Maplebear 2025 Q3 Earnings Beats Estimates with 22% Net Income Growth

Maplebear (CART) reported Q3 2025 earnings that exceeded Wall Street expectations, with both revenue and EPS outperforming forecasts. The company raised its Q4 guidance slightly, reflecting confidence in its business trajectory despite recent stock price declines.

Revenue

Maplebear’s total revenue surged 10.2% year-over-year to $939 million in Q3 2025, driven by robust performance across its core segments. Transaction revenue led the charge with $670 million, while advertising and other services contributed $269 million. This diversification underscores the company’s ability to generate income from multiple streams, reinforcing its market position.

Earnings/Net Income

Earnings per share (EPS) increased 20.0% to $0.54, outpacing the $0.45 recorded in Q3 2024. Net income also saw significant growth, rising 22.0% to $144 million from $118 million. These results highlight the company’s strengthening profitability and operational efficiency, positioning it for sustained long-term gains.

Post-Earnings Price Action Review

Despite the positive earnings beat, Maplebear’s stock faced downward pressure in the short term. The price dropped 3.52% on the latest trading day, edged down 0.29% for the week, and declined 4.50% month-to-date. This underperformance contrasts with the earnings optimism, suggesting market skepticism or broader sector headwinds. However, the company’s raised Q4 guidance and strategic initiatives, including AI innovation and enterprise expansion, could catalyze a turnaround in investor sentiment.

CEO Commentary

CEO Chris Rogers emphasized Maplebear’s leadership in the online grocery market and its scalable enterprise solutions, including 350+ retailer e-commerce storefronts. He highlighted improved unit economics and a flywheel effect from customer satisfaction and profitability. Strategic priorities include affordability initiatives, international expansion via platforms like Storefront and Caper, and AI-driven enhancements to the advertising ecosystem. Rogers expressed confidence in leveraging these strengths to drive long-term growth.

Guidance

CFO Emily Maher provided Q4 2025 guidance, projecting gross transaction value (GTV) between $9.45 billion and $9.6 billion (9-11% YoY growth) and advertising revenue growth of 6-9%. Adjusted EBITDA is expected to range from $285 million to $295 million. The company also announced a $1.5 billion share repurchase program expansion, including a $250 million accelerated repurchase, signaling strong capital allocation discipline.

Additional News

Maplebear announced a $1.65 billion share repurchase program, including a $250 million accelerated buyback, reflecting confidence in its financial flexibility. Analysts from Needham and Benchmark revised their price targets downward to $50 and $60, respectively, maintaining "Buy" ratings. The company also highlighted strategic partnerships and AI innovation as key drivers for future growth, with a focus on expanding its retail media network and enhancing customer experiences.

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