DoorDash (NYSE:DASH) shares dropped after posting fourth-quarter revenue of $1.82 billion, topping analyst expectations of $1.77 billion, per Refinitiv. DoorDash also said it will buy back up to $750 million shares. However, the company reported a wider-than-expected loss.
Revenue chimed in at $1.82 Billion (+40.0% Y/Y), beating expectations by $60 million.
Q4 2022 Total Orders increased 27% Y/Y to 467 million from 369 million in Q4 2021. The Y/Y growth in Total Orders was driven by growth in consumers and consumer engagement at DoorDash as well as the company’s acquisition of Wolt.
Q4 2022 Revenue increased 40% Y/Y to $1.8 billion from $1.3 billion in Q4 2021. Net Revenue Margin, defined as revenue as a percentage of Marketplace GOV, increased to 12.6% in Q4 2022 from 11.6% in Q4 2021.
The Y/Y increase in Net Revenue Margin was driven primarily by a reduction in credits, refunds, discounts, and promotions as a percentage of Marketplace GOV, which was partially offset by an increased mix of orders from international markets, non-restaurant categories, and DashPass members.
The company expects Q1 Marketplace GOV to be in a range of $15.1 billion to $15.5 billion, with Q1 Adjusted EBITDA expected to be in a range of $120 million to $170 million. It also expects 2023 Marketplace GOV to be in a range of $60.0 billion to $63.0 billion, with Adjusted EBITDA expected to be in a range of $500 million to $800 million.
DASH shares shed $1.61, or 2.4%, to $65.28.
