HYRE - HyreCar - Selloff On Delayed Profitability And Financing Issues At Key Strategic Partner

• Uneven gross margin performance continues due to increased operating expenses and escalating customer claims. Profitability likely being delayed into FY2023 at the earliest point.
• Key strategic partnership ramping up slower than expected due to financing constraints at AmeriDrive.
• The issue is forcing HyreCar to abandon its capital-light business model in order to provide financial support to AmeriDrive.
• On the conference call, management reiterated aggressive growth targets and hinted to an upcoming strategic partnership with either Lyft or Uber.
• Speculative investors willing to bet on a near-term announcement of the strategic partnership with Lyft or Uber might consider a trading position but long-term investors should wait for the company to successfully address current issues.

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