Did GrubHub Earnings Finally Mark a Bottom?
GrubHub SEC FilingGrubHub Inc. (NYSE: GRUB) reported its second quarter financial results Tuesday before the markets opened. The company had $0.17 in earnings per share (EPS) on $88.0 million in revenue compared to Thomson Reuters consensus estimates of $0.13 in EPS…
This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.
GrubHub Inc. (NYSE: GRUB) reported its second quarter financial results Tuesday before the markets opened. The company had $0.17 in earnings per share (EPS) on $88.0 million in revenue compared to Thomson Reuters consensus estimates of $0.13 in EPS on $85.28 million. The same period from the previous year had $0.07 in EPS on $60.0 million in revenue.
The company gave guidance for the third quarter and the full year. GrubHub expects revenue to be in the range of $85 million to $87 million in the third quarter and $358 million to $364 million for the full year. The consensus estimates call for $85.60 million in revenue in the third quarter and $359.86 million in revenue for the full year.
In this quarter the company released a significant upgrade to the Seamless consumer interface. The new interface has an updated design and is mobile-centric. According to GrubHub it is also now on a single technology stack, which will allow it to scale more easily and will dramatically improve its time to market for new features and functionality.
A few key business metrics from the second quarter were:
- Active Diners totaled 5.93 million, a 42% year-over-year increase from 4.19 million Active Diners in the second quarter of 2014.
- Daily Average Grubs totaled 220,100, a 26% year-over-year increase from 174,500 Daily Average Grubs in the second quarter of 2014.
- Gross Food Sales totaled $568 million, a 34% year-over-year increase from $423 million in the second quarter of 2014.
Matt Maloney, CEO of GrubHub, said:
We delivered significant year-over-year growth in the seasonally slower second quarter, driven by strong performance in all of our markets across the country. GrubHub’s almost 6 million diners ordered more than 20 million times during the quarter, driving revenue growth of 47 percent year-over-year.
At the end of the second quarter, the company reported having $195.6 million in cash and cash equivalents compared to $201.8 million at the end of 2014.
Shares of Grubhub were up about 10% at $34.20 on Tuesday morning. The stock has a consensus analyst price target of $47.35 and a 52-week trading range of $29.00 to $47.95.
ALSO READ: The Most Iconic Frozen Treats in Each State
Contact [email protected] for any questions or corrections.
Chris Lange is a financial and geopolitical writer with more than a decade of experience covering a myriad of topics. He has published thousands of articles for 24/7 Wall St., with past coverage focused heavily on stocks, IPOs, healthcare, defense, global affairs, and technology.
His work has been quoted, or referenced by a number of outlets including Business Insider, USA Today, Yahoo Finance, MSN, The Motley Fool, and many other publications. A graduate of Southwestern University, he studied business with a focus on investments and has previous experience in banking and startups.
When not reading or writing the news, he is following his passion for Lacrosse, playing chess, or building solar projects with his dad.
