DoorDash, Airbnb beat revenue expectations in first post-IPO quarter
Both DoorDash and Airbnb beat analyst revenue expectations on Thursday in their first quarter as public companies. Both also have significant losses, which they attribute mostly to IPO-related costs and stock-based compensation.
Why it matters: The two companies became Silicon Valley darlings amid the pandemic as they capitalized on resulting consumer trends.
Yes, but: The companies will likely face different worlds and trends as the pandemic gets under control and more normal life resumes.
- Food delivery could be impacted by a return to restaurant dining. In California, DoorDash now faces new costs related to Prop. 22, which passed in November.
- In an interview with Axios Re:Cap, DoorDash CEO Tony Xu said that even back in May-June when states like Texas, Georgia and Florida eased restrictions on restaurants, the company's business continued to grow.
- "If you looked at Australia, for example, certain cities like Melbourne actually were even more fully recovered ... and there you saw maybe a 20% drop from the COVID-19 highs in terms of our business," he added.
Meanwhile, Airbnb is readying for a rebound in travel. "In 2021, people ... said they miss travel more than any other out-of-home activity," Airbnb CEO Brian Chesky told Axios Re:Cap.
- "More than 50% of people said this year, they intend to travel, or they're already planning to travel ... they will travel as soon as they feel safe to do so."
- However, Chesky also said it's unclear exactly when the big rebound will happen.
By the numbers:
- Airbnb revenue: $859 million compared to $748 million expected, per Refinitiv. Revenue is down 22% year-over-year.
- Airbnb loss: net loss of $3.89 billion, compared to $352 million in the year-ago quarter, and a $11.24 loss per share.
- DoorDash revenue: $970 million compared to $938 million expected, per Refinitiv. Revenue is up 226% year-over-year.
- DoorDash loss: net loss of $312 million, compared to $134 million in the year-ago quarter, and a $2.67 loss per share.
Airbnb's stock price briefly jumped to nearly $190 in after-hours trading, but is now just under where it closed at $180.06. Meanwhile DoorDash's stock price is down about 13% from its closing price of $166.87.
Editor's note: The story has been updated with comments from DoorDash CEO Tony Xu and Airbnb CEO Brian Chesky.