DoorDash Beats Q2 Estimates, Shares Rise in After-Hours Trading

DoorDash reported higher-than-expected earnings in Q2, with a net loss of $345.2m, beating estimates of a loss of $494.6m. The food delivery firm's revenue increased 83% YoY to $1.1bn, also exceeding forecasts. Shares rose in after-hours trading.

DoorDash Inc. (NASDAQ: DASH) has reported robust financial results for the second quarter of 2025, with net income and revenue figures significantly exceeding analyst expectations. The food delivery company's net income surged to $284 million, up from a net loss of $158 million in the same period last year, while revenue grew 24.9% to $3.28 billion. These results highlight the company's strong operational turnaround and continued growth momentum.

Revenue Growth and Market Expansion

Doordash's total revenue for Q2 2025 reached $3.28 billion, representing a 24.9% year-over-year increase from $2.63 billion in Q2 2024. The growth was driven by broader platform engagement and continued expansion in core delivery and advertising segments, as well as contributions from recent strategic acquisitions [1].

Profitability and Operational Efficiency

The company returned to profitability with a net income of $284 million in Q2 2025, up from a net loss of $158 million in the prior-year period. Earnings per share soared to $0.67, compared to a loss of $0.38 per share, reflecting a 276.3% improvement. The company set a record high for Q2 net income, the highest in six years, indicating a strong operational turnaround and disciplined cost management [1].

Stock Performance

On the stock market, DASH edged up 0.33% during the latest trading day, gained 4.06% over the past full trading week, and rose 4.53% month-to-date. Investors have shown growing confidence in the company’s business model and long-term potential [1].

CEO and CFO Commentary

CEO Tony Xu attributed the company’s strong performance to years of investment in platform improvements, including personalization, delivery speed, and customer service. He emphasized the robust growth of the advertising business, now at an annualized revenue run rate of over $1 billion. Xu also highlighted the transformative potential of AI in enhancing product design and operational efficiency [1]. CFO Ravi Inukonda indicated that take rates are expected to rise in the second half of 2025 and reaffirmed the company’s emphasis on profit dollars rather than specific take-rate targets [1].

Strategic Acquisitions and Future Outlook

The company expects to finalize the acquisition of Deliveroo in Q4 2025, pending regulatory approvals, and plans to integrate it under its existing margin-focused strategy [1]. The company's shares rose 7.83% in after-hours trading to $278.30, reflecting market optimism about its growth trajectory and expanding market share [1].

References:
[1] https://www.ainvest.com/news/doordash-2025-q2-earnings-profitable-turnaround-net-income-surges-279-7-2508/
[2] https://www.ainvest.com/news/doordash-q2-revenue-sets-record-surpasses-earnings-estimates-25-yoy-growth-3-3-billion-revenue-2508/
[3] https://www.cnbc.com/2025/08/06/doordash-dash-stock-q2-earnings.html
[4] https://www.inkl.com/news/can-a-surge-in-delivery-orders-keep-doordash-soaring-stock-spike-triggers-major-reactions