A DoorDash bag on a bicycle in New York, US, on Tuesday, May 6, 2025.
Yuki Iwamura | Bloomberg | Getty Images
DoorDash reported third-quarter earnings that missed analyst expectations and said it expects to spend “several hundred million dollars” on new initiatives and development in 2026.
The stock plummeted 20% following the report.
Here’s how the company did compared to LSEG estimates:
- Earnings: 55 cents per share vs 69 cents per share expected
- Revenue: $3.45 billion vs $3.36 billion expected.
“We wish there was a way to grow a baby into an adult without investment, or to see the baby grow into an adult overnight, but we do not believe this is how life or business works,” the company wrote in its earnings release to explain the boosted spending.
The food delivery platform’s revenue increased 27% from a year earlier.
DoorDash posted net income of $244 million, or 55 cents per share, in Q3, up from $162 million, or 38 cents per share, a year ago.
Total orders grew 21% over the prior year to 776 million, just above the 770.13 million expected by FactSet.
Doordash one-day stock chart.
