DoorDash on Thursday reported that its sales nearly tripled in the first three months of the year as demand for food delivery remained elevated even as U.S. restaurants reopened their dining rooms.
DoorDash said its revenue surged 198% to $1.1 billion in the January-March period. That was well above Wall Street’s forecast of $994 million, according to analysts polled by FactSet.
But San Francisco-based DoorDash reported a net loss of $110 million because it is still spending heavily to win new customers and expand into other services, like delivery from groceries and convenience stores.
DoorDash narrowed its net loss per share to 34 cents from $2.92 in the same period a year ago. That was short of Wall Street’s forecast of an 8-cent loss per share in the latest period.
DoorDash’s sales more than tripled last year as lockdowns triggered by the coronavirus pandemic closed dining rooms. But the company has said demand could slow as vaccinations progress and more people choose to dine at restaurants.
Uber Eats, DoorDash’s chief rival, also saw continued strong demand in the first quarter. Uber Eats said last week that its sales jumped 166% in the January-March period.
DoorDash’s stock was up 7% in after-market trading following the release of the earnings report. It is down 19% so far this year.