Coronavirus and almost 100 deaths. This as lyft, pelaton, grub hub and tmobile report quarterly results. Its a mixed bag. I want to bring in taylor who has been covering the markets today. Walk us through the resiliency of tech in general. You saw the s p and the dow down. But again the nasdaq rising. Unbelievable. I think a lot of the earnings have come in much better than expected. Youre getting the sense that the tech sector here is sort of a defensive sector in this new environment. Its also another day that ive been tracking chinese tech stocks rel toive u. S. Tech stocks. They also relative to u. S. Tech stocks. They also are overperforming. A lot of growth and ot mitchell overseas filtering in through. The s p tech index is positive for the year, as crazy as that sounds. It is the only index in the s p. Now the only sector thats positive for the year. Youre really getting a sense that now big tech is the leadership in this environment. And weve got some quarantine favorites reporting results. Pellaton crushing their earnings results. Rub hub not so much. Lets start with the peloton story. Far and away surpassing revenue. And adding tons of new subscribers. A stock thats a winner in this environment when were all stuck at home, its peloton. They came out and said they just crushed their Third Quarter revenue. Now at 525 million. Beating expectations. This is also a company that are he petedly said during the i. P. O. Recently said in the i. P. O. It would not be profitable. Today it looks like covid19 has really fundamentally changed their income statement. Theyre now seeing an adjusted, even a profit for the year. Theyre boosting their revenue guidance. Again, theyre looking at an adjustment gain of 30 million to 40 million versus of a loss of 100 million. Connected fitness subscribers are up 94 year over year. 886,000 connected subscribers. I continue to be impressed by this company said that said they werent focused on turning a profit and now suddenly theyve changed their tune. Grubhub, a little bit of a company that might be less relevant to our audience. So ill just mention something briefly here. A company that boo bep benefit from this work at home environment. First quarter slightly ahead of where it was estimated. And also seeing they could turn an adjustmented profit here of about 5 million for the year. So starting to get these Companies Come out with forecasts for the year that could be more positive perhaps than originally expected. Now, lyft actually spiking, double digits after hours. Lyft reporting revenue that was lower but also a loss that wasnt as bad as they themselves had forecasted. This despite ridership diving. Lyft is still growing year on year. But certainly not growing as fast as it was. In this quarter, the current bu. Where we wills see the impact of the pandemic. 15 ,r with the stock up you are seeing issuance that ridership is growing this quarter and narrowing the loss on the bottom line. Uber and lyft had goals to be profitable, so they are responded to that and going after aggressive costcutting is ridership continues to drop. The street was looking at a loss of more than 200 million. Interesting here as we take a look at uber. Analysts thought lyft would be saidr off whereas uber they were already starting to see revenue declines as early as january. Could bet that lyft somewhat isolated given the big losses. One partner said he has been doing surveys in the ridership has not even bottomed yet. Perhaps there is more still yet to come. Emily its interesting that we are going into a delayed economic fallout. Thank you so much for breaking it down with us. I want to bring in an analyst. Lyft shares are spiking after hours. They just laid off 17 of the workforce and certainly ridership has been crushed. Why are investors so excited . At this point, investors think the worst might be baked into the stock. They were results pretty phenomenal on a relative basis, and looking at how they were performing right before the reallyc hit, it was were unable toy achieve profitability sooner than most anticipated. When we started looking at the numbers down here in april, it looked like it bottomed in mid april. Rides are down 70 yearoveryear. Now is what kind of recovery are we going to get . This tends to be more bullish than most out there not expect to see some significant cash in q2. Announcing is layoffs of 14 of its workforce. , it sounded like there was more to come there. How do you compare their resiliency tube or given that uber is a much Larger Company but also much more exposed . When we kind of look at First Quarter results, i would expect moreresults to show a lot than what we saw in q1. Is muchng said, uber better position because of that scale and diversification across different markets as well as the fact they have a lot more they could cut out of the business in time to improve on the margins side of things. At the end of the day, when you look at these type of downturn in the market, typically, market share leaders come out much better positioned than others, and because of that, we think uber has capitalized admin taking shares at this time. Lets talk about this problem both companies are facing. California sued lyft and uber this week for not complying with a law that states that even contractors are entitled to tain benefits this is an been sort of a dark cloud looming over both of these companies. Have big of a deal is it . We think it is a huge deal. This has been a dark cloud that hangs over companies for a long time. Of they haved ignored a lot of what was coming from the government and they may have to pay the price on this. But whether or not this is actually obtained, we will wait this is definitely a dark cloud and something that needs to be addressed. Uber andts talk about them being more exposed. They are planning another investment in another Scooter Company that is struggling. Should they be placing these kind of bets right now when they are in the middle of so much ertainty as to mark uncertainty . I actually think this is a great asset for them on their. But if you look at the balance , they also have access to capital markets. And we see very little risk of this company having longterm issues, to be honest with you. , this is a great time to start making some bets. Numbers onee great. His side of things when all is said and done, the diversification of this company will really show and allow this company to navigate the storm very well. So we have no issues on those types of moves in all. Those lyft shares are still rising. Thank you so much. We will be covering earnings later this week as well. We will also dig into peloton thetmobile later this hour new coo of tmobile will be joining us that is coming up, this is bloomberg. Emily peloton shares are spiking after reporting revenue up. 64 subscribers jumping amid the pendant pandemic. Thanks for joining us. This is a sector you know a bit about. You actually run a company that combines agile equipment with digital coaching. What is your take on the outlook yes, these aret unprecedented times and nobody knows exactly what the new normal will be and what new behaviors will stick . Myx fitness, everybody says my fitness, but it is myx fitness. What we saw was just the tip of the iceberg. Grow is a lot of room to not just for peloton but players like ourselves. 2018, one in five americans belonged to a gym. At subscription numbers that peloton is projecting up to about one million, it is just scratching the surface. The trend is only going to speed up now, it is accelerating. That trend appeals to people who did perhaps not want to go to a gym. It is perhaps a lot larger than people were looking. Emily this is anecdotal, but we had some people saying they were buying pellets on bikes but will return them at they come out of this. Worst of all, could that be a big risk factor here . Or do you think people will be so hooked that they decide to. Eep it to create good habits but people are going to enjoy that. I see minimal risk of people returning their products, especially a product that has provided access to great coaching and expertise in the home. So again, i dont see that as reasonsk part of the pellets on increased marketing spend is the virus settled in, numbers show they were up millions of the quarter. Its because of the lifetime value of the consumer in the category. We are seeing the engagement is high. Leaning in on the marketing makes a lot of sense for them. Emily what does this mean for physical james . Gyms . We are in a Health Crisis. Industry part of the just get partially obliterated as a result of this . I think it does. I dont know if it is of litter if it is obliterated but definitely a falling out of consumers of businesses that were not able to meet the needs of consumers in a digital marketplace. It was probably going to happen over the next two years but you will see it shake out much more quickly now. Elsewhere. En it these gyms might have to consolidate some of their overhead and bring in order murder space. Mortar space. Emily i am probably more fit than ever because staying at home has given me time to actually work out using the peloton app. Opening kind of i eyeopening. How are you evolving to keep up with these new discoveries . We were already part of this trend that was happening, but when we launched earlier this year, we immediately had a very positive response to the way we had developed the product and offering. A shortcut way to describe it would be if it was brought into your home, cardio and crosstraining. Connection it with a with the coaches and one element of positive coaching that we have weaved into the workouts to help make this lasting change. Bigger than the andetitive set marketplace the feedback we have gotten was initially very positive. Now with what is happening in positioning is slightly more nurturing and our adjustment market has grown. Peloton is doing a great job but i have had a number of people reach out and say there is something about the marketing 2020seems so february versus what they are doing. Emily great to have your perspective, thanks so much for joining us. Up, sales surgeon in the covid era. We talk to them about whats behind the numbers, next. Emily gm reported better than expected results boosted by a 27 surgeon pickup truck sales. Spoke to their ceo earlier sales. N pickup truck david weston spoke to their cfo about these results. We are well positioned on car lines and you know we came out of the strike last year. We have had lower cleaner inventories, and frankly, its just good to be helpful in a scenario where this locally. And from a pickup perspective, we find the situation where we and haver inventories become very experienced managing the constraints we are seeing in the product and how to dig deep says we thinkales about plans to return to work, it should help us address a shortfall from an inventory standpoint. Announced it had taken money from some revolving credit line. Amassing Something Like 33 billion in audio an auto liquidity looking forward, what tells you youre going to need that money . Said we wantways to run a very strong investmentgrade Balance Sheet. That has come in handy during ,hese times and as you quoted we ended the quarter with a strong liquidity position. But its difficult to anticipate what will happen. Steps tore taking protect ourselves whether it is austerity, or like you mentioned , a revolver spending and chair as apurchases precautionary measure to make sure we have additional letters of liquidity. We are comfortable with our position now theyll take us into q4. Obviously, when we have a restart, our liquidity levels i would say these are precautionary and proactive actions to make sure we have additional liquidity buffers in place. What we are focused on now is safely restarting the plans and getting production up and running. This comes along at a time when the industry is undergoing a transformation. Are you changing your Investment Plan on that . Do you have to put that to the side while you deal with the pandemic . Absolutely not. We are marching ahead in our plans and are committed to an allelectric future. All of the plans we have , we feel little to no. Mpact on any of these the capital actions will not impact the programs that you just outlined. The Balance Sheet you have been maintaining in Financial Flexibility allows ing even in this challenging time. The increased pace of new vehicles, is that going to slow down . We are committed to putting out products that our customers are excited about and that is not going to change. We do put the customer at the center of everything we do and you can see that continuing in the product cadence that will come along. Emily gm cfo with our own david weston. Coming up, there has been a big debate in Silicon Valley on who should be taking ppe loans from the government and who should not. We talked to one recipient coming up. This is bloomberg. Emily welcome back to bloomberg technology. The Trump Administration has extended the deadline for companies to return their money from the paycheck protection 14. Ram or ppp, to may there has been some controversy about whether that money has reached businesses that needed most. Joining us from work, phil libin. He is also the former ceo of evernote. Always good to have you here on the show. Talk to us about the process. How much money did you receive . What was the process like . Why did you feel like you needed it . Phil nice to be with you. Hurriedess was kind of and uncoordinated like Everything Else at the last minute, but it worked out. We were able to get the funding. We got about 830,000 from it. It worked well. We are using it for exactly the purpose it was intended. Im trying hard to not lay anyone off. I announced at the beginning of the crisis i am optimizing for not having to furlough anyone. This definitely lets us do that. I feel pretty good about it. It was chaotic emily because of this money, you will not have to do layoffs or furlough anyone . Phil that depends very much on how long the crisis continues. We think we are in deep any decent shape. We would have had to without it. With it, we do not. If this goes on a couple of years, maybe not. At least now, we are in decent shape. Emily there has been a lot of debate on who has received this funding. Shake shack for example returned their ppp money. Venturealked to capitalists who said that venture startups should not applying for this money because they obviously have sources of funding elsewhere. You have been a venture capitalist. I am sure you have some thoughts on this. Why do you think a company like all turtles should have this money rather than a laundromat or a restaurant that might not cap siliconlity to valley cash . Phil hopefully it is not us versus somebody else. It is not that complicated. The program was put in place for specific reasons. It is meant for companies that do not have ready access to other capital so they can keep people on payroll. If you meet those two criteria, there is not a ready source of u source of capital and you needed to keep from lynn peeples off from laying people off, then it makes sense. We are all expecting that by the time we come out of the pandemic crisis, there will be this wave of innovation in the new world should be better than the old world. That is going to take a lot of innovation. That innovation is going to come from startups. If startups are excluded, what that is going to do is it is going to force people who would work at startups to have to go in try to get jobs at bigger companies. That is going to result in a worse world. I am sure there are plenty of companies who got it who should not have got it. If you are using it to pay peoples salaries and you would have had to lay people off before, that is what it is intended for. Emily all right. All turtles builds ai products. What does the pandemic and the titanic hit to the economy mean for your company and what you are developing . Struck overreally the past few weeks of being in i recognized the repeated repetition of how nonessential i was. I think me and most of the people i know are by definition, nonessential to the crisis. That felt weird. I guess i have nonessential. Im used too thinking of myself as vaguely important. It came as a surprise. Of decided to do what that by saying, we are not a central to the immediate we are not essential to the immediate dealing of the crisis, how do we become essential to gluing the world back together . How do we ensure everything we are working on is going to be the new essential . For helping things to come back and making sure the post covid world is better than the precovid world. All of the projects we are working on, even before this, our projects were about the future of health. We are all in on that. Everything we are working on is something i believe makes the recovery better and makes the world better. Ofm trying to get as many the companies and founders in my network and my portfolio to think along similar lines. Emily having rocket evernote, i am sure you have thought a lot about productivity and how this changes how we work and the return to work. What does that look like as we come out of this not knowing how long it is going to take before we do . Phil that has been really fascinating. I am living and working completely online as a lot of people are. For me, for the kinds of work we do, that has been pretty productive, which is surprising to me. To have the kind of we are lucky to have the kind of work you can do remotely. I Just Announced to the company we are not coming back to the office until september at the earliest. We wanted to give our employees some certainty. If they wanted to make plans for where to spend the next couple of months, we wanted them to know they are not going to get called back in in a few weeks. We are going to see after that. Then it is a fair question. What we want to do over the next couple of months when things are opening back up but the pandemic is still a worry . What to we went to do 18 months from now what do we want to do 18 months from now . How do we want to act . We are figuring that out. We are surveying our employees. We are working on a couple of products that are meant for making remote work more productive. It is giving me a bunch of ideas. Hopefully, we will come out of this the goal is to come out a better world than we were when we went into it. We want to play at least a small part of that. Emily will be watching for those products. , ceo of all turtles. Thank you for sharing your thoughts. Coming up, see coming up, tmobiles new ceo, michael sievert. We will have the interview coming up. This is bloomberg. Emily it is an earnings first for tmobile. First, results amidst a pandemic. First results since the 26. 5 billion dollar takeover of sprint. First results since former Ceo John Legere stepped down. Joi