DoorDash achieves first quarterly profit – stock price slightly down despite top figures

DoorDash achieved its very first profitable result as a publicly traded company in the third quarter of 2024, surpassing revenue forecasts. Despite this positive news, the company's shares fell by 1 percent in after-hours trading. The delivery service giant reported an adjusted earnings per share of $0.38, significantly beating analyst estimates of $0.20. Revenues increased by 25 percent year-over-year to $2.71 billion, exceeding the consensus forecast of $2.66 billion. A significant milestone was the positive GAAP net income of $162 million, compared to a net loss of $73 million in the same quarter the previous year. This represents the first profitable quarter for DoorDash since going public. Total orders increased by 18 percent to 643 million, while the marketplace gross order value (GOV) grew by 19 percent to $20 billion. The company's net revenue margin improved to 13.5 percent compared to 12.9 percent in the third quarter of 2023. Tony Xu, CEO of DoorDash, expressed pride in the team's achievements and progress: "We focus on meeting consumer expectations and developing services that delight them, ensuring they continue to choose our marketplaces and order more with us." Adjusted EBITDA reached a new record of $533 million, an increase of 55 percent compared to $344 million in the same quarter the previous year. As a percentage of marketplace GOV, adjusted EBITDA improved to 2.7 percent from 2.1 percent a year ago. For the fourth quarter, DoorDash expects a marketplace GOV between $20.6 and $21.0 billion and an adjusted EBITDA in the range of $525 to $575 million.