About this content About Josh Lamb After graduating from the University of Kent in the summer of 2022 with a degree in History, Josh joined Proactive later that year as a journalist in the UK editorial team. Josh has reported on a range of areas whilst at Proactive, including energy companies during a time of global crisis, aviation and airlines as the sector recovers from the pandemic, as well as covering economic, social and governance issues. Read more About the publisher Proactive financial news and onl ...

DoorDash (DASH) reported earnings of 38 cents per share in third-quarter 2024 in contrast to the year-ago quarter’s loss of 19 cents. The figure beat the Zacks Consensus Estimate by 80.95%.Find the latest EPS estimates and surprises on Zacks Earnings Calendar.Revenues increased 25% year over year to $2.16 billion and surpassed the consensus mark by 1.59%. The upside was driven by strong performance in total orders and Marketplace Gross Order Value (GOV), alongside enhanced logistics efficiency and an increa ...

Financial Data and Key Metrics - The company reported a 19% growth in GOV (Gross Order Value) for Q3 2024, driven by strong performance in both core restaurant and other categories like grocery [41][43] - The international business continues to grow substantially faster than peers, gaining market share in virtually all markets it operates in [12][13] - The company achieved a record number of DashPass subscribers, surpassing 18 million in Q3 2024 [63] Business Line Performance - The restaurant business has shown stable growth, while grocery and new verticals are growing much faster, gaining share in grocery and international markets [44] - DashMart, the company's quick commerce service, has made significant progress, achieving national service status and forming partnerships with retailers like Loblaws [54][56] - The advertising business continues to grow at high rates, driven by the scale of the marketplace and improvements in consumer conversion rates [71][72] Market Performance - The company is gaining share in virtually every international market it operates in, with strong progress in both top-line and bottom-line performance [8][9] - In the U.S., the company is the first choice for new customers entering the grocery delivery market, with increasing retention and order frequency across cohorts [18][19] - The company is also seeing strength in suburban markets, with new cohorts coming from these areas due to increased selection and new categories like grocery [23][24] Strategic Direction and Industry Competition - The company's strategy focuses on building the best product to achieve high retention and order frequency, which is key to efficient growth and market leadership [80][81] - Partnerships, such as the recent one with Lyft, are part of the company's strategy to enhance the DashPass program and drive engagement [28][29] - The company is investing in autonomous delivery technology, recognizing the unique challenges of item delivery compared to ride-hailing [66][67] Management Commentary on Operating Environment and Future Outlook - Management is optimistic about the long-term potential of the grocery delivery market, noting that customers tend to order more items with each subsequent visit [19][20] - The company is focused on improving product selection, pricing, and delivery quality to drive higher retention and frequency, which will compound growth over time [82][83] - Management expects revenue growth to continue outpacing GOV growth, driven by advertising and efficiency improvements, but notes that investment opportunities will be flexibly managed [36][37] Other Important Information - The company has made significant progress in reducing regulatory costs and improving logistics efficiency, contributing to gross margin improvements [48][49] - The company is exploring opportunities in autonomous delivery, with a focus on solving the unique challenges of item delivery, particularly the last 10 feet of the delivery process [66][67] - The company is also seeing strong interest from CPG advertisers, driven by its growth in grocery and the combined view it offers across multiple categories [76][77] Q&A Summary Question: International Contribution Margins and Fixed Cost Leverage - The company is seeing similar progress in international markets as it did in the U.S., with improvements in contribution margins as cohorts mature [8][9] - Fixed cost leverage is achievable as the company uses the same tech stack and team across markets, despite the hyper-local nature of delivery [10][11] Question: Grocery Market Trends and Cohort Demographics - The company is seeing increasing basket sizes and wallet share in grocery as customers become more accustomed to ordering on the platform [19][20] - New cohorts are coming from suburban markets, with some starting their journey with grocery as their first order, indicating a shift in consumer behavior [23][24] Question: Partnership Strategy - The company's partnership strategy focuses on enhancing the DashPass program, with recent partnerships including Lyft and MAX [28][29] - The company believes that partnerships can drive engagement and new members, but the primary focus remains on building the best product [31][32] Question: Take Rate and Price Parity in Grocery - The company's take rate is driven by advertising and efficiency improvements, with revenue growth outpacing GOV growth [36][37] - The company is working towards achieving price parity in grocery, focusing on getting customers exactly what they ordered at competitive prices [38][39] Question: GOV Growth and AOV Trends - The 19% GOV growth in Q3 2024 was driven by strong performance in both restaurant and grocery categories, with AOV trends slightly up due to product mix [41][43] Question: Gross Profit Margin and M&A Strategy - The company's gross profit margin outperformance was driven by advertising, regulatory cost reductions, and logistics efficiency [48][49] - The company's M&A strategy focuses on opportunities that expand its TAM, accelerate growth, and achieve long-term cash flows, as seen with the acquisition of Tazz in Europe [50][51] Question: DashMart and Quick Commerce Profitability - DashMart has made significant progress, achieving national service status and forming partnerships with retailers [54][56] - The company sees potential in quick commerce, particularly in partnership with retailers, and is exploring opportunities in both North America and Europe [56][57] Question: Autonomous Delivery and Ads Trends - The company is investing in autonomous delivery technology, recognizing the unique challenges of item delivery compared to ride-hailing [66][67] - The ads business continues to grow, driven by the scale of the marketplace and improvements in consumer conversion rates [71][72] Question: CPG Advertising and Grocery Competition - CPG advertisers are increasingly interested in the company's platform due to its growth in grocery and combined view across categories [76][77] - The company's competitive advantage in grocery lies in its product execution, which drives high retention and order frequency, allowing it to grow efficiently [80][81] Question: Sales and Marketing Leverage and Grocery Basket Size - The company has achieved significant leverage in sales and marketing, driven by product improvements and Dasher retention [88][89] - The company does not need large baskets to make the grocery business financially sustainable, as it has a low-cost structure and is seeing increasing basket sizes with each subsequent order [91][93]

DoorDash, Inc. (DASH) came out with quarterly earnings of $0.38 per share, beating the Zacks Consensus Estimate of $0.21 per share. This compares to loss of $0.19 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of 80.95%. A quarter ago, it was expected that this company would post a loss of $0.10 per share when it actually produced a loss of $0.38, delivering a surprise of -280%. Over the last four quarters, the company has surp ...

Revenue Growth - Revenue grew to $2.706 billion in Q3 2024, up 25% year-over-year[99] - Revenue increased by $542 million (25%) in Q3 2024 compared to Q3 2023, driven by a 19% increase in Marketplace GOV and higher advertising revenue[116] - Revenue increased by $1.5 billion (24%) in the first nine months of 2024 compared to the same period in 2023, primarily due to a 20% increase in Marketplace GOV[117] - Revenue for the three months ended September 2024 increased to $2.706 billion, up from $2.164 billion in the same period in 2023, representing a 25% growth[161] Marketplace Performance - Total Orders increased to 643 million in Q3 2024, representing 18% year-over-year growth[101] - Marketplace GOV reached $20.0 billion in Q3 2024, a 19% increase compared to the same quarter in 2023[102] Profitability Metrics - Net Revenue Margin improved to 13.5% in Q3 2024, up from 12.9% in Q3 2023[103] - Contribution Profit increased to $930 million in Q3 2024, compared to $640 million in Q3 2023[105] - Adjusted EBITDA rose to $533 million in Q3 2024, up from $344 million in Q3 2023[107] - GAAP net income attributable to DoorDash common stockholders was $162 million in Q3 2024, compared to a loss of $73 million in Q3 2023[99] - Contribution profit for the three months ended September 2024 reached $930 million, up from $640 million in 2023, with a contribution margin increase from 29.6% to 34.4%[161] - Adjusted EBITDA for the three months ended September 2024 increased to $533 million, up from $344 million in 2023[168] Cost and Expense Analysis - Cost of revenue increased to $1.374 billion in Q3 2024, up from $1.156 billion in Q3 2023[109] - Research and development expenses grew to $289 million in Q3 2024, compared to $250 million in Q3 2023[109] - Cost of revenue increased by $218 million (19%) in Q3 2024, driven by a $157 million increase in order management costs and a $35 million increase in platform costs[120] - Cost of revenue increased by $729 million (22%) in the first nine months of 2024, primarily due to a $609 million increase in order management costs[121] - Sales and marketing expenses increased by $34 million (8%) in Q3 2024, driven by a $20 million increase in personnel-related compensation and a $12 million increase in advertising expenses[123] - Research and development expenses increased by $39 million (16%) in Q3 2024, primarily due to a $40 million increase in personnel-related compensation and allocated overhead[126] - General and administrative expenses increased by $26 million (9%) in Q3 2024, driven by a $17 million increase in sales and indirect taxes and a $13 million increase in personnel-related compensation[129] - Depreciation and amortization expenses increased by $10 million (8%) in Q3 2024, primarily due to a $12 million increase in amortization expense related to capitalized software and website development costs[133] - Adjusted cost of revenue for Q3 2024 was $1,329 million, up from $1,111 million in Q3 2023, after excluding stock-based compensation and allocated overhead[152] - Adjusted sales and marketing expense for Q3 2024 was $447 million, compared to $413 million in Q3 2023, after excluding stock-based compensation and allocated overhead[154] - Adjusted research and development expense for Q3 2024 was $156 million, up from $126 million in Q3 2023, after excluding stock-based compensation and allocated overhead[156] - Adjusted general and administrative expense for Q3 2024 was $241 million, compared to $170 million in Q3 2023, after excluding stock-based compensation, legal expenses, and allocated overhead[158] Cash Flow and Liquidity - Free Cash Flow reached $444 million in Q3 2024, up from $324 million in Q3 2023[108] - Free cash flow for the nine months ended September 2024 was $1.382 billion, compared to $951 million in the same period in 2023[171] - The company had $5.8 billion in cash, cash equivalents, and marketable securities as of September 30, 2024[173] - Net cash provided by operating activities increased to $1.614 billion in the first nine months of 2024, up from $1.188 billion in the same period in 2023[177] - Cash used in investing activities rose to $281 million in the first nine months of 2024, compared to $223 million in the same period in 2023[177] - Cash used in financing activities decreased significantly to $211 million in the first nine months of 2024, down from $702 million in the same period in 2023[177] - Cash provided by operating activities in 2024 included $828 million in non-cash stock-based compensation expense and $420 million in non-cash depreciation and amortization expense[178] - Cash provided by operating activities in 2023 included $819 million in non-cash stock-based compensation expense and $379 million in non-cash depreciation and amortization expense[179] - Investing activities in 2024 included $1.5 billion in purchases of marketable securities and $1.5 billion in proceeds from maturities and sales of marketable securities[180] - Financing activities in 2024 included $224 million in repurchases of Class A common stock, partially offset by $7 million from exercise of stock options[182] Financial Position and Capital Structure - The company's accumulated deficit as of September 30, 2024, was $5.4 billion[174] - The company authorized a share repurchase program of up to $1.1 billion in February 2024, with $876 million remaining available as of September 30, 2024[175] - The company's revolving credit facility provides for an $800 million unsecured revolving credit facility maturing on April 26, 2029[172] - The company's non-marketable equity investments had an aggregate carrying value of $40 million as of September 30, 2024[189] Interest and Tax Impact - Interest income, net increased by $14 million (35%) in Q3 2024, driven by higher average interest rates on marketable securities[137] - Other expense, net increased by $5 million (500%) in Q3 2024, though it was not material in the periods presented[139] - The benefit from income taxes for Q3 2024 was $6 million, primarily driven by losses in non-U.S. jurisdictions, compared to a provision of $6 million in Q3 2023 due to positive pre-tax book income in the U.S.[144] - For the first nine months of 2024, the provision for income taxes was $2 million, driven by foreign tax expense offset by tax benefits from 2023 losses in non-U.S. jurisdictions, compared to $14 million in the same period of 2023 due to U.S. pre-tax book income[145] Risk and Sensitivity Analysis - A hypothetical 100 basis point increase in interest rates would not have materially affected the company's financial statements as of September 30, 2024[187] - The company estimated that a 10% change in exchange rates against the U.S. dollar would not result in a material gain or loss based on foreign currency exposures as of September 30, 2024[191] Gross Profit and Margin Analysis - Gross profit for the three months ended September 2024 rose to $1.283 billion, compared to $962 million in 2023, with a gross margin improvement from 44.5% to 47.4%[161] - Adjusted gross profit for the three months ended September 2024 was $1.377 billion, compared to $1.053 billion in 2023, with an adjusted gross margin improvement from 48.7% to 50.9%[163]

Three Months Ended Exhibit 99.1 DoorDash Releases Third Quarter 2024 Financial Results October 30, 2024 SAN FRANCISCO—(BUSINESS WIRE)—DoorDash, Inc. (NASDAQ: DASH) today announced its financial results for the quarter ended September 30, 2024. In Q3 2024, we continued to drive strong growth in Total Orders, Marketplace GOV, and revenue, while generating positive GAAP net income for the first time as a public company. Our goal is to build a large and durable business that helps local merchants succeed and ex ...

DoorDash (DASH) is set to release its third-quarter 2024 results on Oct. 30. For the third quarter the Zacks Consensus Estimate for earnings is pegged at 21 cents per share, increased by a penny in the past 30 days. DASH reported a loss of 19 cents per share in the year-ago quarter. Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar. The Zacks Consensus Estimate for revenues is currently pegged at $2.66 billion, suggesting a 23.06% increase year over year. The company's earnings surpas ...

Some investors are weary of buying into stocks when the S&P 500 index is trading near its all-time high and has also made new highs recently, but that doesn't mean all stocks are overpriced or not worth considering. Today's list of stocks will offer investors a chance to align their portfolios with the current scenarios playing out in the economy, or at least the expectations for the coming quarters. These stocks will benefit from the potential of rising inflation in the United States economy. Most thought ...

Wall Street expects a year-over-year increase in earnings on higher revenues when DoorDash, Inc. (DASH) reports results for the quarter ended September 2024. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on Octobe ...

DoorDash (DASH) is benefiting from an expanding partner base that includes the likes of Wegmans Food Markets, Warner Bros. Discovery's (WBD) streaming service Max, JPMorgan Chase & Co.'s (JPM) U.S. consumer and commercial banking division Chase and Academy Sports and Outdoors (ASO) . DASH recently announced an expanded partnership with Wegmans Food Markets, enhancing its grocery delivery offerings across Maryland and soon in several states, including Virginia, North Carolina, New Jersey, Delaware and upstat ...