10-QPeriod: Q2 FY2021

DoorDash, Inc. Quarterly Report for Q2 Ended Jun 30, 2021

Filed August 13, 2021For Securities:DASH

Summary

DoorDash, Inc.'s (DASH) 10-Q filing for the quarter ending June 30, 2021, reveals significant year-over-year revenue growth, with a 83% increase for the three-month period and a 123% increase for the six-month period, driven primarily by a substantial rise in Total Orders and Marketplace Gross Order Value (GOV). Despite this top-line growth, the company continued to report net losses, with a loss of $102 million for the quarter and $212 million for the six months. This widening net loss is largely attributed to increased operating expenses, particularly in sales and marketing (up 154% and 138% year-over-year, respectively) and research and development, and general and administrative expenses. A significant factor contributing to these increased expenses was a substantial rise in stock-based compensation, particularly related to Restricted Stock Units (RSUs) vesting upon the company's IPO. The company's cash position remains strong, with $4.7 billion in cash, cash equivalents, and marketable securities, providing ample liquidity for at least the next 12 months.

Financial Highlights

45 data points
Beta

Revenue

$1.24B

Net Income

-$102.00M

-8.3% Net Margin

EPS (Diluted)

$-0.30

Total Assets

$6.18B

Cash & Equivalents

$3.33B

Free Cash Flow

$221.00M

Financial Statements
Beta
Revenue$1.24B
R&D Expenses$100.00M
Operating Expenses$1.33B
Operating Income-$99.00M
Interest Expense$1.00M
Net Income-$102.00M
EPS (Basic)$-0.30
EPS (Diluted)$-0.30
Shares Outstanding (Basic)334.71M
Shares Outstanding (Diluted)334.71M

Key Highlights

  • 1Revenue increased by 83% year-over-year to $1.24 billion for the three months ended June 30, 2021, and by 123% to $2.31 billion for the six months ended June 30, 2021.
  • 2Total Orders grew by 69% year-over-year to 345 million for the three months ended June 30, 2021.
  • 3Marketplace GOV increased by 70% year-over-year to $10.5 billion for the three months ended June 30, 2021.
  • 4Net loss widened to $102 million for the three months ended June 30, 2021, compared to a net income of $23 million in the prior year period. The six-month net loss was $212 million compared to $106 million in the prior year period.
  • 5Sales and marketing expenses more than doubled, increasing by 154% year-over-year for the three months ended June 30, 2021, impacting profitability.
  • 6Stock-based compensation expense increased significantly to $138 million for the three months ended June 30, 2021, compared to $3 million in the prior year period, driven by RSU vesting upon IPO.
  • 7The company maintained a strong liquidity position with $4.7 billion in cash, cash equivalents, and marketable securities as of June 30, 2021.

Frequently Asked Questions

DoorDash reported strong revenue growth, with an 83% increase to $1.24 billion for the three months ended June 30, 2021, and a 123% increase to $2.31 billion for the six months ended June 30, 2021, compared to the same periods in the previous year. This growth was primarily driven by an increase in Total Orders and Marketplace Gross Order Value (GOV).

No, DoorDash continued to experience net losses. The company reported a net loss of $102 million for the three months ended June 30, 2021, compared to a net income of $23 million in the prior year period. The six-month net loss was $212 million, up from $106 million in the prior year period. This was mainly due to increased operating expenses, particularly in sales and marketing, and substantial stock-based compensation expenses.

DoorDash maintained a strong financial position with $4.7 billion in cash, cash equivalents, and marketable securities as of June 30, 2021. The company believes this liquidity is sufficient to meet its working capital and capital expenditure needs for at least the next 12 months.

Operating expenses increased significantly, primarily driven by higher sales and marketing expenses related to customer and Dasher acquisition, increased research and development costs, and general administrative expenses. A major contributor to the expense increase was a substantial rise in stock-based compensation, largely due to the vesting of Restricted Stock Units (RSUs) upon the company's Initial Public Offering (IPO).