DoorDash (DASH) Q2 2024 earnings summary

Executive summary

• Revenue grew 23% year-over-year to $2.63 billion in Q2 2024, driven by 19% growth in total orders and 20% growth in Marketplace GOV, with record highs in orders, GOV, and revenue.

• Net loss narrowed to $158 million from $172 million in Q2 2023, with improved net loss margin at (0.8)% of Marketplace GOV.

• Adjusted EBITDA rose to $430 million, up from $279 million a year ago, reflecting operating leverage and higher contribution profit.

• Free cash flow increased to $451 million, up from $311 million in Q2 2023, supported by strong cash from operations.

• Strong consumer demand, record order frequency, and robust new customer acquisition observed across U.S. and international markets, with international retention and frequency outpacing the U.S.

Financial highlights

• Q2 2024 revenue: $2.63 billion, up 23% year-over-year; six-month revenue: $5.14 billion, up 23%.

• Total Orders rose 19% year-over-year to 635 million; Marketplace GOV up 20% to $19.7 billion.

• Gross profit: $1.20 billion in Q2 2024 (gross margin 45.4%), up from $951 million (44.6%) in Q2 2023.

• Adjusted EBITDA: $430 million in Q2 2024, up from $279 million in Q2 2023.

• Free cash flow: $451 million in Q2 2024, up from $311 million in Q2 2023.

Outlook and guidance

• Q3 2024 Marketplace GOV expected between $19.4 billion and $19.8 billion; Adjusted EBITDA guidance of $470 million to $540 million.

• Management expects continued revenue growth, supported by consumer engagement and international expansion.

• Ongoing investments in technology, platform services, and new categories are anticipated.

• H2 EBITDA projected to be higher than H1 as regulatory cost impacts decrease and volume/gross profit grow.

• Existing liquidity, including $5.5 billion in cash, equivalents, and marketable securities, is expected to cover capital needs for at least the next 12 months.