As consumer demand for delivery continues, DoorDash Inc. on Thursday raised its guidance for the full year as it once again reported record quarterly highs in total orders, marketplace gross order value and revenue.
DoorDash DASH,
Ravi Inukonda, chief financial officer of DoorDash, said in an interview with MarketWatch that continued strength in consumer demand and growth across the company’s businesses informed the increase in the full-year forecast.
“All parts of the business are growing and gaining share — restaurants, grocery, international,” Inukonda said. “Put that together, that gives us confidence to bump up our forecast.”
The CFO attributed the company’s continued growth in part to DoorDash adding partners in the first quarter, including Starbucks Corp. SBUX,
In addition, Inukonda said “order frequency is at an all-time high, compared to even peak COVID levels.”
The delivery-app company’s outlook for the year is for adjusted earnings before interest, taxes, depreciation and amortization, or Ebitda, of $600 million to $900 million.
Ebitda is not profit and is already an adjusted number. DoorDash and other companies report the metric to exclude additional items and costs to try to show investors progress toward profitability.
DoorDash reported a total of 512 million orders for the first quarter, compared with the 493.3 million expected by analysts. Gross order value was $15.9 billion, compared with the $15.27 billion analysts surveyed by FactSet expected.
The company reported a first-quarter net loss of $162 million, or 41 cents a share, compared with a loss of $167 million, or 48 cents a share, in the year-ago period. Revenue rose to $2 billion from $1.46 billion in the year-ago quarter.
Analysts had forecast a loss of 58 cents a share on revenue of $1.93 billion.
Adjusted Ebitda for the first quarter was $204 million, compared with $54 million in the year-ago period. Analysts had expected $154 million.
The company also reported increased costs in the first quarter compared with the same period a year ago, which it attributed to higher advertising costs and additional headcount associated with its purchase of European delivery platform Wolt — which it completed last summer. DoorDash then laid off 1,250 employees late last year. Inukonda said Thursday that he “felt comfortable” with the company’s current staffing levels.
DoorDash expects second-quarter gross order value of $15.9 billion to $16.2 billion, and adjusted Ebitda of $180 million to $230 million. Analysts had expected $15.44 billion and $163 million, respectively. Analysts also had forecast a loss of 55 cents a share on revenue of $1.96 billion.
DoorDash shares have risen almost 29% year to date, while the S&P 500 index SPX,
