How did the Montgomery bus company lose money?

The Montgomery bus company lost money due to the Montgomery Bus Boycott, which began in December 1955 after Rosa Parks' arrest. During the boycott, a large number of African Americans in Montgomery refused to use the buses, leading to a significant drop in ridership and revenue. The prolonged nature of the boycott, lasting over a year, severely impacted the company's finances, ultimately forcing it to reconsider its segregation policies.