DoorDash Gross Orders and Revenues Jump, Holds $4 Billion Cash and No Debt

Scott Peters
06 May, 2022
New York City

DoorDash Inc reported first quarter revenues increased 40% to $1.5 billion and net loss jumped 50% to $167 million. 

Diluted loss per share rose to 48 cents from 34 cents a year ago. 

In the quarter, total orders increased 23% to 404 million and gross marketplace volume increased 23% to $12.4 billion. 

Revenues in the quarter rose at a faster rate than in the gross market volume because of higher cost of delivery and extreme weather in the quarter a year ago. 

Revenue margin, revenues as a percentage of gross order volume, increased to 11.8% from 10.9% a year ago. 

Operating cash flow in the quarter was negative $20 million and free cash flow was negative $91 million. 

For the trailing 12 months, operating cash flow was $506 million and free cash flow was $252 million.

The company still expects positive cash flow in the full-year 2022 and at the end of the quarter held $4.2 billion in cash, cash equivalent, liquid investments and no debt. 

Guidance and Outlook 

The company guided second quarter gross market volume between $12.1 billion and $12.5 billion and adjusted operating earnings between breakeven and $100 million. 

The company revised higher full-year 2022 gross market volume range to between $49.0 billion and $51.0 billion from the previous estimate of $48.0 billion and $50.0 billion. 

The company reiterated its adjusted operating earnings range between breakeven and $500 million. 

Company and Stock

The company also confirmed that the acquisition of Helsinki-based Wolt, European delivery company, announced in November 2021 for all-stock $8.1 billion is expected to close in the second quarter 2022. 

With the acquisition of Wolt, the company will expand into 23 new countries in Europe including Germany, Poland, and Czechia and Kazakhstan and Cyprus.  

DoorDash Inc is headquartered in San Francisco, California and employs about 8,600 people. 

DoorDash stock after the earnings release increased 45 cents to $73.52 and for the year-to-date declined 49.4%.