DoorDash on Wednesday reported better-than-expected sales in the third quarter as it gained users and they ordered more frequently.
The San Francisco delivery company said its total orders grew 24% to 543 million in the July-September period compared to the same period a year earlier. That was well above the 521 million orders Wall Street had forecast, according to analysts polled by FactSet. DoorDash said revenue jumped 27% to $2.16 billion, also ahead of the $2.09 billion analysts were expecting.The company said its monthly active users — or customers who have placed at least one order in the past month – increased at double-digit percentage rates in September, with strong demand from both the U.S. and international markets. Growth in order frequency also accelerated from the second quarter, the company said.
It is also gaining subscribers to its DashPass and Wolt+ subscription programs, which provide free deliveries on many orders for a monthly fee. DoorDashWolt Enterprises in 2021 to expand its reach into countries like Germany, Sweden and Israel. The company said its net loss narrowed to $73 million from $295 million in the third quarter a year ago. DoorDash attributed that to efficiency gains and disciplined cost management. The company alsoThe loss, of 19 cents per share, was also better than the 40-cent loss Wall Street anticipated.
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