Maplebear (CART) - 2025 Q2 - Quarterly Report

Special Note Regarding Forward-Looking Statements This section identifies forward-looking statements, their nature, and associated risks and uncertainties, advising against undue reliance on them - This section identifies forward-looking statements, their nature, and associated risks and uncertainties, advising against undue reliance on them[11][13][15] Part I - Financial Information Item 1. Financial Statements (Unaudited) This section presents the unaudited condensed consolidated financial statements for Maplebear Inc. (Instacart), including balance sheets, statements of operations, comprehensive income, redeemable convertible preferred stock and stockholders' equity, and cash flows, along with detailed notes on business description, significant accounting policies, revenue disaggregation, fair value measurements, investments, property and equipment, business combinations, goodwill and intangible assets, accrued liabilities, commitments and contingencies, redeemable convertible preferred stock, stockholders' equity, income taxes, net income per share, related party transactions, restructuring, and segment information Condensed Consolidated Balance Sheets Condensed Consolidated Balance Sheets (in millions) | Metric | Dec 31, 2024 (in millions) | Jun 30, 2025 (in millions) | Change (in millions) | % Change | | :-------------------------------- | :------------------------- | :------------------------- | :------------------- | :--------- | | Total Assets | $4,115 | $4,433 | $318 | 7.7% | | Total Liabilities | $836 | $942 | $106 | 12.7% | | Total Stockholders' Equity | $3,093 | $3,299 | $206 | 6.7% | Condensed Consolidated Statements of Operations Condensed Consolidated Statements of Operations (in millions, except EPS) | Metric | 3 Months Ended Jun 30, 2024 (in millions) | 3 Months Ended Jun 30, 2025 (in millions) | Change (in millions) | % Change | | :-------------------------------- | :---------------------------------------- | :---------------------------------------- | :------------------- | :--------- | | Revenue | $823 | $914 | $91 | 11.1% | | Gross Profit | $623 | $678 | $55 | 8.8% | | Income from Operations | $52 | $124 | $72 | 138.5% | | Net Income | $61 | $116 | $55 | 90.2% | | Basic EPS | $0.22 | $0.43 | $0.21 | 95.5% | | Diluted EPS | $0.20 | $0.41 | $0.21 | 105.0% | Condensed Consolidated Statements of Comprehensive Income Condensed Consolidated Statements of Comprehensive Income (in millions) | Metric | 3 Months Ended Jun 30, 2024 (in millions) | 3 Months Ended Jun 30, 2025 (in millions) | Change (in millions) | | :-------------------------------- | :---------------------------------------- | :---------------------------------------- | :------------------- | | Net Income | $61 | $116 | $55 | | Change in foreign currency translation adjustments | $0 | $7 | $7 | | Total other comprehensive income (loss) | $0 | $7 | $7 | | Comprehensive income | $61 | $124 | $63 | Condensed Consolidated Statements of Redeemable Convertible Preferred Stock and Stockholders' Equity - Total stockholders' equity increased from $3,093 million as of December 31, 2024, to $3,299 million as of June 30, 2025. Key changes include net income of $106 million (Q1 2025) and $116 million (Q2 2025), stock-based compensation of $77 million (Q1 2025) and $117 million (Q2 2025), and common stock repurchases of $94 million (Q1 2025) and $111 million (Q2 2025)[33] Condensed Consolidated Statements of Cash Flows Condensed Consolidated Statements of Cash Flows (in millions) | Metric | 6 Months Ended Jun 30, 2024 (in millions) | 6 Months Ended Jun 30, 2025 (in millions) | Change (in millions) | | :-------------------------------- | :---------------------------------------- | :---------------------------------------- | :------------------- | | Net cash provided by operating activities | $349 | $501 | $152 | | Net cash used in investing activities | $0 | $(156) | $(156) | | Net cash used in financing activities | $(1,055) | $(175) | $880 | | Net increase (decrease) in cash, cash equivalents, and restricted cash | $(712) | $176 | $888 | Notes to Condensed Consolidated Financial Statements 1. Business - Maplebear Inc. (Instacart) operates a technology platform connecting retailers, end users, advertisers, and shoppers in the U.S. and Canada, facilitating grocery and non-grocery transactions, offering advertising services, and providing SaaS solutions to retailers[41] 2. Significant Accounting Policies - The unaudited condensed consolidated financial statements are prepared in accordance with GAAP and SEC rules for interim information, consistent with annual statements. No significant changes to accounting policies from the 2024 10-K[42][44] - Management uses estimates and assumptions for revenue recognition, legal contingencies, and income taxes, considering macroeconomic trends like inflation and interest rate fluctuations[46][48][49] - The company is evaluating the impact of new FASB ASUs on income tax disclosures (ASU 2023-09, effective after Dec 15, 2024) and expense disaggregation (ASU 2024-03, effective after Dec 15, 2026)[50][51] 3. Revenue Revenue Disaggregation (in millions) | Revenue Type | 3 Months Ended Jun 30, 2024 (in millions) | 3 Months Ended Jun 30, 2025 (in millions) | % Change | 6 Months Ended Jun 30, 2024 (in millions) | 6 Months Ended Jun 30, 2025 (in millions) | % Change | | :----------------- | :---------------------------------------- | :---------------------------------------- | :--------- | :---------------------------------------- | :---------------------------------------- | :--------- | | Transaction | $595 | $659 | 10.8% | $1,198 | $1,309 | 9.3% | | Advertising and other | $228 | $255 | 11.8% | $445 | $502 | 12.8% | | Total Revenue | $823 | $914 | 11.1% | $1,643 | $1,811 | 10.2% | - Deferred revenue, primarily from Instacart+ memberships, is expected to be recognized within one year. $151 million of revenue was recognized from deferred revenue balance as of Dec 31, 2024 during the six months ended June 30, 2025[55] - No customers accounted for 10% or more of accounts receivable as of June 30, 2025, indicating reduced concentration risk compared to December 31, 2024 (Customer A: 10%, Customer E: 16%)[57] 4. Fair Value Measurements Fair Value of Financial Assets (in millions) | Asset Type | Dec 31, 2024 (Level 1) | Dec 31, 2024 (Level 2) | Jun 30, 2025 (Level 1) | Jun 30, 2025 (Level 2) | | :---------------------------------------- | :--------------------- | :--------------------- | :--------------------- | :--------------------- | | Money market funds | $849 | $0 | $1,173 | $0 | | U.S. government and government agency debt securities (Cash equivalents) | $0 | $35 | $0 | $20 | | U.S. government and government agency debt securities (Short-term marketable securities) | $0 | $91 | $0 | $109 | | Total | $849 | $126 | $1,173 | $129 | - Investments in U.S. government and government agency debt securities are classified as Level 2, valued using observable market data[61] [5. Investments](