GrubHub, Inc. (NYSE: GRUB)
GrubHub stock was one of the biggest gainers on the New York Stock Exchange on Wednesday, after the company reported stronger-than-expected earnings.
The online food ordering company also announced it would acquire mobile payments and ordering platform LevelUp, for $390 million in cash. GRUB stock hit an all-time high of $138.85 in regular trading. The stock has gained about 52% year to date.
GRUB Earnings & Outlook
GrubHub posted a profit of $30.1 million, or $0.33 per share for the quarter. In the second quarter of last year, profit totaled to $14.7 million, or $0.17 per share.
Excluding non-recurring items, adjusted earnings per share came to $0.50, surpassing estimates of $0.42 per share.
Net sales increased to $239.7 million from $158.8 million last year, beating estimates of 233.0 million.
Active diners were 15.6 million during the quarter versus 9.2 million in the previous year, while gross food sales totaled to $1.2 billion compared to $880 million in the same period last year.
The company expects revenue in the range of $232 million to $240 million for the current quarter.
For the full year, it expects revenue of between $966 million and $983 million. Analysts estimate third-quarter and full-year revenue of $230.6 million and $960.6 million.
GrubHub CEO Comments
“We had a standout quarter, highlighted by a record number of new diners trying Grubhub for the first time. We generated robust order growth, while continuing our rapid delivery expansion and adding thousands of high quality new restaurant partners. We’re also thrilled to announce the LevelUp acquisition. LevelUp’s leading restaurant-facing technology and the team they have built in Boston will help Grubhub provide the most comprehensive solution for restaurants, powering everything from online demand generation to fulfillment for restaurants,” said Matt Maloney, founder and chief executive officer of GrubHub.
GrubHub, Inc. Company Profile
GrubHub operates an online and mobile food-ordering platform in the US. Its platform connects local takeout restaurants with diners across various cities in the country.
The company offers GrubHub, Eat24, and Seamless mobile websites and mobile applications for Android, iPhone, Apple TV, iPad, and Apple Watch devices.
It also operates Grubhub, Eat24, and Seamless websites through grubhub.com, eat24.com, and seamless.com.
In addition, the company offers a corporate program that provides employees with a variety of food and ordering options, such as group ordering, individual meals options, and catering, as well as exclusive tools that combine various food ordering options into a single online account.
It also offers point of sale (POS) integration to allow restaurants to update their menus directly from their existing POS system and manage Grubhub orders; website hosting and designing services for restaurants; and Grubhub for Restaurants, a responsive web application that can be accessed via mobile and computers devices.
Further, it offers MenuPages.com and Allmenus.com, which provide a database of about 650,000 menus from restaurants in 50 states; and Grubhub-provided tablets. GrubHub Inc. was founded in 1999 and its headquarters are located in Chicago, Illinois. –Reuters
