DoorDash Finally Files to Go Public

Food-delivery company DoorDash has finally filed to go public. The company submitted its S-1 Registration Statement with the Securities and Exchange Commission (SEC) on Friday, the official form all companies file prior to an initial public offering (IPO).

In February, DoorDash confidentially filed an S-1 with the SEC, preventing retail investors from sneaking a peak at its financials. By contrast, this S-1 is packed with juicy numbers, like the company’s eye-popping 226% revenue growth so far in 2020.

A man delivers food to a woman in an outdoor scene.

Image source: Getty Images.

DoorDash competes with companies like Grubhub and Uber Technologies‘ Uber Eats in the food-delivery space, but it appears to be running away with the race. In its SEC filing, the company cited data from Edison Trends that showed DoorDash is capturing 50% of U.S. food delivery sales as of October 2020. For perspective, Uber Eats is the next closest competitor, with just 26% of the pie.

Despite being the market-share leader, DoorDash is operating at a loss like its competitors. Through the first nine months of 2020, the company has generated revenue of $1.9 billion. However, total costs and expenses rang up to $2 billion, resulting in a net loss of $149 million. That said, this is a stark improvement from the $533 million net loss it reported in the comparable period of 2019. Its biggest operating-leverage gain so far has come from sales and marketing expenses.

DoorDash intends to list on the New York Stock Exchange under the symbol DASH. While we still don’t know where shares of this IPO stock will price, the company hopes to gross $100 million in the offering. The cash will be used for general purposes.

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