Lyft, Inc. (LYFT) saw its shares surge 7.38% in pre-market trading on Friday, following the release of its impressive first-quarter 2025 financial results and an announcement of an expanded share repurchase program. The ride-hailing company's performance exceeded expectations, signaling continued growth and improved profitability.

For the first quarter, Lyft reported a revenue of $1.45 billion, representing a 14% increase year-over-year. While this figure slightly missed analysts' expectations of $1.47 billion, the company's adjusted EBITDA of $106.5 million surpassed estimates of $92.4 million. Notably, Lyft achieved a net income of $2.6 million, marking a significant improvement from a net loss in the same period last year.

In a move that further bolstered investor confidence, Lyft announced an increase in its share repurchase program to $750 million, with plans to deploy $500 million within the next 12 months. The company also provided an optimistic outlook for Q2 2025, forecasting gross bookings between $4.41 billion and $4.57 billion, and projecting ride growth in the mid-teens percentage range year-over-year. Lyft's expansion strategy into smaller, car-dependent markets appears to be paying off, with cities like Indianapolis seeing a 37% growth in rides during Q1. These factors combined have contributed to the strong pre-market rally in Lyft's stock price, as investors respond positively to the company's growth trajectory and strategic initiatives.