(Reuters) -DoorDash forecast fourth-quarter gross merchandise value above Wall Street expectations and beat quarterly revenue estimates on Wednesday, boosted by resilient demand for deliveries and partnerships with restaurants and retailers.
The company expects gross merchandise value, the total dollar value of orders placed through its platform, in the fourth quarter, to range between $28.9 billion and $29.5 billion, surpassing estimates of $25.36 billion, according to data compiled by LSEG.
DoorDash has signed a series of partnerships, including with robotics firm Serve Robotics, and retail outlets companies like Domino’s Pizza and Kroger as it looks to expand its services to serve a broader range of customers seeking last-mile delivery services.
GMV rose 25% to $25.02 billion in the third quarter ended September 30, beating estimates of $24.09 billion, with total orders climbing 21% year-over-year. Revenue increased to $3.45 billion, above expectations of $3.36 billion.
Net revenue margin rose to 13.8% from 13.5% a year earlier, driven by strong advertising revenue.
Total costs and expenses rose to $3.19 billion from $2.60 billion a year ago. The company’s partnerships also ticked up costs in the quarter.
DoorDash reported earnings of 55 cents per share, missing estimates of 69 cents.
(Reporting by Anshi Sancheti in Bengaluru; Editing by Tasim Zahid)
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