Overview
- Fourth-quarter results showed rapid growth with $3.96 billion in revenue, 903 million orders, and about $29.7 billion in gross order value, while earnings per share and revenue narrowly missed Wall Street estimates.
- For the current quarter, DoorDash guided marketplace gross order value to $31.0 billion to $31.8 billion, above forecasts, but projected adjusted EBITDA of $675 million to $775 million, below analyst expectations.
- CEO Tony Xu said unifying DoorDash, Wolt, and Deliveroo on one technology platform is a “massive and expensive undertaking,” as research and development spending rose 41% and sales and marketing climbed 31%.
- Management flagged near-term profit pressure from a smaller Deliveroo contribution of under $25 million, severe U.S. winter storms, and higher costs in regulated markets.
- Shares swung sharply after the release, then climbed with an about 11% premarket gain on Thursday as investors weighed strong demand indicators against a heavier investment cycle and intense competition from Instacart and Uber Eats.