Expect to see even more Lime scooters and bikes zooming around major US cities.
Wayne Ting, Lime's CEO, told Business Insider on Tuesday that the company is focused on getting more of its vehicles on the roads where it already operates rather than making a big push to expand to more cities.
Ting made the comments on the same day that Lime reported quarterly earnings results for the first time. Revenue grew 24% to $304 million for the second quarter, and the company posted net income of $295 million, including the benefits of its IPO in July.
Shares of Lime rose about 2% in after-hours trading.
Getting riders to use Lime more frequently will be key to making the company consistently profitable, Ting said.
Lime operates in about 60 US cities. By adding more vehicles to its existing fleets, Ting said, Lime makes it easier for users to find a ride near them.
That's particularly important as Lime grows its paid subscription options, such as LimePass, which offers a discount on the company's usual per-minute rate if riders buy ahead of time.
"You're going to continue to see us invest in our existing markets to grow reliability," he said. "And, by growing reliability, we can also engage our riders more frequently."
Lime's monthly active users grew 22% during its second quarter, topping 5 million for the first time.
Ting said that Lime is "an AI-resilient business," because it sells real-world rides on scooters and bikes. "There's no amount of vibe-coding that is going to get you physical transportation," he said.
Even so, Lime is using AI in its operations, he said.
The company uses a machine-learning algorithm to determine where to position scooters and bikes in each city based on demand, Ting said. The tech allows the company to "optimize revenue or profits," he added.
There's also a benefit for riders, Ting said: They're more likely to find a scooter or bike nearby when they need one.
"Reliability is both the number of bikes and scooters you have, but it's also making sure they're at the right place at the right time," he said.
Do you have a story idea about Lime? Contact this reporter at [email protected] or via encrypted messaging app Signal at 808-854-4501. Use a personal email address, a nonwork WiFi network, and a nonwork device; here's our guide to sharing information securely.
Read next
Alex Bitter is a senior retail reporter covering the gig economy, food, and retail. His work focuses major gig delivery and ride-hailing apps, including Uber, Lyft, DoorDash, Instacart, and Walmart's Spark. He is interested in everything from what it's like to work on the apps to the companies' business strategies.Some of his recent stories feature gig workers who have been deactivated on the apps, DoorDash hiring traditional employees to make deliveries, gig workers' use of bots, and gig work expanding into new professions, such as nursing.Alex has also written about Aldi's US expansion, Starbucks' turnaround efforts, and the fallout from Kraft-Heinz's budget cutting. Convenience store chain Sheetz ended its "smile policy" after his reporting.Before joining Insider in September 2020, he wrote about consumer and retail companies for S&P Global Market Intelligence. He's a graduate of the University of Hawai'i at Mānoa and grew up on the Big Island.Alex lives in the Washington, DC, area, where you can find him studying ancient coins or searching for Civil War artifacts with his metal detector in his free time.Got a tip? Reach out at [email protected] or via encrypted messaging app Signal at +1 (808) 854-4501.
Follow Following
Every time publishes a story, you’ll get an alert straight to your inbox!
Look out for an alert in your inbox the next time publishes a story!
Every time a new story is published, you’ll get an alert straight to your inbox!
Look out for an alert in your inbox the next time a new story is published!
By clicking “Sign up”, you agree to receive emails from Business Insider. In addition, you accept Insider’s Terms of Service and Privacy Policy.
