(Reuters) -Lyft ( LYFT ) missed second-quarter revenue estimates on Wednesday, weighed down by intensifying competition with Uber ( UBER ) and weakening U.S. travel demand, sending its shares down about 9% in trading after the bell.
Larger rival Uber Technologies ( UBER ), which offers ride-hailing, food and grocery delivery business globally, issued an upbeat forecast for the third-quarter earlier in the day, thanks to its efforts to boost engagement across its unified platform.
Lyft's ( LYFT ) revenue of $1.59 billion in the second quarter missed estimates of $1.61 billion, according to data compiled by LSEG.
The company recently completed its nearly $200 million acquisition of European mobility platform FreeNow and has signed a deal with China's Baidu ( BIDU ) to introduce the search engine giant's robotaxis in the region.
Lyft ( LYFT ) on Wednesday also announced a partnership, set to launch later this year, with United Airlines that will allow the carrier's customers to earn rewards on all Lyft ( LYFT ) rides.
With partnerships including DoorDash and Chase already in place, Lyft's ( LYFT ) entry into Europe positions the company to extend such collaborations into international markets.
Lyft ( LYFT ) said it expects gross bookings to be between $4.65 billion and $4.80 billion for the third quarter, well above estimates of $4.59 billion.
With growth stagnating in major U.S. metros, ride-hailing companies are shifting their focus to medium and smaller car-dependent cities to tap into new markets and drive revenue.
Lyft ( LYFT ) recorded an adjusted core earnings of $129.4 million in the second quarter, above the average estimate of $124.5 million.
It forecast current-quarter core earnings of $125 million to $145 million, largely in line with Wall Street estimates.
(Reporting by Akash Sriram in Bengaluru; Editing by Sriraj Kalluvila)