Like many other scooter rental startups, Bird has struggled to become profitable, and the company’s future only looks more and more bleak, given recent evidence. In a report from Bird’s CFO, Ben Lu, addressed to the U.S. Securities and Exchange Commission, the company declares that previous revenue figures were inaccurate thanks to reporting irregularities. According to the report, Bird previously over-reported revenue figures by counting user wallet balances as revenue when it should not have.
The erroneous reporting includes at least 2020 and 2021, and the company said in the report that these previous financial reports are inaccurate and should not be relied on. While the company did state that they are in the process of correcting the inaccurate financial reports, it did not provide any timetable for the updates. The company did, however, identify the source of the false reports as poorly-designed internal controls regarding financial reporting (per SEC report), and has declared that it is in the process of designing and implementing internal controls to ensure accurate financial reporting.