DoorDash Reports Strong Q4 and Full-Year 2024 Financial Results: Record Growth and Profitability
DoorDash, Inc. (NASDAQ: DASH) has announced its financial results for the fourth quarter and fiscal year ended December 31, 2024, showcasing impressive growth, profitability, and operational milestones. The company’s annual letter to shareholders, available on the DoorDash investor relations website, highlights its commitment to empowering local economies while delivering value to merchants, consumers, and Dashers. With a 24% year-over-year (Y/Y) revenue increase, its first full year of positive GAAP net income, and nearly $60 billion in sales generated for local merchants, DoorDash is poised for continued success in 2025 and beyond.
Q4 2024: Key Financial Highlights
The fourth quarter of 2024 marked a significant achievement for DoorDash, with record-breaking performance across key metrics:
- Total Orders: Increased 19% Y/Y to 685 million, driven by growing consumer engagement and expanded merchant selection.
- Marketplace Gross Order Value (GOV): Grew 21% Y/Y to $21.3 billion, reflecting strong demand across DoorDash’s platforms.
- Revenue: Surged 25% Y/Y to $2.9 billion, supported by robust Marketplace GOV growth and increased advertising revenue.
- Net Revenue Margin: Improved to 13.5%, up from 13.1% in Q4 2023, demonstrating operational efficiency gains.
- GAAP Net Income: Turned positive at $141 million, compared to a loss of $154 million in Q4 2023.
- Adjusted EBITDA: Reached an all-time high of $566 million, up from $363 million in Q4 2023, representing 2.7% of Marketplace GOV.
These results underscore DoorDash’s ability to scale efficiently while reinvesting in its platform to drive future growth.
Operational Excellence and Strategic Growth
DoorDash’s mission to grow and empower local economies remains at the core of its operations. In 2024, the company achieved significant improvements in operational efficiency and expanded its product offerings, enabling it to deliver greater value to its stakeholders.
U.S. Marketplace Performance
In the U.S., DoorDash continued to strengthen its leadership position. Monthly active users (MAUs) grew at a double-digit pace Y/Y, with increased order frequency driving consistent growth in Marketplace GOV. The U.S. restaurant category saw steady Y/Y growth, while new verticals, such as grocery, experienced substantial expansion. By adding thousands of new grocery stores and enhancing quality metrics, DoorDash attracted more users and increased basket sizes, further solidifying its dominance.
International Expansion
Internationally, DoorDash achieved remarkable progress, with merchant selection growing over 25% Y/Y. This expansion helped attract more consumers than ever before, driving strong MAU growth and higher order frequencies. International marketplaces outpaced U.S. growth in total orders, highlighting DoorDash’s global potential.
Product Innovation and User Engagement
DoorDash’s focus on improving merchant selection, expanding categories, and enhancing quality led to record user engagement. In December 2024, MAUs reached an all-time high of over 42 million, up from 37 million in December 2023. Additionally, subscription programs like DashPass and Wolt+ grew to over 22 million members, up from 18 million the previous year. Notably, over 25% of MAUs ordered from new verticals categories, up from 20% in December 2023.
Financial Performance and Efficiency Gains
DoorDash’s Q4 2024 financial performance reflects its commitment to balancing growth with profitability:
- Gross Profit: Increased 34% Y/Y to $1.4 billion, with gross profit as a percentage of Marketplace GOV rising to 6.4% from 5.8% in Q4 2023.
- Operating Expenses: Sales and marketing expenses grew 18% Y/Y to $541 million, primarily due to increased advertising investments. Research and development expenses rose 17% Y/Y to $297 million, driven by personnel-related costs.
- Cash Flow: Operating cash flow was $518 million, contributing to $2.1 billion for the full year. Free Cash Flow totaled $420 million in Q4, bringing the annual total to $1.8 billion.
Share Repurchase Program and Financial Outlook
In February 2025, DoorDash’s board authorized a new $5.0 billion share repurchase program, replacing the previous $1.1 billion authorization. This underscores the company’s confidence in its long-term growth prospects.
For Q1 2025, DoorDash expects:
- Marketplace GOV: $22.6 billion to $23.0 billion
- Adjusted EBITDA: $550 million to $600 million
The company anticipates Adjusted EBITDA as a percentage of Marketplace GOV to improve sequentially throughout 2025. However, risks such as weaker consumer spending or geopolitical uncertainties could impact results.
Looking Ahead: Scaling Impact and Innovation
As DoorDash looks to 2025 and beyond, its focus remains on creating incremental operational efficiencies and reinvesting in the business to unlock new opportunities. The company plans to expand into untapped areas of local commerce, exploring initiatives that benefit consumers, merchants, and Dashers alike.
“2024 was a transformative year for DoorDash,” said the company in its shareholder letter. “We are excited about our potential to increase scale, profitability, and impact on local economies in the years ahead.”
Why DoorDash’s Performance Matters
DoorDash’s achievements in 2024 highlight its role as a catalyst for local economic growth. By leveraging technology, scale, and innovation, the company continues to redefine convenience and accessibility for millions of users worldwide. Its focus on operational excellence, coupled with strategic investments, positions DoorDash as a leader in the rapidly evolving delivery and commerce landscape.
For more insights into DoorDash’s Q4 and full-year 2024 performance, visit the DoorDash Investor Relations page. Join the earnings call and webcast today at 2:00 p.m. Pacific Time (5:00 p.m. Eastern Time) to hear directly from the leadership team. An archived webcast will be available shortly after the event.
With a strong foundation and clear vision for the future, DoorDash is well-equipped to navigate challenges and seize opportunities, ensuring sustained growth and value creation for all stakeholders.
