DoorDash's DashPass membership program now includes offers from Warner Bros. Discovery's Max streaming service. A DashPass Annual Plan membership in the United States now includes Max With Ads at no additional cost and an offer to upgrade to a Max Ad-Free subscription for a discounted rate of $10.99 per month, the companies said in a Tuesday (Aug. 13) press release. "Since launching DashPass six years ago, our goal has always been to deliver increasing value and savings to members," Prabir Adarkar, presiden ...

John M Lund Photography Inc/DigitalVision via Getty Images DoorDash, Inc. (NASDAQ:DASH) announced 2Q24 earnings last Thursday after the bell, confirming my positive outlook on the stock from my initiation article, "Hitting Bottom And Bound To Dash Higher." I think Dash is now better positioned to beat its Marketplace GOV guidance of $19.4 billion - $19.8 billion for next quarter, as I see momentum backed by expansion to international markets and its grocery offering. My positive sentiment back in May was ba ...

Investment Rating - The investment rating for DoorDash is not explicitly stated in the report, but it suggests a reasonable valuation with potential for profit improvement in the future [4]. Core Insights - DoorDash's Q2 performance exceeded expectations, with a 23% year-over-year increase in total revenue to $2.63 billion, and a 20% increase in gross order value (GOV) to $19.7 billion [2][7]. - The company expects a 16-18% year-over-year increase in GOV for Q3, driven by continuous cost optimization [2]. - The adjusted EBITDA for Q2 was $430 million, which is 9% higher than market expectations, indicating strong operational efficiency [2][12]. Summary by Sections Financial Performance - Q2 total revenue reached $2.63 billion, a 23% increase year-over-year and a 5% increase quarter-over-quarter, slightly above market expectations [2][7]. - The adjusted EBITDA was $430 million, corresponding to a profit margin of 16.3%, which is a 3 percentage point increase year-over-year [2][12]. - Contribution profit for Q2 was $830 million, reflecting a 33% year-over-year increase [3][12]. User Growth and Market Position - DoorDash's order volume in Q2 was 635 million, with a daily average of 7 million orders, marking a 19% year-over-year increase [2][11]. - The company captured 6.7% of the U.S. food and beverage market, up from 5.9% in Q2 2023, indicating improved market penetration [2][12]. Cost Management and Profitability - Administrative expenses increased by 45% year-over-year, influenced by property lease impairment losses and penalty provisions [2]. - The average revenue per order was $4.0, with an adjusted gross profit of $2.0 per order, showing continuous improvement in profitability metrics [3][12]. Future Guidance - For Q3, DoorDash anticipates GOV between $19.4 billion and $19.8 billion, with adjusted EBITDA expected to be between $470 million and $540 million [3][14]. - The market consensus expects a 20.5% year-over-year revenue growth for the full year 2024, with adjusted EBITDA projected at $1.7 billion [3][14].

DoorDash (DASH) reported a GAAP loss of 38 cents per share in second-quarter 2024, narrower than the yearago quarter's loss of 44 cents per share. The figure missed the Zacks Consensus Estimate of a loss of 10 cents. Revenues increased 23.3% year over year to $2.63 billion and surpassed the consensus mark by 3.7%. The upside was driven by strong performance in total orders and Marketplace GOV, alongside enhanced logistics efficiency and an increased contribution from advertising. Quarter in Details In the s ...

Kenneth Cheung For several quarters now, DoorDash (NASDAQ:DASH) has disappointed sorely after earnings. It's refreshing, that after posting incredible Q2 results, the delivery company experienced a welcome jolt upward, owing to incredibly strong order performance plus higher order contribution margins. Yet even after rallying more than 10% in after-hours trading following DoorDash's Q2 earnings print, the stock is still up only ~20% for the year: in line with the S&P 500, but underperforming many other tech ...

This article has been reviewed according to Science X's editorial process and policies . Editors have highlighted the following attributes while ensuring the content's credibility: A DoorDash sign is posted on the door of a Dunkin' Donuts franchise, Feb. 27, 2023, in Methuen, Mass. DoorDash reports earnings on Thursday, Aug. 1, 2024. Credit: AP Photo/Charles Krupa, File DoorDash said Thursday that it set records for orders and revenue in the second quarter, growth that came despite slowing U.S. restaurant t ...

Financial Data and Key Metrics - The company reported strong demand on the consumer side, with no significant challenges observed despite industry-wide concerns about softening restaurant demand [6] - DashPass achieved an all-time high in subscriber base, indicating strong consumer engagement and retention [8][11] - The company continues to see robust growth in digital channels, with many multiples of overall growth in restaurant and retail sectors [6][7] - The company's order frequency and retention rates are as good or better than pandemic cohorts, reflecting strong product improvements [7][11] Business Line Data and Key Metrics - The restaurant business showed consistent growth in GOV (Gross Order Value) year-over-year, with faster growth in June compared to April [11] - The company is expanding its use cases beyond restaurants, with significant growth in non-restaurant categories such as grocery, convenience, and health and beauty [8][29] - The ad business and platform business are growing rapidly, contributing to improved revenue growth and take rates [14] Market Data and Key Metrics - The company is seeing strong retention and frequency in international markets, particularly in markets where Wolt operates, with better performance than in the U.S. [15][16] - The company is underpenetrated in many international markets, with significant room for growth in restaurant and retail categories [37] - The company is expanding its presence in grocery and convenience, with partnerships like the one with Chase enhancing its market position [28] Company Strategy and Industry Competition - The company is focused on improving product quality, affordability, and selection to maintain its leadership in the local commerce space [7][8] - The company is leveraging its logistics network to improve delivery accuracy and speed, which is critical for both restaurant and retail sectors [8] - The company is investing in new verticals and international markets, with a focus on scaling and improving efficiency [24][37] - The company is not seeing significant changes in competitive dynamics, with strong customer preference for its platform despite industry noise [63][64] Management Commentary on Operating Environment and Future Outlook - Management highlighted the early stages of digital transformation in the restaurant and retail industries, with significant growth potential in digital channels [6] - The company is focused on driving improvements in efficiency and reinvesting in growth opportunities, particularly in new verticals and international markets [14][24] - Management expressed confidence in the company's ability to maintain strong retention and frequency metrics, which are key indicators of long-term growth [7][11] Other Important Information - The company is working on affordability programs, such as DashPass, to attract and retain customers [8] - The company is expanding its selection in both restaurant and non-restaurant categories, with a focus on driving incremental GOV and improving conversion rates [31] - The company is seeing improvements in unit economics and gross profit across major lines of business, contributing to better EBITDA performance [33][34] Q&A Session Summary Question: Demand and New Customer Acquisition [5] - The company is seeing strong demand, with no significant softening in consumer behavior. New customer acquisition remains robust, with the company capturing more than half of new customers in the restaurant industry and about half in non-restaurant categories [9][10] Question: Take Rate and International Retention [13] - The take rate improvement is driven by growth in the ad and platform businesses, as well as efficiency improvements in Dasher costs. International markets show better retention due to strong fundamentals and lessons learned from Wolt [14][15][16] Question: International Market Performance and CPG Advertising [18] - The company is focused on creating the best service for customers, couriers, and merchants in international markets. CPG advertising is growing rapidly, with a focus on balancing consumer experience and advertiser returns [19][20][23] Question: Order Frequency and Merchant Investment [27] - Order frequency is increasing across both restaurant and new verticals, driven by better product offerings and delivery times. The company is investing in expanding merchant selection to drive incremental GOV [28][30][31] Question: EBITDA Flow-Through and Gross Margin [32] - EBITDA improvements are driven by higher GOV growth and better unit economics. The company expects continued margin improvements in restaurant, new verticals, and international businesses [33][34] Question: International Ambitions and Asset Mix [36] - The company sees significant growth potential in international markets, with a focus on expanding restaurant and retail selection. The company is well-positioned to achieve its ambitions with its current asset mix [37][38] Question: Restaurant Menu Inflation and Regulatory Impact [42] - Inflation has not significantly impacted the company's business, with AOV (Average Order Value) remaining flat year-over-year. Regulatory costs, particularly in New York and Seattle, are expected to decrease as the company improves efficiency [43][44][46] Question: Fee Reduction and Efficiency Improvements [48] - The company is focused on lowering fees and passing savings on to consumers, while improving logistics and selection to drive growth [49][50][51] Question: Fixed OpEx and CPG Ad Growth [54] - Fixed OpEx as a percentage of GOV is expected to remain stable for the rest of the year. The company is pacing CPG ad growth to ensure a healthy marketplace before monetizing it [55][57] Question: Ad Tech Stack and Competitive Dynamics [61] - The ad tech stack is evolving to support multiple categories and geographies. The company has not seen significant changes in competitive dynamics, with strong customer preference for its platform [62][63][64] Question: Merchant Expansion and Regulatory Impact [66] - The company is adding tens of thousands of new merchants across restaurant and non-restaurant categories. Regulatory impacts in New York and Seattle are expected to decrease as the company improves efficiency [67][69][70] Question: Price Parity and Ad Load Impact [73] - The company is working on price parity initiatives to improve affordability. Ad load has not significantly degraded app engagement or order frequency, as the company prioritizes consumer experience [74][75][76]

DoorDash, Inc. (DASH) came out with a quarterly loss of $0.38 per share versus the Zacks Consensus Estimate of a loss of $0.10. This compares to loss of $0.44 per share a year ago. These figures are adjusted for nonrecurring items. This quarterly report represents an earnings surprise of -280%. A quarter ago, it was expected that this company would post a loss of $0.07 per share when it actually produced a loss of $0.06, delivering a surprise of 14.29%. Over the last four quarters, the company has surpassed ...

A DoorDash driver on an electric bicycle wearing a cooler backpack with the skyline of San Francisco in the background. Shares of DoorDash popped 13% in extended trading on Thursday after the company reported second-quarter results that beat analysts' expectations for revenue. Here's how the company did, according to LSEG analyst expectations: Loss per share: 38 cents, which may not compare with the expected loss of 9 cents Revenue: $2.63 billion vs. $2.54 billion expected DoorDash's revenue increased 23% f ...

Financial Performance - Total Orders increased to 635 million in Q2 2024, representing a 19% growth year-over-year compared to 532 million in Q2 2023[89]. - Marketplace Gross Order Value (GOV) reached $19.7 billion in Q2 2024, a 20% increase from $16.5 billion in Q2 2023[90]. - Revenue for Q2 2024 was $2.63 billion, up 23% from $2.13 billion in Q2 2023[94]. - Contribution Profit rose to $825 million in Q2 2024, compared to $620 million in Q2 2023, driven by revenue growth[92]. - Adjusted EBITDA increased to $430 million in Q2 2024, up from $279 million in Q2 2023, reflecting improved operating performance[93]. - Free Cash Flow for Q2 2024 was $451 million, an increase from $311 million in Q2 2023, primarily due to higher net cash from operating activities[93]. - Net Revenue Margin improved to 13.3% in Q2 2024, up from 13.0% in Q2 2023, attributed to increased advertising revenue[90]. - GAAP net loss narrowed to $158 million in Q2 2024, compared to a net loss of $172 million in Q2 2023[94]. - Revenue for Q2 2024 increased by $497 million, or 23%, to $2,630 million, driven by a 20% increase in Marketplace GOV[100]. - Revenue for the first six months of 2024 increased by $975 million, or 23%, to $5,143 million, also primarily driven by a 20% increase in Marketplace GOV[101]. Cost and Expenses - Total costs and expenses for Q2 2024 were $2.83 billion, up from $2.34 billion in Q2 2023, reflecting increased operational costs[94]. - Cost of revenue for Q2 2024 increased by $250 million, or 22%, to $1,385 million, mainly due to a $215 million increase in order management costs[103]. - Cost of revenue for the first six months of 2024 increased by $511 million, or 23%, to $2,715 million, primarily driven by a $452 million increase in order management costs[104]. - Sales and marketing expenses for Q2 2024 increased by $38 million, or 8%, to $509 million, driven by a $17 million increase in advertising expenses[105]. - Research and development expenses for Q2 2024 increased by $34 million, or 13%, to $303 million, primarily due to a $30 million increase in personnel-related compensation expenses[110]. - General and administrative expenses for Q2 2024 increased by $153 million, or 45%, to $494 million, driven by an $83 million increase in office lease impairment expenses[112]. - General and administrative expenses for the first six months of 2024 increased by $187 million, or 30%, to $813 million, primarily due to an increase in legal, tax, and regulatory expenses[113]. Profitability Metrics - Adjusted cost of revenue for Q2 2024 was $1,335 million, up from $1,084 million in Q2 2023, representing a 23.1% increase[134]. - Adjusted sales and marketing expense for Q2 2024 was $470 million, compared to $429 million in Q2 2023, reflecting a 9.6% increase[135]. - Adjusted research and development expense for Q2 2024 was $156 million, up from $130 million in Q2 2023, indicating a 20% increase[136]. - Adjusted general and administrative expense for Q2 2024 was $239 million, compared to $211 million in Q2 2023, marking a 13.3% increase[137]. - Contribution Profit for Q2 2024 was $825 million, up from $620 million in Q2 2023, representing a 33.1% increase[142]. - Gross profit for Q2 2024 was $1,195 million, compared to $951 million in Q2 2023, reflecting a 25.7% increase[142]. - Gross Margin for Q2 2024 was 45.4%, compared to 44.6% in Q2 2023, showing an improvement of 0.8 percentage points[142]. - Contribution Margin for Q2 2024 was 31.4%, up from 29.1% in Q2 2023, indicating a 2.3 percentage point increase[142]. - Adjusted Gross Profit for Q2 2024 was $1,295 million, up from $1,049 million in Q2 2023, reflecting a growth of 23.4%[143]. - Adjusted Gross Margin remained stable at 49.2% for both Q2 2023 and Q2 2024[143]. - Adjusted EBITDA for the first six months of 2024 was $801 million, compared to $483 million for the same period in 2023, representing a 65.7% increase[145]. - Free Cash Flow for the first six months of 2024 was $938 million, an increase from $627 million in the same period of 2023, marking a growth of 49.7%[146]. Cash and Investments - As of June 30, 2024, the company had cash, cash equivalents, and marketable securities totaling $5.5 billion, including $3.4 billion in cash and cash equivalents[148]. - The company reported an accumulated deficit of $5.3 billion as of June 30, 2024, indicating significant historical operating losses[149]. - A share repurchase program was authorized in February 2024 for up to $1.1 billion in Class A common stock[150]. - Cash provided by operating activities for the first six months of 2024 was $1,083 million, compared to $790 million in the same period of 2023[152]. - Cash used in investing activities for the first six months of 2024 was $219 million, primarily for marketable securities purchases of $969 million[155]. - The company entered into an $800 million unsecured revolving credit facility, maturing on April 26, 2029, with no outstanding loans as of June 30, 2024[147]. - As of June 30, 2024, the aggregate carrying value of non-marketable equity investments was $42 million[161]. Risk and Currency Exposure - A hypothetical 100 basis point increase in interest rates would not have materially affected the condensed consolidated financial statements[160]. - Foreign currency gains and losses were immaterial for the three and six months ended June 30, 2024[163]. - A 10% change in exchange rates against the U.S. dollar would not have resulted in a material gain or loss based on foreign currency exposures as of June 30, 2024[163]. - The company does not hedge interest rate exposures and focuses on capital preservation and liquidity requirements[160]. - Changes in foreign currency exchange rates could reduce reported revenue and expenses from international businesses[162]. - Translation adjustments from foreign subsidiaries could result in gains or losses recorded in accumulated other comprehensive income (loss)[164]. - The company does not enter into investments for trading or speculative purposes, focusing instead on long-term capital preservation[160]. - The markets for technologies or products developed by non-marketable equity investments are typically in early stages and may not materialize[161]. - The company has experienced fluctuations in net income or loss due to transaction gains or losses related to foreign currency revaluations[163].