DoorDash, Inc. stock research
FY2023 Q2
DoorDash (DASH) Gross Margin — Quarter Ended Jun 30, 2023
Revenue and gross profit were higher than both the prior quarter and the same quarter last year, while cost of revenue also increased. Gross margin weakened slightly from the prior quarter but improved compared to a year ago, reflecting a mixed sequential and annual trend.
Gross margin takeaway
Quarter ended Jun 30, 2023 · FY2023 Q2
Revenue and gross profit were higher than both the prior quarter and the same quarter last year, while cost of revenue also increased. Gross margin weakened slightly from the prior quarter but improved compared to a year ago, reflecting a mixed sequential and annual trend.
- The gross margin for the current quarter was higher than the year-ago quarter, indicating an overall strengthening in the relationship between revenue and cost of revenue over that period. The sequential decline from the prior quarter suggests a slight weakening in that dynamic.
- Compared to the prior quarter, revenue and gross profit were higher, but cost of revenue was stable, leading to a slightly lower gross margin. Relative to the year-ago quarter, all three metrics—revenue, gross profit, and cost of revenue—were higher, with gross margin showing improvement.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
42.4%
Gross profit
$904.0M
Revenue
$2.1B
Cost of revenue
$1.2B
Quarter-over-quarter change
-0.7 pts
Year-over-year change
+1.0 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Mar 31, 2023 | $2.0B | $876.0M | $1.2B | 43.0% |
| Jun 30, 2023 | $2.1B | $904.0M | $1.2B | 42.4% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2023
-0.7 pts
Year-over-year change
Jun 30, 2022
+1.0 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gross margin for the current quarter was higher than the year-ago quarter, indicating an overall strengthening in the relationship between revenue and cost of revenue over that period. The sequential decline from the prior quarter suggests a slight weakening in that dynamic.
Compared to the prior quarter, revenue and gross profit were higher, but cost of revenue was stable, leading to a slightly lower gross margin. Relative to the year-ago quarter, all three metrics—revenue, gross profit, and cost of revenue—were higher, with gross margin showing improvement.
Monitor whether cost of revenue growth continues to align with revenue growth, as the sequential gross margin weakened while the annual comparison improved.