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Lime scooters in Munich, Germany. Photo: AP

Lime’s Loss to Top $300 Million in 2019

Photo: Lime scooters in Munich, Germany. Photo: AP

Scooter rental operator Lime has touted itself as one of the fastest-growing startups ever, blanketing cities such as Berlin, Paris and Los Angeles with thousands of two-wheeled electric vehicles. But the firm is losing money nearly as quickly as it expands in part because the company’s vehicles tend to break down before they can generate much cash.

Lime’s operating loss is likely to surpass $300 million this year, on more than $420 million of gross revenue, according to financial projections viewed by The Information. This is the first detailed picture to emerge of Lime’s financial performance, but details of the previous year’s results couldn’t be learned.

The big loss in 2019 is largely due to significant expenses such as the depreciation of its scooters and how much it costs to run warehouses that repair and position the vehicles. The company has projected it would cut operating losses in half next year as the reliability of its scooters improves, while pushing gross revenue past $1 billion, according to the financial information.

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