DoorDash, Inc. stock research
FY2024 Q1
DoorDash (DASH) Gross Margin — Quarter Ended Mar 31, 2024
Revenue and gross profit both rose compared to the preceding quarter and the same quarter one year earlier. Gross margin was essentially stable versus the prior quarter but slightly lower versus the year-ago period, as the increase in cost of revenue approximately kept pace with revenue growth.
Gross margin takeaway
Quarter ended Mar 31, 2024 · FY2024 Q1
Revenue and gross profit both rose compared to the preceding quarter and the same quarter one year earlier. Gross margin was essentially stable versus the prior quarter but slightly lower versus the year-ago period, as the increase in cost of revenue approximately kept pace with revenue growth.
- The relationship between revenue and cost of revenue resulted in a gross profit that expanded in absolute terms, while the gross margin ratio remained nearly steady sequentially. The year-over-year comparison shows a marginal weakening in the margin rate despite higher revenue.
- Compared to the immediately preceding quarter, revenue was higher and gross profit was higher, with gross margin improving slightly. Versus the same quarter one year earlier, revenue and gross profit were both higher, but gross margin was a touch lower.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
42.7%
Gross profit
$1.1B
Revenue
$2.5B
Cost of revenue
$1.4B
Quarter-over-quarter change
+0.4 pts
Year-over-year change
-0.4 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 |
|---|---|---|---|---|
| Jun 30, 2023 | $2.1B | $904.0M | $1.2B | 42.4% |
| Sep 30, 2023 | $2.2B | $910.0M | $1.3B | 42.1% |
| Dec 31, 2023 | $2.3B | $974.0M | $1.3B | 42.3% |
| Mar 31, 2024 | $2.5B | $1.1B | $1.4B | 42.7% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 31, 2023
+0.4 pts
Year-over-year change
Mar 31, 2023
-0.4 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The relationship between revenue and cost of revenue resulted in a gross profit that expanded in absolute terms, while the gross margin ratio remained nearly steady sequentially. The year-over-year comparison shows a marginal weakening in the margin rate despite higher revenue.
Compared to the immediately preceding quarter, revenue was higher and gross profit was higher, with gross margin improving slightly. Versus the same quarter one year earlier, revenue and gross profit were both higher, but gross margin was a touch lower.
Monitor the trajectory of cost of revenue relative to revenue, as the year-over-year margin decline suggests cost growth is narrowing the gross margin rate.