Earnings Results: DoorDash stock surges as it reports record food-delivery orders but larger loss than expected

by | Aug 4, 2022 | Stock Market

DoorDash Inc. on Thursday reported continued growth in the second quarter, saying that its food-delivery business remains healthy despite economic uncertainty, but its loss was worse than what Wall Street expected. DoorDash
which completed its acquisition of Finland-based Wolt in the second quarter, beat revenue and other expectations with its earnings report, though the delivery-platform company posted a bigger loss than expected.

Ravi Inukonda, vice president of finance, said in a Thursday interview with MarketWatch that it’s “a very tough macro environment out there, but we’re coming off a record quarter in terms of orders.” Gross order value grew to $13.1 billion, exceeding analysts’ estimates of $12.84 billion. Total orders increased to 426 million, above the 419 million analysts expected. Inukonda said he is confident that the company is well-positioned to deal with what he sees as softening consumer spending in the third quarter and the rest of the year, because DoorDash offers delivery from a range of categories that includes prepared food, convenience and more. In addition, he said he feels good about Wolt’s growth of 50% year over year, which he said is faster than its peers in the European region. DoorDash shares surged more than 13% after hours, after rising more than 2% in the regular session to close at $81.29, near a three-month high.  The company posted a loss of $263 million, or 72 cents a share, compared with a loss of $102 million, or 30 cents a share, in the year-ago period. DoorDash attributed $45 million of …

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