Active Riders to simplify the definition and better align the metric with future scaling of our business. Additionally, unique riders were previously identified by phone number and are now identified through a unique internal identifier. The change was adopted prospectively and periods prior to the first quarter of 2025 were not changed as the impact was not material.

Previous wording

The increase in the number of Active Riders in the three months ended March 31, 2025 as compared to the three months ended March 31, 2024 was due primarily to our focus on rider engagement, improved retention and overall marketplace health.

Current wording

The increase in the number of Active Riders in the three months ended June 30, 2025 as compared to the three months ended June 30, 2024 was due primarily to our focus on rider and driver engagement, improved retention and overall marketplace health.

Previous wording

The improvements in net income (loss) as a percentage of Gross Bookings and Adjusted EBITDA margin (calculated as a percentage of Gross Bookings) in the three months ended March 31, 2025 as compared to the three months ended March 31, 2024 were due primarily to our focus on cost discipline as growth in Gross Bookings outpaced growth in total costs and expenses, along with improved marketplace health.

Current wording

The improvements in net income as a percentage of Gross Bookings and Adjusted EBITDA margin (calculated as a percentage of Gross Bookings) in the three months ended June 30, 2025 as compared to the three months ended June 30, 2024 were due primarily to our focus on cost discipline as growth in Gross Bookings outpaced growth in total costs and expenses, along with improved marketplace health.

Previous wording

Revenue consists of revenue recognized from fees paid by drivers for use of our Lyft Platform offerings, Concierge platform fees from organizations that use our Concierge offering, subscription fees paid by riders to access transportation options through the Lyft Platform, revenue from bikes and bike station hardware and software sales, revenue from licensing and data access agreements and revenue from arrangements to provide advertising services to third parties that are interested in reaching users of our platform. Revenue derived from these offerings is recognized in accordance with ASC 606 as described in the Critical Accounting Estimates and in Note 2 of the notes to our audited consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2024.

Current wording

Revenue consists of revenue recognized from fees paid by drivers for use of our Lyft Platform offerings, Concierge platform fees from organizations that use our Concierge offering, subscription fees paid by riders to access transportation options through the Lyft Platform, revenue from bikes and bike station hardware and software sales, revenue from licensing and data access agreements and revenue from arrangements to provide advertising services to third parties that are interested in reaching users of our platform. Revenue also consists of rental revenues recognized through leases or subleases primarily from our wholly-owned subsidiary, Flexdrive Services, LLC ("Flexdrive") and our network of bikes and scooters, which includes revenue generated from single-use ride fees paid by riders of our network of bikes and scooters. Revenue derived from these offerings is recognized in accordance with ASC 606 and ASC 842 as described in the Critical Accounting Estimates and in Note 2 of the notes to our audited consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2024.

Previous wording

Operations and support expenses primarily consist of personnel-related compensation costs of local operations teams and teams who provide phone, email and chat support to users, Light Vehicle fleet operations support costs, driver background checks and onboarding costs, fees paid to third-parties providing operations support, facility costs and certain car rental fleet support costs. Light Vehicle fleet operations support costs include general repairs and maintenance, and other customer support activities related to repositioning bikes and scooters for rider convenience, cleaning and safety checks.

Current wording

Operations and support expenses primarily consist of personnel-related compensation costs of local operations teams and teams who provide phone, email and chat support to users, bikes and scooters fleet operations support costs, driver background checks and onboarding costs, fees paid to third-parties providing operations support, facility costs and certain car rental fleet support costs. Bikes and scooters fleet operations support costs include general repairs and maintenance, and other customer support activities related to repositioning bikes and scooters for rider convenience, cleaning and safety checks.

Previous wording

Sales and marketing expenses primarily consist of rider incentives, personnel-related compensation costs, driver incentives for referring new drivers or riders, advertising expenses, rider refunds and marketing partnerships with third parties. Sales and marketing costs are expensed as incurred.

Current wording

Sales and marketing expenses primarily consist of rider incentives, personnel-related compensation costs, certain driver incentives, advertising expenses, rider refunds and marketing partnerships with third parties. Sales and marketing costs are expensed as incurred. Incentive programs are intended to improve our marketplace. In the second quarter of 2025, we determined that certain components should be excluded from our disclosure of incentives. Accordingly, prior period amounts disclosed have been changed to conform to current period presentation.

Previous wording

Interest expense consists primarily of interest incurred on our 2025 Notes and 2029 Notes, as well as the related amortization of deferred debt issuance costs and debt discount. Interest expense also includes interest incurred on our Non-Revolving Loan and our Master Vehicle Loan.

Current wording

Interest expense consists primarily of interest incurred on our convertible senior notes due 2025 (the "2025 Notes") and convertible senior notes due 2029 (the "2029 Notes"), as well as the related amortization of deferred debt issuance costs and debt discount. Interest expense also includes interest incurred on our Non-Revolving Loan and our Master Vehicle Loan.

Previous wording

Other income (expense), net consists primarily of interest earned on our cash, cash equivalents and restricted and unrestricted investments.

Current wording

Other income, net consists primarily of interest earned on our cash, cash equivalents and restricted and unrestricted investments.

Previous wording

Our provision for (benefit from) income taxes consists of federal and state taxes in the U.S. and foreign taxes in jurisdictions in which we conduct business. As we expand the scale of our international business activities, any changes in the U.S. and foreign taxation of such activities may increase our overall provision for (benefit from) income taxes in the future.

Current wording

Our provision for income taxes consists of federal and state taxes in the U.S. and foreign taxes in jurisdictions in which we conduct business. As we expand the scale of our international business activities, any changes in the U.S. and foreign taxation of such activities may increase our overall provision for income taxes in the future.

Previous wording

Comparison of the three months ended March 31, 2025 to the three months ended March 31, 2024

Current wording

Comparison of the three and six months ended June 30, 2025 to the three and six months ended June 30, 2024

Previous wording

Revenue increased $173.0 million, or 14%, in the three months ended March 31, 2025, as compared to the three months ended March 31, 2024, due primarily to an increase of 16% in Rides and 11% in Active Riders as we benefited from increased ride frequency, which is demonstrated by Rides growth exceeding Active Riders growth, and continued improvements in marketplace health. Investments in driver supply, which are recorded as a reduction to revenue, decreased by $22.5 million for the quarter ended March 31, 2025 as compared to the same quarter in the prior year as driver supply on the platform benefited from organic growth and drivers spending more time on the platform.

Current wording

Revenue increased $152.3 million, or 11%, in the three months ended June 30, 2025, as compared to the three months ended June 30, 2024, due primarily to an increase of 14% in Rides and 10% in Active Riders as we benefited from increased ride frequency, which is demonstrated by Rides growth exceeding Active Riders growth, and continued improvements in marketplace health. Investments in driver supply, which are recorded as a reduction to revenue, decreased by $41.7 million for the quarter ended June 30, 2025 as compared to the same quarter in the prior year as driver supply on the platform benefited from organic growth and drivers spending more time on the platform.

Previous wording

We expect revenue will fluctuate based upon factors such as ride volume, driver supply, pricing, incentives and seasonality specifically related to our network of Light Vehicles.

Current wording

We expect revenue will fluctuate based upon factors such as ride volume, driver supply, pricing, incentives and seasonality specifically related to our network of shared bikes and scooters.

Previous wording

Cost of revenue increased $107.5 million, or 14%, in the three months ended March 31, 2025 as compared to the three months ended March 31, 2024. The increase was due primarily to a $99.6 million increase in insurance costs driven by higher costs per mile paired with increased ride volume. There was also a $5.5 million increase in transaction fees driven by higher ride volume.

Current wording

Cost of revenue increased $116.2 million, or 14%, in the three months ended June 30, 2025 as compared to the three months ended June 30, 2024. The increase was due primarily to a $107.8 million increase in insurance costs driven by higher costs per mile paired with increased ride volume and a $6.2 million increase in transaction fees driven by higher ride volume.

Previous wording

Research and development expenses increased $12.5 million, or 12%, in the three months ended March 31, 2025 as compared to the three months ended March 31, 2024. The increase was primarily due to an $8.4 million increase in stock-based compensation and a$3.1 million increase in consulting and advisory costs.

Current wording

Research and development expenses increased $10.5 million, or 11%, in the three months ended June 30, 2025 as compared to the three months ended June 30, 2024. The increase was primarily due to an $6.6 million increase in stock-based compensation and a $3.5 million increase in personnel-related costs driven by increased headcount.

Previous wording

Sales and marketing expenses increased $36.5 million, or 25%, in the three months ended March 31, 2025 as compared to the three months ended March 31, 2024. The increase was primarily due to a $25.4 million increase in rider, driver and Light Vehicle rider incentive programs due to investments in rider engagement, a $10.3 million increase in partnership rebates and an $8.5 million increase in rider refunds. These increases were partially offset by a $9.7 million decrease in driver and rider programs.

Current wording

Sales and marketing expenses increased $51.1 million, or 16%, in the six months ended June 30, 2025 as compared to the six months ended June 30, 2024. The increase was primarily due to an increase in costs related to rider, driver and bikes and scooters rider incentive programs due to investments in rider engagement, which increased by $37.9 million from $145.8 million for the six months ended June 30, 2024 to $183.7 million for the six months ended June 30, 2025. There was also a $10.8 million increase in rebates and an $8.1 million increase in rider refunds. These increases were partially offset by a $4.0 million decrease in driver and rider programs primarily related to advertising expenses and partnerships.

Previous wording

General and administrative expenses decreased $21.0 million, or 9%, in the three months ended March 31, 2025 as compared to the three months ended March 31, 2024. The decrease was primarily due to a net decrease of $35.0 million in certain loss contingencies related to tax accrual and legal settlements. This decrease was partially offset by a $9.2 million increase in consulting and advisory costs and an $8.1 million increase in an accrual for self-retained general business liabilities.

Current wording

General and administrative expenses decreased $20.3 million, or 8%, in the three months ended June 30, 2025 as compared to the three months ended June 30, 2024. The decrease was primarily due to a $24.6 million net decrease in certain loss contingencies related to tax accrual and legal settlements and a $10.5 million decrease in stock-based compensation. These decreases were partially offset by an $18.6 million increase in an accrual for self-retained general business liabilities and a $4.4 million increase in consulting and advisory costs.

Previous wording

(1)Includes $1.3 million and $1.4 million related to the interest component of vehicle related finance leases within cost of revenue in the three months ended March 31, 2025 and 2024, respectively. Refer to Note 7 “Leases” to the condensed consolidated financial statements included in Part I, Item 1 of this Quarterly Report on Form 10-Q for information regarding the interest component of vehicle related finance leases.

Current wording

(1)Includes $1.2 million and $2.5 million related to the interest component of vehicle related finance leases within cost of revenue in the three and six months ended June 30, 2025, respectively. Includes $1.5 million and $2.9 million related to the interest component of vehicle related finance leases within cost of revenue in the three and six months ended June 30, 2024, respectively. Refer to Note 7 “Leases” to the condensed consolidated financial statements included in Part I, Item 1 of this Quarterly Report on Form 10-Q for information regarding the interest component of vehicle related finance leases.

Previous wording

(2)Due to rounding, numbers presented may not calculate precisely to the totals provided.

Current wording

(3)Due to rounding, numbers presented may not calculate precisely to the totals provided.

Previous wording

Net income (loss) improved from $(31.5) million for the three months ended March 31, 2024 to $2.6 million for the three months ended March 31, 2025 as a result of increased revenue and continued cost discipline. Non-cash adjustments primarily consisted of stock-based compensation expense of $93.2 million, which increased year over year, and depreciation and amortization expense of $33.6 million. The changes in working capital were primarily driven by insurance, which saw (i) an increase in our insurance reserves due to a rise in commercial auto insurance rates on a per mile basis compared to prior periods, an increase in ride volume in the first quarter of 2025 compared to prior periods and strategic risk management decisions to retain additional risk in certain markets, (ii) an increase in insurance related accruals and (iii) a decrease in prepaid insurance due to amortization. There was also a decrease in certain loss contingencies including tax and legal accruals.

Current wording

Cash provided by operating activities was $631.0 million for the six months ended June 30, 2025, which consisted of net income of $42.9 million adjusted for $199.4 million of non-cash items, and changes in working capital of $388.7 million. Net income (loss) improved from $(26.5) million for the six months ended June 30, 2024 to $42.9 million for the six months ended June 30, 2025 as a result of increased revenue and continued cost discipline. Non-cash adjustments primarily consisted of stock-based compensation expense of $175.3 million, which increased year over year, and depreciation and amortization expense of $64.2 million. The changes in working capital were primarily driven by insurance, which saw (i) an increase in our insurance reserves due to a rise in commercial auto insurance rates on a per mile basis compared to prior periods, paired with an increase in ride volume in the first half of 2025 compared to prior periods, (ii) an increase in insurance related accruals and (iii) a decrease in insurance related assets primarily due to amortization. There also was an increase in accounts receivables and a net increase in accrued driver payments due to timing of payments, a decrease in our operating lease liabilities related to ordinary payments for our real estate operating leases, and a decrease in certain loss contingencies including tax and legal accruals.

Previous wording

Cash provided by operating activities was $156.2 million for the three months ended March 31, 2024, which consisted of a net loss of $31.5 million primarily offset by changes in working capital of $97.4 million. The year over year decrease in net loss from $187.6 million to $31.5 million was a result of increase in our revenues and the actions we have taken to reduce our operating expenses. Net loss was also offset by non-cash adjustments for stock-based compensation expense of $80.1 million, which decreased year over year due to a reduction in headcount driven by the restructuring activities initiated in prior years, and depreciation and amortization expense of $32.4 million. The changes in working capital were primarily driven by insurance, which saw (i) an increase in our insurance reserves due to a rise in commercial auto insurance rates on a per mile basis compared to the prior year and an increase in ride volume in the first quarter of 2024 compared to previous quarters and (ii) an increase in accounts payable which was primarily due to the timing of insurance claim payments.

Current wording

Cash provided by operating activities was $432.4 million for the six months ended June 30, 2024, which consisted of a net loss of $(26.5) million primarily offset by changes in working capital of $267.7 million. The year over year improvement to net loss for the six months ended June 30, 2024, from $(301.9) million to $(26.5) million was a result of increase in our revenues and the actions we have taken to reduce our operating expenses, which culminated in the achievement of quarterly net income for the three months ended June 30, 2024 for the first time in our operating history. Net income (loss) was also offset by non-cash adjustments for stock-based compensation expense of $165.8 million, which decreased year over year due to a reduction in headcount driven by the restructuring activities initiated in prior years, and depreciation and amortization expense of $70.1 million. The changes in working capital were primarily driven by insurance, which saw (i) an increase in our insurance reserves due to a rise in commercial auto insurance rates on a per mile basis compared to the prior year and an increase in ride volume in the first half of 2024 compared to previous periods, (ii) an increase in accounts payable which was primarily due to the timing of insurance claim payments and (iii) an increase in insurance-related accruals.

Previous wording

Cash provided by investing activities was $65.7 million for the three months ended March 31, 2025, which primarily consisted of proceeds from sales and maturities of marketable securities of $1.1 billion, partially offset by purchases of marketable securities of $1.0 billion.

Current wording

Cash provided by investing activities was $496.3 million for the six months ended June 30, 2025, which primarily consisted of proceeds from sales and maturities of marketable securities of $2.1 billion and sales of property and equipment of $31.2 million, partially offset by purchases of marketable securities of $1.6 billion and purchases of property and equipment and scooter fleet of $20.8 million.

Previous wording

Cash used in investing activities was $242.1 million for the three months ended March 31, 2024, which primarily consisted of proceeds from sales and maturities of marketable securities of $0.9 billion. This was partially offset by purchases of marketable securities of $1.1 billion.

Current wording

Cash used in investing activities was $317.2 million for the six months ended June 30, 2024, which primarily consisted of purchases of marketable securities of $2.1 billion partially offset by proceeds from sales and maturities of marketable securities of $1.8 billion.

Previous wording

Cash used in financing activities was $51.7 million for the three months ended March 31, 2025, which primarily consisted of taxes paid related to net share settlement of equity awards of $24.3 million, repayment of loans of $16.5 million and principal payments on finance lease obligations of $10.9 million.

Current wording

Cash used in financing activities was $699.3 million for the six months ended June 30, 2025, which primarily consisted of repayment of our 2025 Notes of $390.7 million, repurchase of Class A common stock of $200.0 million, taxes paid related to net share settlement of equity awards of $61.5 million, and repayment of loans of $33.2 million and principal payments on finance lease obligations of $20.9 million.

Previous wording

Cash used in financing activities was $31.4 million for the three months ended March 31, 2024, which primarily consisted of repayment of loans of $20.6 million and principal payments on finance lease obligations of $11.5 million. This also included a net cash inflow of $0.2 million related to transactions related to the issuance of our 2029 Notes which included $460.0 million in proceeds from the issuance of the 2029 Notes and expenditures of $350.0 million related to the settlement of the 2025 Notes, $50.0 million related to the repurchase of Class A Common Stock, $47.9 million related to the purchase of capped calls and $11.9 million in payments of debt issuance costs.

Current wording

Cash used in financing activities was $66.9 million for the six months ended June 30, 2024, which primarily consisted of repayment of loans of $41.0 million and principal payments on finance lease obligations of $23.6 million. This also included a net cash inflow of $0.2 million related to transactions related to the issuance of our 2029 Notes which included $460.0 million in proceeds from the issuance of the 2029 Notes and expenditures of $350.0 million related to the settlement of the 2025 Notes,

Previous wording

As of March 31, 2025, our principal sources of liquidity were cash and cash equivalents of approximately $985.5 million and short-term investments of approximately $1.2 billion, exclusive of restricted cash, cash equivalents and investments of $1.6 billion, and a revolving credit facility in an aggregate principal amount of $420.0 million as described below. The portion of our cash and cash equivalents that is not invested is held at several large financial institutions and our investments are focused on the preservation of capital, fulfillment of our liquidity needs, and maximization of investment performance within the parameters set forth in our investment policy and subject to market conditions. The investment policy sets forth credit rating minimums, permissible allocations, and limits our exposure to specific investment types. We believe these policies mitigate our exposure to any risk concentrations.

Current wording

As of June 30, 2025, our principal sources of liquidity were cash and cash equivalents of approximately $913.8 million and short-term investments of approximately $878.3 million, exclusive of restricted cash and cash equivalents and restricted investments of $1.7 billion, and a revolving credit facility in an aggregate principal amount of $420.0 million as described below. The portion of our cash and cash equivalents that is not invested is held at several large financial institutions and our investments are focused on the preservation of capital, fulfillment of our liquidity needs, and maximization of investment performance within the parameters set forth in our investment policy and subject to market conditions. The investment policy sets forth credit rating minimums, permissible allocations, and limits our exposure to specific investment types. We believe these policies mitigate our exposure to any risk concentrations.

Previous wording

On November 3, 2022, we entered into a Revolving Credit Agreement with certain lenders which provides for a $420 million senior secured revolving credit facility (as amended to date, the “Revolving Credit Facility”) maturing on November 3, 2027 or February 13, 2025, if, as of February 13, 2025, our Liquidity (as defined in the Revolving Credit Agreement) minus the aggregate principal amount of the 2025 Notes outstanding on such date was less than $1.25 billion. Our Liquidity (minus the aggregate principal amount of the 2025 Notes outstanding) was not less than $1.25 billion as of February 13, 2025. As such, the Revolving Credit Facility did not mature on such date based on the terms of the Revolving Credit Agreement. We are obligated to pay interest on loans under the Revolving Credit Facility and other customary fees for a credit facility of this size and type, including an unused commitment fee. The interest rate for the Revolving Credit Facility is determined based on calculations using certain market rates as set forth in the Revolving Credit Agreement. In addition, the Revolving Credit Facility contains customary covenants, including restrictions on payments such as cash payments of dividends. The Revolving Credit Facility provides for borrowings up to the amount of the facility, with a sublimit of $168 million for the issuance of letters of credit. We entered into Amendment No. 1 to the Revolving Credit Agreement on December 12, 2023 and Amendment No. 2 on February 21, 2024 and such amendments amended the existing agreement to, among other things: (a) solely for the purposes of the financial covenant test, replace total leverage with total net leverage, which allows us to subtract the lesser of (i)(x) to the extent free cash flow for the most recently ended trailing four quarters is greater than $100.0 million, $300.0 million and (y) otherwise, $200.0 million and (ii) the amount of unrestricted cash and cash equivalents (as defined in the Amended Agreement) on our consolidated balance sheets as of the calculation date and (b) permit us to repurchase up to a specified amount of our common stock with the proceeds of a convertible note offering. The Revolving Credit Facility also contains certain customary events of default.

Current wording

On November 3, 2022, we entered into a Revolving Credit Agreement with certain lenders which provides for a $420 million senior secured revolving credit facility (as amended to date, the “Revolving Credit Facility”) maturing on November 3, 2027 or February 13, 2025, if, as of February 13, 2025, our Liquidity (as defined in the Revolving Credit Agreement) minus the aggregate principal amount of the 2025 Notes outstanding on such date was less than $1.25 billion. Our Liquidity (minus the aggregate principal amount of the 2025 Notes outstanding) was not less than $1.25 billion as of February 13, 2025. As such, the Revolving Credit Facility did not mature on such date based on the terms of the Revolving Credit Agreement. We are obligated to pay interest on loans under the Revolving Credit Facility and other customary fees for a credit facility of this size and type, including an unused commitment fee. The interest rate for the Revolving Credit Facility is determined based on calculations using certain market rates as set forth in the Revolving Credit Agreement. In addition, the Revolving Credit Facility contains customary covenants, including restrictions on payments such as cash payments of dividends. The Revolving Credit Facility provides for borrowings up to the amount of the facility, with a sublimit of $168 million for the issuance of letters of credit. We entered into Amendment No. 1 to the Revolving Credit Agreement on December 12, 2023 and Amendment No. 2 on February 21, 2024 and such amendments amended the existing agreement to, among other things: (a) solely for the purposes of the financial covenant test, replace total leverage with total net leverage, which allows us to subtract the lesser of (i)(x) to the extent free cash flow for the most recently ended trailing four quarters is greater than $100.0 million, $300.0 million and (y) otherwise, $200.0 million and (ii) the amount of unrestricted cash and cash equivalents (as defined in the Amended Agreement) on our condensed consolidated balance sheets as of the calculation date and (b) permit us to repurchase up to a specified amount of our common stock with the proceeds of a convertible note offering. The Revolving Credit Facility also contains certain customary events of default.

Previous wording

We collect the fare and related charges from riders on behalf of drivers at the time the ride is delivered using the rider’s authorized payment method, and we retain any fees owed to us before making the remaining disbursement to drivers. Accordingly, we maintain no accounts receivable from drivers. Our contracts with insurance providers require reinsurance premiums to be deposited into trust accounts with a third-party financial institution from which the insurance providers are reimbursed for claims payments. Our restricted reinsurance trust investments as of March 31, 2025 and December 31, 2024 were $1.4 billion.

Current wording

We collect the fare and related charges from riders on behalf of drivers at the time the ride is delivered using the rider’s authorized payment method, and we retain any fees owed to us before making the remaining disbursement to drivers. Accordingly, we maintain no accounts receivable from drivers. Our contracts with insurance providers require reinsurance premiums to be deposited into trust accounts with a third-party financial institution from which the insurance providers are reimbursed for claims payments. Our restricted reinsurance trust assets as of June 30, 2025 and December 31, 2024 were $1.7 billion and $1.5 billion, respectively.

Previous wording

We have $2.2 billion in unrestricted cash and cash equivalents and short-term investments as of March 31, 2025. We also have the ability to borrow an aggregate principal amount of up to $420.0 million under the Revolving Credit Facility, none of which has been drawn as of March 31, 2025, and $60.7 million in letters of credit were issued under the Revolving Credit Facility as of March 31, 2025. We believe that this provides sufficient liquidity to meet our working capital, inclusive of short-term commitments such as the current portion of our convertible senior notes which we plan to settle with cash in the second quarter of 2025, and capital expenditures needs for at least the next 12 months. We plan to continue to focus on and actively manage our cash balances and liquidity, capital expenditures, working capital and operating expenses. In particular, we continue to actively monitor the impact of the uncertain macroeconomic environment, including credit markets, inflation and interest rates and have made adjustments to our expenses and cash flow which include headcount reductions in recent years.

Current wording

We have $1.8 billion in unrestricted cash and cash equivalents and short-term investments as of June 30, 2025. We also have the ability to borrow an aggregate principal amount of up to $420.0 million under the Revolving Credit Facility, none of which has been drawn as of June 30, 2025. Our available credit under the Revolving Credit Facility is reduced by $60.7 million in letters of credit issued under the Revolving Credit Facility as of June 30, 2025. We believe that this provides sufficient liquidity to meet our working capital needs, inclusive of short-term commitments such as capital expenditures needs for at least the next 12 months. In the second quarter of 2025, we fully settled the outstanding $390.7 million aggregate principal amount of 2025 Notes in cash at maturity. On July 31, 2025, we completed the previously announced acquisition of

Previous wording

In February 2025, we announced that our board of directors had authorized a program for the repurchase of up to $500 million of our Class A common stock. As of March 31, 2025, $500.0 million remained available under the repurchase authorization. In May 2025, our board of directors authorized an increase to the share repurchase program of an additional $250 million of our Class A common stock, for a total overall authorization of up to $750 million. We intend to utilize $500 million of this authorization within the next twelve months, $200 million of which will be used within the next three months. We intend to enter into one or more Rule 10b5-1 trading plans to facilitate the repurchase of shares under the authorization. Repurchases may be made from time to time through open market purchases or through privately negotiated transactions subject to market conditions, applicable legal requirements and other relevant factors.

Current wording

In February 2025, we announced that our board of directors had authorized a program for the repurchase of up to $500.0 million of our Class A common stock. In May 2025, our board of directors authorized an increase to the share repurchase program of an additional $250.0 million of our Class A common stock, for a total overall authorization of up to $750.0 million, and we announced our intent to utilize $500.0 million of this authorization before the end of the second quarter of 2026. During the six months ended June 30, 2025, we repurchased an aggregate amount of $200.0 million of our Class A common stock under the program, excluding broker commissions and fees. As of June 30, 2025, $550.0 million remained available under the repurchase authorization. We have entered into, and from time to time expect to enter into, Rule 10b5-1 trading plans to facilitate the repurchase of shares under the authorization. Repurchases may be made from time to time through open market purchases or through privately negotiated transactions subject to market conditions, applicable legal requirements and other relevant factors. Refer to Note 10 "Common Stock" to the condensed consolidated financial statements for information regarding this program.

Previous wording

Our future capital requirements will depend on many factors, including, but not limited to our growth, the effectiveness of our efforts to align our expenses with our current operating needs and short-term commitments, our ability to attract and retain drivers and riders on our platform, the continuing market acceptance of our offerings, the timing and extent of spending to support our efforts to develop our platform, actual insurance payments for which we have made reserves, and the expansion of sales and marketing activities, as well as satisfaction of our obligations with respect to indebtedness. Further, we may in the future enter into arrangements to acquire or invest in businesses, products, services and technologies. For example, we intend to invest further in EVs in order to achieve compliance with the California Clean Miles Standard which sets the target that 90% of rideshare miles in California must be in EVs by the end of 2030; the Massachusetts’ Climate Bill; New York City's goal to get to 100% of rideshare rides in EVs or wheelchair accessible vehicles by 2030, and the City of Toronto’s push to bring the industry to 100% electric by 2030. From time to time, we have and we may in the future seek additional equity or debt financing to fund capital expenditures, strategic initiatives or investments and our ongoing operations, or to refinance our existing or future indebtedness. In the event that we decide, or are required, to seek additional financing from outside sources, we may not be able to raise it on terms acceptable to us or at all. The terms of any additional financings or refinancings may place limits on our financial and operating flexibility. If we raise additional funds through further issuances of equity or equity- linked securities, our existing stockholders could suffer dilution in their percentage ownership of us, and any new securities we issue could have rights, preferences and privileges senior to those of holders of our common stock. If we are unable to raise additional capital when desired, our business, financial condition and results of operations could be adversely affected.

Current wording

We plan to continue to focus on and actively manage our cash balances and liquidity, capital expenditures, working capital and operating expenses. In particular, we continue to actively monitor the impact of the uncertain macroeconomic environment, including credit markets, inflation and interest rates, and have made adjustments to our expenses and cash flow which include headcount reductions in recent years. Our future capital requirements will depend on many factors, including, but not limited to our growth, the effectiveness of our efforts to align our expenses with our current operating needs and short-term commitments, our ability to attract and retain drivers and riders on our platform, the continuing market acceptance of our offerings, the timing and extent of spending to support our efforts to develop our platform, actual insurance payments for which we have made reserves, and the expansion of sales and marketing activities, as well as satisfaction of our obligations with respect to indebtedness. Further, in the future, we may enter into arrangements to acquire or invest in businesses, products, services and technologies. From time to time, we have raised and we may in the future seek, additional equity or debt financing to fund capital expenditures, strategic initiatives or investments and our ongoing operations, or to refinance our existing or future indebtedness. In the event that we decide, or are required, to seek additional financing from outside sources, we may not be able to raise it on terms acceptable to us or at all. The terms of any additional financings or refinancings may place limits on our financial and operating flexibility. If we raise additional funds through further issuances of equity or equity-linked securities, our existing stockholders could suffer dilution in their percentage ownership of us, and any new securities we issue could have rights, preferences and privileges senior to those of holders of our common stock. If we are unable to raise additional capital when desired, our business, financial condition and results of operations could be adversely affected.