Peer-to-peer car sharing company Get down It filed its first earnings report since going public a year ago Via SPAC group. The company’s third-quarter earnings report details a company that is seeing rapid revenue growth, but not enough yet to cover its expenses.
Getaround reported total bookings of $69 million in the third quarter, leading to revenue of $23.8 million for the period, up from $16.7 million in the same period last year. During the first nine months of 2023, Getaround’s revenue reached $54 million.
However, while Getaround’s 42% year-over-year revenue growth during the third quarter has been well received by investors who have sent its shares soaring 75% in after-hours trading as of writing, the company is not. After coming out of the forest.
Getaround had operating expenses of $42.9 million in the third quarter, and $128 million during the first three quarters of the year, both of which significantly exceeded its total profits in both periods. However, Getaround is making some progress on the profitability front. In the third quarter, the company lost $27.3 million on a net GAAP basis, 16% better than it reported in the third quarter of 2022. Using more generous earnings calculations, Getaround remained unprofitable in its most recent quarter, reporting adjusted earnings EBITDA of -$11.3 million. During the three-month period, albeit a 43% improvement over the same period last year.
For all of 2023, Getaround aims to achieve a gross booking value of $200 million to $205 million. The company did not share its revenue targets for the year, but third-quarter revenue reflects an annual run rate of more than $95 million. Getaround expects an adjusted EBITDA loss in the range of $68 million to $70 million in 2023.
Getaround ended the third quarter with $22.1 million in cash and cash equivalents. This number differs sharply from the $64.3 million in cash and equivalents it recorded at the end of the third quarter of 2022. The company got some good news in the form of a $3 million infusion from Mudrick Capital, which has an existing $15 million note with the company that has been expanded to give Getaround more breathing room.
Getaround stock closed regular trading Thursday at about $0.17 before it released third-quarter data.
rebuild
Getaround organizes your cost basis, including layoffs 10% of its employees in February to cut expenses by $25 million to $30 million annually in an effort to reach sustainability. The layoffs came one day after Getaround was released Notice of delisting from the New York Stock Exchange Because its stock price was trading very low.
Today, after its massive share price gains following its earnings report, Getaround’s value remains well below $1 per share, meaning it is still at risk of being delisted; Some SPAC combinations have taken place Reverse stock splits To boost the price per share back above the hundred cent mark.
Getaround has received other delisting notices for failing to timely file annual and quarterly reports. The company has not filed its 2022 annual report, and has just filed its third-quarter earnings report. Getaround has not yet announced its first- and second-quarter earnings. The company says it needed additional time to complete the audit, which is now complete.
“We believe the reasons we fell out of compliance, including complex public transactions, are now behind us,” Sam Zaid, CEO of Getaround, told TechCrunch. Zaid did not comment on whether Getaround would seek a reverse stock split to raise its stock price.
Car sharing company too It acquired the assets of the startup HyreCar in May, which in the short term added to Getaround’s operating cost basis. Getaround hopes the scale provided by the acquisition will help accelerate its path to profitability.
This article has been updated with more information from Getaround’s CEO.