Grubhub saw its average daily orders jump 32% in the second quarter but swung to a loss as it spent heavily to prop up restaurants and protect drivers as the pandemic shut in consumers.
The Chicago-based restaurant delivery company lost $45 million in the April-June period, down from a profit of $1.3 million in the same period a year ago. Adjusted for one-time items, the company lost 17 cents per share, which was in line with Wall Street’s expectations, according to analysts polled by FactSet.
The earnings report is one of Grubhub’s last as a standalone company. Grubhub announced a $7.3 billion merger with Just Eat Takeaway.com last month. The deal is expected to close in the first quarter of 2021.
Grubhub Inc. said second-quarter revenue jumped 41% to $459 million as more diners chose to get delivery. But Grubhub founder and CEO Matt Maloney said the company spent $100 million on coronavirus-related costs, including cutting fees to restaurants and distributing protective equipment to its drivers.
Grubhub Inc. handily beat analysts’ forecast of $405 million in revenue.
Before you consider Just Eat Takeaway.com, you'll want to hear this.
MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Just Eat Takeaway.com wasn't on the list.
While Just Eat Takeaway.com currently has a Hold rating among analysts, top-rated analysts believe these five stocks are better buys.
View The Five Stocks Here
Just getting into the stock market? These 10 simple stocks can help beginning investors build long-term wealth without knowing options, technicals, or other advanced strategies.
Get This Free Report
Like this article? Share it with a colleague.
Link copied to clipboard.
