MMM: Uber and Lyft Q1 2023 Earnings Results and Trends

Key Takeaways:

• Chegg shares fell ~50% last week after reporting sluggish growth in its 1Q23 subscription services revenue (-5% QoQ), inline with Sensor Tower IAP revenue for the Chegg mobile app (-2% QoQ). The company cited headwinds from students’ increased usage and reliance on ChatGPT

• Block’s 1Q23 earnings touted strong growth in Cash App’s Mar’23 monthly transacting actives, which increased 17% YoY (+4% vs Dec’22), inline with ST MAU growth for Cash App (+9% YoY, +7% vs Dec’22). ST data also indicates continued strength for Cash App into 2Q

• Uber and Lyft both beat street expectations on 1Q23 earnings, though Uber’s performance continued to be significantly stronger than its much-smaller rival. For more information on recent trends within the rideshare industry, please see our most recent report “Strong Spring Break Not Enough for Lyft to Catchup to Uber”

  • Uber’s MAPCs grew 13% YoY in 1Q23, inline with ST MAU estimates for the Uber app (+14% YoY); ST consumer intel data also saw an uptick in average time spent and session counts in 1Q23 for both Uber and Uber Driver

  • Lyft saw modest YoY growth in 1Q23 Active Riders (+10% YoY), inline with ST MAUs for the Lyft app (+14% YoY). However, 2Q23 guidance was lower than expected

• OTAs Booking.com and Expedia reported 1Q23 earnings this past week, with both demonstrating ongoing momentum in topline growth, driven by strength in reported room nights. For more information on recent trends in the travel sector, please see our report, “Jetsetting Continues in 2023, Though Pace Slows.”

  • Booking.com’s revenues jumped 40% and booking reported room nights up 38% YoY, corroborated by 43% growth in downloads YoY, per ST data

For more information, request the full report from reports@sensortower.com.