Revenues and Orders Surpass Analysts’ Projections
SAN FRANCISCO – DoorDash, the San Francisco-based delivery company, reported a 27% increase in revenues, reaching $2.3 billion in the fourth quarter of the year. This figure slightly surpassed the $2.25 billion that analysts had forecasted. Moreover, total orders rose by 23% to 574 million, exceeding the 561.3 million predicted by Wall Street experts.
Net Losses Fail to Meet Wall Street’s Hopes
Despite the positive revenue and order numbers, DoorDash’s net losses did not shrink as much as anticipated. The company’s net loss for the quarter was $154 million, an improvement from the $640 million reported in the same period the previous year. However, analysts had expected a more significant reduction to $61 million.
Stock Performance
Following the announcement, DoorDash shares rose by 5.2% during regular trading hours. However, the gains were short-lived as the stock plummeted by 10% in after-hours trading. Investors reacted to the mixed results, emphasizing the importance of not only revenue growth but also effective cost management strategies for the delivery giant.