Lyft confirms layoffs to 13% of its staff, second spherical of layoffs since July

Lyft (NASDAQ:LYFT) stated on Thursday that it will lay off 13% of its workforce briefly order, the ride-sharing agency’s second spherical of layoffs since July.

In an 8-Ok submitting confirming the discount, Lyft (LYFT) stated 683 staff could be let go and it will incur restructuring prices between $27M and $32M associated to the layoffs. The prices are anticipated to be incurred within the fourth-quarter.

As well as, Lyft (LYFT) confirmed there have been no adjustments to beforehand issued steering. Lyft (LYFT) is slated to report third-quarter outcomes on November 7.

The Wall Road Journal initially reported the information.

Lyft (LYFT) didn’t instantly reply to a request for remark from Searching for Alpha.

In July, Lyft (LYFT) laid off roughly 60 staff and started to reorganize its international operations and shutter some areas. The corporate additionally stopped renting automobiles to rider, as a substitute working with current automotive rental corporations.

Lyft (LYFT) shares fell 0.5% in mid-day buying and selling, whereas competitor Uber Applied sciences (NYSE:UBER), which not too long ago reported third-quarter outcomes, rose fractionally.

In October, funding agency RBC downgraded Lyft (LYFT), noting it had issues over “structural headwinds” that face the corporate and the difficulty that Uber (UBER) could have a aggressive benefit.