DoorDash, Inc. stock research
FY2024 Q3
DoorDash (DASH) Gross Margin — Quarter Ended Sep 30, 2024
Revenue and gross profit both increased from the prior quarter and from the same quarter last year, while cost of revenue grew at a slower rate, resulting in a higher gross margin. The gross margin improvement reflects a larger proportion of revenue flowing through to gross profit after covering costs.
Gross margin takeaway
Quarter ended Sep 30, 2024 · FY2024 Q3
Revenue and gross profit both increased from the prior quarter and from the same quarter last year, while cost of revenue grew at a slower rate, resulting in a higher gross margin. The gross margin improvement reflects a larger proportion of revenue flowing through to gross profit after covering costs.
- The gross margin for the current quarter is the highest among the three periods, having risen from the prior quarter and from the year-ago quarter, driven by a greater increase in revenue relative to cost of revenue.
- Compared to the immediately preceding quarter, revenue was higher and cost of revenue was stable, leading to an improved gross margin. Relative to the same quarter one year earlier, all three core metrics—revenue, gross profit, and cost of revenue—were higher, with gross profit increasing more than cost of revenue, resulting in a stronger gross margin.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
45.3%
Gross profit
$1.2B
Revenue
$2.7B
Cost of revenue
$1.5B
Quarter-over-quarter change
+2.1 pts
Year-over-year change
+3.3 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 |
|---|---|---|---|---|
| Dec 31, 2023 | $2.3B | $974.0M | $1.3B | 42.3% |
| Mar 31, 2024 | $2.5B | $1.1B | $1.4B | 42.7% |
| Jun 30, 2024 | $2.6B | $1.1B | $1.5B | 43.2% |
| Sep 30, 2024 | $2.7B | $1.2B | $1.5B | 45.3% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 30, 2024
+2.1 pts
Year-over-year change
Sep 30, 2023
+3.3 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gross margin for the current quarter is the highest among the three periods, having risen from the prior quarter and from the year-ago quarter, driven by a greater increase in revenue relative to cost of revenue.
Compared to the immediately preceding quarter, revenue was higher and cost of revenue was stable, leading to an improved gross margin. Relative to the same quarter one year earlier, all three core metrics—revenue, gross profit, and cost of revenue—were higher, with gross profit increasing more than cost of revenue, resulting in a stronger gross margin.
Monitor the trend in cost of revenue relative to revenue, as its stable sequential level alongside higher revenue was a key factor in the margin improvement.