DoorDash, Inc. (NASDAQ: DASH) today announced its financial
results for the quarter and fiscal year ended December 31, 2024. In
addition to our financial results below, our annual letter to
shareholders is available on the DoorDash investor relations
website at http://ir.doordash.com.
Our approach to building DoorDash is based on a mix of deep
commitment to our customers, focus on improving our operational
efficiency, belief in the value of scale, and ambition to do much
more for local economies in the future than we do today. In 2024,
we grew revenue 24% year-over-year (Y/Y), generated our first full
year of positive GAAP net income, and helped generate nearly $60
billion in sales for local merchants in over 30 countries and over
$18 billion in earnings for Dashers. These results were the output
of several years of outstanding execution against a consistent set
of principles. We are pleased with our performance throughout 2024
and excited about our potential to increase our scale,
profitability, and impact on local economies in 2025 and
beyond.
Fourth Quarter 2024 Key Financial Metrics
- Total Orders increased 19% Y/Y to 685 million and Marketplace
GOV increased 21% Y/Y to $21.3 billion.
- Revenue increased 25% Y/Y to $2.9 billion and Net Revenue
Margin increased to 13.5% from 13.1% in Q4 2023.
- GAAP net income (loss) attributable to DoorDash, Inc. common
stockholders was $141 million compared to $(154) million in Q4
2023, and Adjusted EBITDA increased to $566 million from $363
million in Q4 2023.
Three Months Ended
(in millions, except percentages)
Dec. 31,
2023
Mar. 31,
2024
Jun. 30,
2024
Sept. 30,
2024
Dec. 31,
2024
Total Orders
574
620
635
643
685
Total Orders Y/Y growth
23
%
21
%
19
%
18
%
19
%
Marketplace GOV
$
17,639
$
19,239
$
19,711
$
20,002
$
21,279
Marketplace GOV Y/Y growth
22
%
21
%
20
%
19
%
21
%
Revenue
$
2,303
$
2,513
$
2,630
$
2,706
$
2,873
Revenue Y/Y growth
27
%
23
%
23
%
25
%
25
%
Net Revenue Margin
13.1
%
13.1
%
13.3
%
13.5
%
13.5
%
GAAP gross profit
$
1,026
$
1,129
$
1,195
$
1,283
$
1,372
GAAP gross profit as a % of Marketplace
GOV
5.8
%
5.9
%
6.1
%
6.4
%
6.4
%
Contribution Profit
$
689
$
751
$
825
$
930
$
968
Contribution Profit as a % of Marketplace
GOV
3.9
%
3.9
%
4.2
%
4.6
%
4.5
%
GAAP net income (loss) attributable to
DoorDash, Inc. common stockholders
$
(154
)
$
(23
)
$
(157
)
$
162
$
141
GAAP net income (loss) attributable to
DoorDash, Inc. common stockholders as a % of Marketplace GOV
(0.9
)%
(0.1
)%
(0.8
)%
0.8
%
0.7
%
Adjusted EBITDA
$
363
$
371
$
430
$
533
$
566
Adjusted EBITDA as a % of Marketplace
GOV
2.1
%
1.9
%
2.2
%
2.7
%
2.7
%
Weighted-average diluted shares
outstanding
399
405
410
428
433
Operational Highlights
Our mission is to grow and empower local economies. We repeat
this statement often because we believe it is important to remind
ourselves and others of our ambition, the vast duration and surface
area it encompasses, and the importance of our work to merchants,
consumers, and Dashers in the communities we serve.
In 2024, as in all years, one of our goals was to create greater
efficiency through improved order-level execution and scale, and
then invest much of that back into improving and expanding our
products and services in order to increase our future impact and
profit potential. In 2024, we improved unit economics in our U.S.
restaurant category, our U.S. new verticals categories, and in our
international marketplaces. These efficiency improvements, along
with our growing scale, allowed us to increase investments across
our business to build new and better products, expand our
selection, improve our quality, and reach more consumers in more
places. In 2024, this helped us drive 20% Y/Y growth in Marketplace
GOV and 24% Y/Y growth in revenue, while also generating $123
million of net income attributable to DoorDash, Inc. common
stockholders and $1.9 billion of Adjusted EBITDA.
Improvements to merchant selection, the breadth of categories we
offer, and quality on our Marketplaces helped drive monthly active
users (MAUs1) to an all-time high of over 42 million in December
2024, up from over 37 million in December 2023. The same
improvements also helped drive the number of DashPass and Wolt+
members to over 22 million exiting 2024, up from over 18 million
exiting 2023. In December 2024, over 25% of our MAUs ordered from
at least one of our new verticals categories, up from over 20% in
December 2023.
In our U.S. marketplace, MAUs increased at a double-digit pace
Y/Y throughout 2024, with increased average order frequency.2 Y/Y
growth in Marketplace GOV from the U.S. restaurant category was
relatively consistent throughout 2024, with Q4 being our strongest
quarter of growth for the year. In new verticals, we added
thousands of new grocery stores to our U.S. marketplace in 2024,
while also expanding selection in our other new verticals
categories. At the same time, we continued to improve a number of
key quality metrics in our new verticals categories in the U.S.; in
2024, these improvements helped attract more new users to our new
verticals categories, increased order frequency within the
categories, and drove average basket sizes higher.
Across our international marketplaces, we increased merchant
selection by over 25% Y/Y in 2024, with substantial increases in
selection in our restaurant and new verticals categories. This
helped us attract more new consumers to our international
marketplaces in 2024 than in any previous year, which drove strong
Y/Y growth in MAUs throughout 2024. Improvements to our product and
increased adoption of DashPass and Wolt+ drove increased average
order frequency in our international marketplaces in 2024. The
combination of increased MAUs and increased average order frequency
drove Y/Y growth in Total Orders from our international
marketplaces that was well ahead of our U.S. marketplace.
We exited 2024 with good momentum. Entering 2025, we plan to
continue to focus on creating incremental improvements in
operational efficiency and reinvesting back into the business to
increase our scale and expand our long-term profit potential. We
believe we have clear pathways for investment in several areas of
our business that we believe will allow us to generate strong
returns and compound our value and impact. At the same time, the
total scope of local commerce is still well beyond what we serve
today and we are exploring a number of new initiatives that we hope
will develop into valuable services for consumers, merchants, and
Dashers.
_______________
1 Based on the number of individual
consumer accounts that have completed an order on our Marketplaces
in the month of measurement.
2 Calculated as the total number of orders
placed on our Marketplaces divided by the number of individual
consumer accounts that have completed an order on our Marketplaces
in the period of measurement.
Financial Performance
In Q4 2024, Total Orders increased 19% Y/Y to 685 million and
Marketplace GOV increased 21% Y/Y to $21.3 billion. Y/Y growth in
Total Orders was driven by growth in consumers and growth in
average consumer engagement.
Revenue was $2.9 billion in Q4 2024, up 25% Y/Y. The Y/Y
increase was driven primarily by growth in Marketplace GOV and
growth in advertising revenue. Net Revenue Margin was 13.5% in Q4
2024, compared to 13.1% in Q4 2023 and 13.5% in Q3 2024.
GAAP cost of revenue, exclusive of depreciation and
amortization, was $1.5 billion in Q4 2024, up 18% Y/Y and 6%
quarter-over-quarter (Q/Q). GAAP cost of revenue, exclusive of
depreciation and amortization, increased Y/Y and Q/Q primarily due
to an increase in Total Orders and Marketplace GOV. As a percentage
of Marketplace GOV, GAAP cost of revenue, exclusive of depreciation
and amortization, was 6.8% in Q4 2024, down slightly from 7.0% in
Q4 2023 and 6.9% in Q3 2024, due primarily to lower insurance costs
as a percentage of Marketplace GOV.
GAAP gross profit was $1.4 billion in Q4 2024, up 34% Y/Y and 7%
Q/Q. GAAP gross profit as a percentage of Marketplace GOV was 6.4%
in Q4 2024, up from 5.8% in Q4 2023 and consistent with 6.4% in Q3
2024.
GAAP sales and marketing expense was $541 million in Q4 2024, up
18% Y/Y and 12% Q/Q. On a Y/Y and Q/Q basis, the increase in GAAP
sales and marketing expense was driven primarily by an increase in
advertising expense. As a percentage of Marketplace GOV, GAAP sales
and marketing expense was 2.5% in Q4 2024, down from 2.6% in Q4
2023 and up from 2.4% in Q3 2024.
In Q4 2024, GAAP research and development expense was $297
million, up 17% Y/Y and 3% Q/Q. The Y/Y and Q/Q increases in GAAP
research and development expense were driven primarily by increases
in personnel-related compensation expenses. As a percentage of
Marketplace GOV, GAAP research and development expense was 1.4% in
Q4 2024, consistent with 1.4% in Q4 2023 and 1.4% in Q3 2024.
GAAP general and administrative expense was $324 million in Q4
2024, largely consistent with $320 million in Q4 2023 and up 3%
from $315 million in Q3 2024. The Q/Q increase was driven primarily
by an increase in legal, tax, and regulatory expenses. As a
percentage of Marketplace GOV, GAAP general and administrative
expense was 1.5% in Q4 2024, down from 1.8% in Q4 2023 and 1.6% in
Q3 2024.
GAAP net income (loss) attributable to DoorDash, Inc. common
stockholders was $141 million in Q4 2024, compared to $(154)
million in Q4 2023 and $162 million in Q3 2024.
Q4 2024 Adjusted EBITDA reached an all-time high of $566 million
compared to $363 million for Q4 2023 and $533 million in Q3 2024.
Adjusted EBITDA as a percentage of Marketplace GOV was 2.7% in Q4
2024, compared to 2.1% in Q4 2023 and 2.7% in Q3 2024.
In Q4 2024, we generated operating cash flow of $518 million and
Free Cash Flow of $420 million. In 2024, we generated operating
cash flow of $2.1 billion and Free Cash Flow of $1.8 billion.
In February 2024, our board of directors authorized the
repurchase of up to $1.1 billion of our Class A common stock. In
2024, we repurchased a total of 2.1 million shares of our Class A
common stock for $224 million under the February 2024
authorization. In February 2025, our board of directors authorized
the repurchase of up to $5.0 billion of our Class A common stock,
which is inclusive of the remaining $876 million under the previous
share repurchase authorization. We may or may not repurchase any
portion of our total authorization.
Financial Outlook
Period
Marketplace
GOV
Adj.
EBITDA
Q1 2025
$22.6 billion - $23.0 billion
$550 million - $600 million
In terms of general trends through 2025, we currently expect
Adjusted EBITDA as a percentage of Marketplace GOV to increase from
Q1 to Q2 and again from Q2 to Q3.
Based on our current outlook and assuming a stock price in line
with recent trading levels, we expect:
- 2025 stock-based compensation expense of approximately $1.1
billion to $1.2 billion,
- 2025 depreciation and amortization expense of approximately
$580 million to $600 million.
Our outlook assumes that key foreign currency rates remain
relatively stable at current levels. Our outlook also anticipates
significant levels of ongoing investment in new categories and
international markets. We caution investors that consumer spending
in any of our geographies could be weaker relative to our outlook,
which could drive results below our expectations. Additionally, our
increasing international exposure heightens risks associated with
operating in foreign markets, including geopolitical and currency
risks. Changes in the international operating environment could
negatively impact results versus our current outlook.
We have not provided GAAP net income (loss) attributable to
DoorDash, Inc. common stockholders outlook or a reconciliation of
Adjusted EBITDA outlook to GAAP net income (loss) attributable to
DoorDash, Inc. common stockholders as a result of the uncertainty
regarding, and the potential variability of, reconciling items such
as legal, tax, and regulatory expenses and other items.
Accordingly, a reconciliation of Adjusted EBITDA outlook to GAAP
net income (loss) attributable to DoorDash, Inc. common
stockholders is not available without unreasonable effort. However,
it is important to note that material changes to reconciling items
could have a significant effect on future GAAP results. We have
provided historical reconciliations of GAAP to non-GAAP measures in
tables at the end of this release. For more information regarding
the non-GAAP financial measures discussed in this release, please
see "Non-GAAP Financial Measures" below.
Analyst and Investor Conference Call and Earnings
Webcast
DoorDash will host a conference call and webcast to discuss our
quarterly results today at 2:00 p.m. Pacific Time (5:00 p.m.
Eastern Time). Those interested in listening to the call can
register and attend by visiting our Investor Relations page at
https://ir.doordash.com. An archived webcast will be available on
our Investor Relations page shortly after the call.
Available Information
We announce material information to the public about us, our
products and services, and other matters through a variety of
means, including filings with the U.S. Securities and Exchange
Commission (the "SEC"), press releases, public conference calls,
webcasts, the investor relations section of our website
(ir.doordash.com), our blog (doordash.news), and our X account
(@DoorDash) in order to achieve broad, non-exclusionary
distribution of information to the public and for complying with
our disclosure obligations under Regulation FD.
Forward-Looking Statements
This release contains forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933, as amended,
and Section 21E of the Securities Exchange Act of 1934, as amended,
which statements involve substantial risks and uncertainties.
Forward-looking statements generally relate to future events or our
future financial or operating performance. In some cases, you can
identify forward-looking statements because they contain words such
as “may,” "aim," “will,” “should,” “expect,” “plan,” "try,"
“anticipate,” “could,” “would,” “intend,” “target,” “project,”
“contemplate,” “believe,” “estimate,” “predict,” “potential” or
“continue” or the negative of these words or other similar terms or
expressions that concern our expectations, strategies, plans, or
intentions. Forward-looking statements in this release include, but
are not limited to: our expectations regarding our financial
position and operating performance, including our outlook for the
first quarter 2025 and general trends and expectations for the full
year 2025; our expectations regarding our new verticals categories,
international business and platform innovation; our plans and
expectations regarding our overall business strategy and investment
approach; our expectations regarding our local commerce
opportunity, stock-based compensation expenses, depreciation and
amortization expenses, expenses related to Dashers and Dasher
acquisition, foreign currency rates, trends in our business, and
demand for our platform and for local commerce platforms in
general; our assumptions regarding the impact of any policy,
regulatory or legal changes on our business; and our plans and
expectations regarding share dilution, including our planned share
repurchase and equity award issuances. Our expectations and beliefs
regarding these matters may not materialize, and actual results in
future periods are subject to risks and uncertainties that could
cause actual results to differ materially from those projected,
including risks and uncertainties related to: competition; managing
our growth and corporate culture; financial performance;
investments in new geographies, products, or offerings; our ability
to attract merchants, consumers, and Dashers to our platform; legal
proceedings and regulatory matters and developments; any future
changes to our business or our financial or operating model; and
our brand and reputation. The forward-looking statements contained
in this release are also subject to other risks and uncertainties
that could cause actual results to differ from the results
predicted, including those more fully described in our filings with
the SEC, including our Annual Report on Form 10-K for the year
ended December 31, 2023 and our quarterly reports on Form 10-Q. All
forward-looking statements in this release are based on information
available to DoorDash and assumptions and beliefs as of the date
hereof, and we disclaim any obligation to update any
forward-looking statements, except as required by law.
Use of Non-GAAP Financial Measures
To supplement our financial information presented in accordance
with accounting principles generally accepted in the United States
of America ("GAAP"), we consider certain financial measures that
are not prepared in accordance with GAAP, including adjusted cost
of revenue, adjusted sales and marketing expense, adjusted research
and development expense, adjusted general and administrative
expense, Adjusted Gross Profit, Adjusted Gross Margin, Contribution
Profit, Contribution Margin, Adjusted EBITDA, and Free Cash Flow.
We use these financial measures in conjunction with GAAP measures
as part of our overall assessment of our performance, including the
preparation of our annual operating budget and quarterly forecasts,
to evaluate the effectiveness of our business strategies and to
communicate with our board of directors concerning our business and
financial performance. We believe that these non-GAAP financial
measures provide useful information to investors about our business
and financial performance, enhance their overall understanding of
our past performance and future prospects, and allow for greater
transparency with respect to metrics used by our management in
their financial and operational decision making. We are presenting
these non-GAAP financial measures to assist investors in seeing our
business and financial performance through the eyes of management,
and because we believe that these non-GAAP financial measures
provide an additional tool for investors to use in comparing
results of operations of our business over multiple periods and
with other companies in our industry.
We define adjusted cost of revenue as cost of revenue, exclusive
of depreciation and amortization, excluding stock-based
compensation expense and certain payroll tax expense, allocated
overhead, and inventory write-off related to restructuring.
Allocated overhead is determined based on an allocation of shared
costs, such as facilities (including rent and utilities) and
information technology costs, among all departments based on
employee headcount. We define adjusted sales and marketing expense
as sales and marketing expenses excluding stock-based compensation
expense and certain payroll tax expense, and allocated overhead. We
define adjusted research and development expense as research and
development expenses excluding stock-based compensation expense and
certain payroll tax expense, and allocated overhead. We define
adjusted general and administrative expense as general and
administrative expenses excluding stock-based compensation expense
and certain payroll tax expense, certain legal, tax, and regulatory
settlements, reserves, and expenses, transaction-related costs
(primarily consists of acquisition, integration, and investment
related costs), impairment expenses, and including allocated
overhead from cost of revenue, sales and marketing, and research
and development.
We define Adjusted Gross Profit as gross profit plus (i)
depreciation and amortization expense related to cost of revenue,
(ii) stock-based compensation expense and certain payroll tax
expense included in cost of revenue, (iii) allocated overhead
included in cost of revenue, and (iv) inventory write-off related
to restructuring. Gross profit is defined as revenue less (i) cost
of revenue, exclusive of depreciation and amortization and (ii)
depreciation and amortization related to cost of revenue. Adjusted
Gross Margin is defined as Adjusted Gross Profit as a percentage of
revenue for the same period.
We define Contribution Profit as our gross profit less sales and
marketing expense plus (i) depreciation and amortization expense
related to cost of revenue, (ii) stock-based compensation expense
and certain payroll tax expense included in cost of revenue and
sales and marketing expenses, (iii) allocated overhead included in
cost of revenue and sales and marketing expenses, and (iv)
inventory write-off related to restructuring. We define gross
margin as gross profit as a percentage of revenue for the same
period and we define Contribution Margin as Contribution Profit as
a percentage of revenue for the same period. We use Contribution
Profit to evaluate our operating performance and trends. We believe
that Contribution Profit is a useful indicator of the economic
impact of orders fulfilled through DoorDash as it takes into
account the direct expenses associated with generating and
fulfilling orders.
Adjusted EBITDA is a measure that we use to assess our operating
performance and the operating leverage in our business. We define
Adjusted EBITDA as net income (loss) attributable to DoorDash, Inc.
common stockholders, adjusted to include net income (loss)
attributable to redeemable non-controlling interests, and exclude
(i) certain legal, tax, and regulatory settlements, reserves, and
expenses, (ii) loss on disposal of property and equipment, (iii)
transaction-related costs (primarily consists of acquisition,
integration, and investment related costs), (iv) impairment
expenses, (v) restructuring charges, (vi) inventory write-off
related to restructuring, (vii) provision for (benefit from) income
taxes, (viii) interest income, net, (ix) other (income) expense,
net, (x) stock-based compensation expense and certain payroll tax
expense, and (xi) depreciation and amortization expense.
We define Free Cash Flow as cash flows from operating activities
less purchases of property and equipment and capitalized software
and website development costs.
We define Total Orders as all orders completed through our
marketplaces and Commerce Platform over the period of
measurement.
We define Marketplace GOV as the total dollar value of orders
completed on our Marketplaces, including taxes, tips, and any
applicable consumer fees, including membership fees related to
DashPass and Wolt+. Marketplace GOV does not include the dollar
value of orders, taxes and tips, or fees charged to merchants, for
orders fulfilled through our Commerce Platform.
Our definitions may differ from the definitions used by other
companies and therefore comparability may be limited. In addition,
other companies may not publish these or similar metrics. Further,
these metrics have certain limitations in that they do not include
the impact of certain expenses that are reflected in our
consolidated statements of operations. Thus, our adjusted cost of
revenue, adjusted sales and marketing expense, adjusted research
and development expense, adjusted general and administrative
expense, Adjusted Gross Profit, Adjusted Gross Margin, Contribution
Profit, Contribution Margin, Adjusted EBITDA, and Free Cash Flow
should be considered in addition to, not as substitutes for, or in
isolation from, measures prepared in accordance with GAAP.
DOORDASH, INC.
CONSOLIDATED BALANCE
SHEETS
(in millions)
(Unaudited)
December 31,
2023
December 31,
2024
Assets
Current assets:
Cash and cash equivalents
$
2,656
$
4,019
Restricted cash
105
190
Short-term marketable securities
1,422
1,322
Funds held at payment processors
356
436
Accounts receivable, net
533
732
Prepaid expenses and other current
assets
525
687
Total current assets
5,597
7,386
Long-term marketable securities
583
835
Operating lease right-of-use assets
436
389
Property and equipment, net
712
778
Intangible assets, net
659
510
Goodwill
2,432
2,315
Other assets
420
632
Total assets
$
10,839
$
12,845
Liabilities, Redeemable Non-controlling
Interests and Stockholders' Equity
Current liabilities:
Accounts payable
$
216
$
321
Operating lease liabilities
68
68
Accrued expenses and other current
liabilities
3,126
4,049
Total current liabilities
3,410
4,438
Operating lease liabilities
454
468
Other liabilities
162
129
Total liabilities
4,026
5,035
Redeemable non-controlling interests
7
7
Stockholders’ equity:
Common stock
—
—
Additional paid-in capital
11,887
13,165
Accumulated other comprehensive income
(loss)
73
(107
)
Accumulated deficit
(5,154
)
(5,255
)
Total stockholders’ equity
6,806
7,803
Total liabilities, redeemable
non-controlling interests and stockholders’ equity
$
10,839
$
12,845
DOORDASH, INC.
CONSOLIDATED STATEMENTS OF
OPERATIONS
(in millions, except share
amounts which are reflected in thousands, and per share
data)
(Unaudited)
Three Months Ended
December 31,
Year Ended
December 31,
2023
2024
2023
2024
Revenue
$
2,303
$
2,873
$
8,635
$
10,722
Costs and expenses:
Cost of revenue, exclusive of depreciation
and amortization shown separately below
1,229
1,453
4,589
5,542
Sales and marketing
460
541
1,876
2,037
Research and development
253
297
1,003
1,168
General and administrative
320
324
1,235
1,452
Depreciation and amortization
130
141
509
561
Restructuring charges
—
—
2
—
Total costs and expenses
2,392
2,756
9,214
10,760
Income (loss) from operations
(89
)
117
(579
)
(38
)
Interest income, net
51
51
152
199
Other income (expense), net
(101
)
8
(107
)
(5
)
Income (loss) before income taxes
(139
)
176
(534
)
156
Provision for income taxes
17
37
31
39
Net income (loss) including redeemable
non-controlling interests
(156
)
139
(565
)
117
Less: net loss attributable to redeemable
non-controlling interests
(2
)
(2
)
(7
)
(6
)
Net income (loss) attributable to
DoorDash, Inc. common stockholders
$
(154
)
$
141
$
(558
)
$
123
Net income (loss) per share attributable
to DoorDash, Inc. Class A and Class B common stockholders
Basic
$
(0.39
)
$
0.34
$
(1.42
)
$
0.30
Diluted
$
(0.39
)
$
0.33
$
(1.42
)
$
0.29
Weighted-average number of shares
outstanding used to compute net income (loss) per share
attributable to DoorDash, Inc. Class A and Class B common
stockholders
Basic
399,336
417,056
392,948
411,551
Diluted
399,336
433,039
392,948
430,242
DOORDASH, INC.
CONSOLIDATED STATEMENTS OF
CASH FLOWS
(in millions)
(Unaudited)
Year Ended December
31,
2022
2023
2024
Cash flows from operating
activities
Net income (loss) including redeemable
non-controlling interests
$
(1,368
)
$
(565
)
$
117
Adjustments to reconcile net income (loss)
to net cash provided by operating activities:
Depreciation and amortization
369
509
561
Stock-based compensation
889
1,088
1,099
Reduction of operating lease right-of-use
assets and accretion of operating lease liabilities
81
108
103
Office lease impairment expenses
2
—
83
Adjustments to non-marketable equity
securities, including impairment, net
303
101
4
Other
18
15
29
Changes in assets and liabilities, net of
assets acquired and liabilities assumed from acquisitions:
Funds held at payment processors
(86
)
86
(87
)
Accounts receivable, net
(33
)
(141
)
(222
)
Prepaid expenses and other current
assets
(165
)
(105
)
(146
)
Other assets
(90
)
(96
)
(279
)
Accounts payable
(15
)
70
82
Accrued expenses and other current
liabilities
566
702
943
Payments for operating lease
liabilities
(75
)
(113
)
(116
)
Other liabilities
(29
)
14
(39
)
Net cash provided by operating
activities
367
1,673
2,132
Cash flows from investing
activities
Purchases of property and equipment
(176
)
(123
)
(104
)
Capitalized software and website
development costs
(170
)
(201
)
(226
)
Purchases of marketable securities
(1,948
)
(1,946
)
(1,951
)
Maturities of marketable securities
1,552
1,940
1,774
Sales of marketable securities
387
7
70
Purchases of non-marketable equity
securities
(15
)
(17
)
—
Net cash acquired in acquisitions
71
—
—
Other investing activities
(1
)
(2
)
(7
)
Net cash used in investing activities
(300
)
(342
)
(444
)
Cash flows from financing
activities
Proceeds from exercise of stock
options
11
6
14
Repurchase of common stock
(400
)
(750
)
(224
)
Other financing activities
14
(8
)
6
Net cash used in financing activities
(375
)
(752
)
(204
)
Foreign currency effect on cash, cash
equivalents, and restricted cash
(10
)
5
(35
)
Net increase (decrease) in cash, cash
equivalents, and restricted cash
(318
)
584
1,449
Cash, cash equivalents, and restricted
cash
Cash, cash equivalents, and restricted
cash, beginning of period
2,506
2,188
2,772
Cash, cash equivalents, and restricted
cash, end of period
$
2,188
$
2,772
$
4,221
Reconciliation of cash, cash
equivalents, and restricted cash to the consolidated balance
sheets
Cash and cash equivalents
$
1,977
$
2,656
$
4,019
Restricted cash
—
105
190
Long-term restricted cash included in
other assets
211
11
12
Total cash, cash equivalents, and
restricted cash
$
2,188
$
2,772
$
4,221
Non-cash investing and financing
activities
Purchases of property and equipment not
yet settled
$
34
$
13
$
48
Stock-based compensation included in
capitalized software and website development costs
$
132
$
161
$
165
DOORDASH, INC.
NON-GAAP FINANCIAL
MEASURES
(Unaudited)
Three Months Ended
(In millions)
Dec. 31,
2023
Mar. 31,
2024
Jun. 30,
2024
Sept. 30,
2024
Dec. 31,
2024
Cost of revenue, exclusive of depreciation
and amortization
$
1,229
$
1,330
$
1,385
$
1,374
$
1,453
Adjusted to exclude the following:
Stock-based compensation expense and
certain payroll tax expense
(36
)
(33
)
(41
)
(36
)
(43
)
Allocated overhead
(7
)
(8
)
(9
)
(9
)
(9
)
Adjusted cost of revenue
$
1,186
$
1,289
$
1,335
$
1,329
$
1,401
Sales and marketing
$
460
$
504
$
509
$
483
$
541
Adjusted to exclude the following:
Stock-based compensation expense and
certain payroll tax expense
(29
)
(25
)
(33
)
(30
)
(30
)
Allocated overhead
(3
)
(6
)
(6
)
(6
)
(7
)
Adjusted sales and marketing
$
428
$
473
$
470
$
447
$
504
Research and development
$
253
$
279
$
303
$
289
$
297
Adjusted to exclude the following:
Stock-based compensation expense and
certain payroll tax expense
(119
)
(114
)
(141
)
(126
)
(126
)
Allocated overhead
(2
)
(5
)
(6
)
(7
)
(5
)
Adjusted research and development
$
132
$
160
$
156
$
156
$
166
General and administrative
$
320
$
319
$
494
$
315
$
324
Adjusted to exclude the following:
Stock-based compensation expense and
certain payroll tax expense
(88
)
(83
)
(89
)
(83
)
(74
)
Certain legal, tax, and regulatory
settlements, reserves, and expenses(1)
(50
)
(35
)
(102
)
(13
)
(30
)
Transaction-related costs
—
—
(2
)
—
(5
)
Office lease impairment expenses
—
—
(83
)
—
—
Allocated overhead from cost of revenue,
sales and marketing, and research and development
12
19
21
22
21
Adjusted general and administrative
$
194
$
220
$
239
$
241
$
236
(1)
We exclude certain costs and expenses from
our calculation of adjusted general and administrative expense
because management believes that these costs and expenses are not
indicative of our core operating performance, do not reflect the
underlying economics of our business, and are not necessary to
operate our business. These excluded costs and expenses consist of
(i) certain legal costs primarily related to worker classification
matters and our historical Dasher pay model, (ii) reserves and
settlements or other resolutions for or related to the collection
of sales, indirect, and other taxes that we do not expect to incur
on a recurring basis, (iii) expenses related to supporting various
policy matters, including those related to worker classification,
other labor law matters, and price controls, and (iv) donations as
part of our relief efforts in connection with the COVID-19
pandemic. We believe it is appropriate to exclude the foregoing
matters from our calculation of adjusted general and administrative
expense because (1) the timing and magnitude of such expenses are
unpredictable and thus not part of management’s budgeting or
forecasting process, and (2) with respect to worker classification
matters, management currently expects such expenses will not be
material to our results of operations over the long term as a
result of increasing legislative and regulatory certainty in this
area, including as a result of Proposition 22 in California and
similar legislation.
Three Months Ended
(In millions, except percentages)
Dec. 31,
2023
Mar. 31,
2024
Jun. 30,
2024
Sept. 30,
2024
Dec. 31,
2024
Revenue
$
2,303
$
2,513
$
2,630
$
2,706
$
2,873
Less: Cost of revenue, exclusive of
depreciation and amortization
(1,229
)
(1,330
)
(1,385
)
(1,374
)
(1,453
)
Less: Depreciation and amortization
related to cost of revenue
(48
)
(54
)
(50
)
(49
)
(48
)
Gross profit
$
1,026
$
1,129
$
1,195
$
1,283
$
1,372
Gross Margin
44.6
%
44.9
%
45.4
%
47.4
%
47.8
%
Less: Sales and marketing
(460
)
(504
)
(509
)
(483
)
(541
)
Add: Depreciation and amortization related
to cost of revenue
48
54
50
49
48
Add: Stock-based compensation expense and
certain payroll tax expense included in cost of revenue and sales
and marketing
65
58
74
66
73
Add: Allocated overhead included in cost
of revenue and sales and marketing
10
14
15
15
16
Contribution Profit
$
689
$
751
$
825
$
930
$
968
Contribution Margin
29.9
%
29.9
%
31.4
%
34.4
%
33.7
%
Three Months Ended
(In millions, except percentages)
Dec. 31,
2023
Mar. 31,
2024
Jun. 30,
2024
Sept. 30,
2024
Dec. 31,
2024
Gross profit
$
1,026
$
1,129
$
1,195
$
1,283
$
1,372
Add: Depreciation and amortization related
to cost of revenue
48
54
50
49
48
Add: Stock-based compensation expense and
certain payroll tax expense included in cost of revenue
36
33
41
36
43
Add: Allocated overhead included in cost
of revenue
7
8
9
9
9
Adjusted Gross Profit
$
1,117
$
1,224
$
1,295
$
1,377
$
1,472
Adjusted Gross Margin
48.5
%
48.7
%
49.2
%
50.9
%
51.2
%
Three Months Ended
(In millions)
Dec. 31,
2023
Mar. 31,
2024
Jun. 30,
2024
Sept. 30,
2024
Dec. 31,
2024
Net income (loss) attributable to
DoorDash, Inc. common stockholders
$
(154
)
$
(23
)
$
(157
)
$
162
$
141
Add: Net loss attributable to redeemable
non-controlling interests
(2
)
(2
)
(1
)
(1
)
(2
)
Net income (loss) including redeemable
non-controlling interests
$
(156
)
$
(25
)
$
(158
)
$
161
$
139
Certain legal, tax, and regulatory
settlements, reserves, and expenses(1)
50
35
102
13
30
Transaction-related costs
—
—
2
—
5
Office lease impairment expenses
—
—
83
—
—
Provision for (benefit from) income
taxes
17
7
1
(6
)
37
Interest income, net
(51
)
(45
)
(49
)
(54
)
(51
)
Other (income) expense, net
101
2
5
6
(8
)
Stock-based compensation expense and
certain payroll tax expense
272
255
304
275
273
Depreciation and amortization expense
130
142
140
138
141
Adjusted EBITDA
$
363
$
371
$
430
$
533
$
566
(1)
We exclude certain costs and expenses from
our calculation of Adjusted EBITDA because management believes that
these costs and expenses are not indicative of our core operating
performance, do not reflect the underlying economics of our
business, and are not necessary to operate our business. These
excluded costs and expenses consist of (i) certain legal costs
primarily related to worker classification matters and our
historical Dasher pay model, (ii) reserves and settlements or other
resolutions for or related to the collection of sales, indirect,
and other taxes that we do not expect to incur on a recurring
basis, (iii) expenses related to supporting various policy matters,
including those related to worker classification, other labor law
matters, and price controls, and (iv) donations as part of our
relief efforts in connection with the COVID-19 pandemic. We believe
it is appropriate to exclude the foregoing matters from our
calculation of Adjusted EBITDA because (1) the timing and magnitude
of such expenses are unpredictable and thus not part of
management’s budgeting or forecasting process, and (2) with respect
to worker classification matters, management currently expects such
expenses will not be material to our results of operations over the
long term as a result of increasing legislative and regulatory
certainty in this area, including as a result of Proposition 22 in
California and similar legislation.
Estimate of Certain Components of
Stock-Based Compensation Expense
(in millions)
2023 (Actuals)
2024 (Actuals)
2025
2026
CEO performance award(1)
$
104
$
67
$
7
$
—
Wolt retention and revesting
150
143
130
50
Pre-IPO RSUs: amortization of stepped-up
value(2)
67
49
3
—
New hire, continuing employee, and other
grants
767
840
960 - 1,060
NA
Total stock-based compensation expense
$
1,088
$
1,099
$1,100 - 1,200
NA
(1)
In November 2020, our board of directors
granted restricted stock units ("RSUs") to our Chief Executive
Officer, Tony Xu, covering 10,379,000 shares of our Class A common
stock, which we refer to here as the 2020 CEO Performance Award.
The award is intended to be the exclusive equity award to Mr. Xu
over a seven year performance period, which ends November 23, 2027.
The award has nine tranches that are eligible to vest based on the
achievement of stock price goals ranging from $187.60 to $501.00,
measured using an average of our stock price over a consecutive
180-day period during the performance period. For more information
on the 2020 CEO Performance Award, please refer to our annual proxy
statement.
(2)
Certain RSUs awarded prior to or around
the time of our initial public offering have grant-date fair values
that significantly exceed the fair value of the awards (“409A
value”) prevailing at the time they were committed to employees.
The amounts included here represent the stock-based compensation
associated with the excess amount of the grant-date fair value over
the 409A value.
Reconciliation of net cash provided by
operating activities to Free Cash Flow
(in millions)
Trailing Twelve Months
Ended
Dec. 31,
2023
Mar. 31,
2024
Jun. 30,
2024
Sept. 30,
2024
Dec. 31,
2024
Net cash provided by operating
activities
$
1,673
$
1,829
$
1,966
$
2,099
$
2,132
Purchases of property and equipment
(123
)
(101
)
(97
)
(101
)
(104
)
Capitalized software and website
development costs
(201
)
(208
)
(209
)
(218
)
(226
)
Free Cash Flow
$
1,349
$
1,520
$
1,660
$
1,780
$
1,802
View source
version on businesswire.com: https://www.businesswire.com/news/home/20250211272599/en/
IR Contact: ir@doordash.com
PR Contact: press@doordash.com
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