San Francisco / CA. (ddi) DoorDash Inc. announced its financial results for the quarter ended June 30. In Q2-2024, DD set new quarterly records for Total Orders, Marketplace GOV, and revenue with year-over-year (Y/Y) growth in revenue that exceeded Y/Y growth in Marketplace GOV for the tenth consecutive quarter.
Our aim is to build a large and durable business by building services that expand the potential of local commerce. Our core competencies in that pursuit are customer obsession, attention to detail, and effort. We are very pleased with our financial performance in Q2 2024, as it reflects years of investment and product-level focus that drove strong growth and improved unit economics in several major areas of our business. We are also pleased that we were able to drive more sales to more merchants than ever before, generate more earnings opportunities for Dashers than ever before, and connect more DashPass members to more of the local merchants they love than ever before. Our opportunity to strengthen local commerce is large and we hope to continue setting new records in the quarters, years, and decades to come.
Second Quarter 2024 Key Financial Metrics
- Total Orders increased 19 percent Y/Y to 635 million and Marketplace GOV increased 20 percent Y/Y to USD 19.7 billion.
- Revenue increased 23 percent Y/Y to USD 2.6 billion and Net Revenue Margin increased to 13.3 percent from 13.0 percent in Q2 2023.
- GAAP net loss including redeemable non-controlling interests was USD 158 million versus USD 172 million in Q2-2023. Adjusted Ebitda increased to USD 430 million from USD 279 million in Q2-2023.
Operational Highlights
In the U.S. in Q2 2024, we added tens of thousands of new merchants to our marketplace, helped put smiles on the faces of hundreds of thousands of mothers with flowers on Mother’s Day, and compared to Q2 2023, we reduced merchant churn rates, lowered net consumer fees per order, and reduced the average order defect rate. In our U.S. restaurant category we added new features that improve personalisation, expanded the breadth and depth of our metadata, and made it easier to reorder from your favorite restaurants. This helped drive a double-digit Y/Y increase in U.S. monthly active users (MAU) in June, along with continued Y/Y growth in order frequency, driven in part by continued growth in DashPass members.
Over the last year, we have added important new merchants to our U.S. marketplace in the grocery, beauty, home improvement, alcohol, and sporting goods categories. Our goal across all of these categories is to provide our merchant partners with world-class logistics, demand generation, digital ordering, and consumer service capabilities. In doing so, we hope to fuel local commerce by enabling consumers to connect with the local merchants they love with low friction, delightful speed, and excellent service.
Improvements to our U.S. new verticals marketplace helped drive consistent Y/Y growth in order frequency in our new verticals categories in Q2 2024, as well as all-time high MAU penetration. We also improved Dasher cost efficiency in our U.S. new verticals marketplace in Q2 2024 compared to both Q2 2023 and Q1 2024. The steady increase in consumer adoption in U.S. new verticals categories along with strong trends in logistics efficiency give us confidence to continue investing to further improve the experience we offer.
It has now been two full years since we joined forces with Wolt to expand our international potential. In that time frame, we have expanded to four new countries and over 500 new cities. Our international ambitions remain well above what we have achieved to date, but we are very pleased with the performance our teams are generating. In the majority of our largest international markets, our six-month consumer retention is in line with or higher than it is in the U.S., where third-party data suggests we have maintained category leading consumer retention for several years. We believe this reflects an excellent product experience that delights consumers and provides a sound foundation to build on. It is also contributing to gains in category share, as third-party data suggests we gained category share on a Y/Y basis in the vast majority of our international countries in June.
Similar to the U.S., we have expanded the number of categories we offer on our international marketplaces and are seeing an excellent consumer response, which suggests demand for convenience stretches across categories and across borders. It also suggests our focus on providing great experiences in the restaurant category is helping us earn consumers’ trust in new areas. We are excited by the potential this provides and believe the combination of solid consumer retention and expanding use cases will help us drive durable growth and improving profitability in our international markets in the coming years.
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