Grubhub Inc. (NYSE: GRUB) reported its most recent quarterly results before the markets opened on Thursday. Although Grubhub had a record number of active diners this quarter, the bottom line still held this company way back.
The food delivery firm said that it had $0.19 in earnings per share (EPS) and $287.7 million in revenue, which compares with consensus estimates of $0.28 in EPS and $290.72 million in revenue. The fourth quarter of last year reportedly had $0.37 in EPS and $205.08 million in revenue.
During the latest quarter, active diners increased 22% year over year to 17.7 million from 14.5 million in the fourth quarter of 2017.
Daily Average Grubs (DAGs) were 467,500, a 19% increase from 392,500 DAGs in the same period last year. Gross food sales increased 21% to $1.4 billion.
Looking ahead to the first quarter, the company expects to see revenues in the range of $310 million to $330 million and adjusted EBITDA between $40 million and $50 million. Consensus estimates call for $0.43 in EPS and $322.53 million in revenue for the quarter.
Matt Maloney, Grubhub’s founder and CEO, commented:
2018 was a transformational year for Grubhub. We made great progress connecting hungry takeout diners with the restaurants they want, further positioning ourselves to continue to capture a significant share of the more than $200 billion takeout industry in the U.S. We deepened relationships with our restaurant partners through acquisitions of LevelUp and Tapingo, increased the number of restaurants that partner with us to more than 105,000, grew active diners on our platform by 3.2 million, and – most emblematic of the year – accelerated organic DAG growth on our marketplace every single quarter. We couldn’t be more excited about building on this momentum in 2019.
Shares of Grubhub were last seen down about 20% at $67.90 on Thursday, in a 52-week range of $66.64 to $149.35. The consensus price target is $114.73.
Essential Tips for Investing: Sponsored
A financial advisor can help you understand the advantages and disadvantages of investment properties. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
Investing in real estate can diversify your portfolio. But expanding your horizons may add additional costs. If you’re an investor looking to minimize expenses, consider checking out online brokerages. They often offer low investment fees, helping you maximize your profit.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Editors' Picks
