What happened
DoorDash (DASH -0.61%) wasn't quite delivering for its shareholders at the end of the week. Following the release of its latest quarterly results after the market closed Thursday, its stock took a nearly 2% hit on Friday.
So what
For the first quarter, the food delivery company earned just under $1.46 billion in revenue. That was 35% higher on a year-over-year basis, and topped the $1.37 billion average analyst estimate. Meanwhile, gross order volume rose by 25% to hit $12.4 billion. The company also said that it broke its record for new customer additions in the quarter.
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Going in the opposite direction was the bottom-line result. DoorDash's net loss deepened to $167 million ($0.48 per share) from the year-ago shortfall of $110 million. Compounding that negative development, the consensus expectation among analysts was for a net loss of only $0.41.
Now what
DoorDash sees plenty of potential for expansion. "Our strategy is to invest cash generated by our U.S. restaurant marketplace back into our business in order to build a more holistic platform for local commerce," it wrote in its letter to shareholders.
It added that this has resulted in the "addition and growth" of several niche delivery categories such as flowers and alcohol, and a push into new international markets.
DoorDash's growing optimism about the future was reflected in its revised revenue guidance. For 2022, it now expects gross order volume in the range of $49 billion to $51 billion, up from its previous forecast range of $48 billion to $50 billion. As for profitability, non-GAAP (adjusted) earnings before interest, taxes, depreciation, and amortization (EBITDA) should land in the range of breakeven to $500 million.
