GrubHub Gobbles-Up Revenue With Increased Customer Demand From Online Foodies
"GrubHub delivered strong third quarter results featuring record revenues and adjusted EBITDA driven by growth in all of our key business metrics," said Matt Maloney, CEO. "Due to the strength of our brand and effectiveness of our new brand campaign, growth in active diners remained strong even as we reduced overall advertising spend sequentially in the seasonally slow third quarter."
GrubHub is growing in a big way. That $61.9 million revenue represents a 51 percent year-over-year growth rate. After paying the bills, GrubHub was left with a $6.5 million profit for the quarter, which is up a whopping 442 percent from the same period a year ago. Why the sudden increase?
Maloney credits the growth to "continued momentum from the roll-out of restaurant-driven pricing." Whether or not that's truly the reason, the numbers are impressive. GrubHub served 4.57 million diners during the quarter, up 50 percent from the 3.05 million it served a year ago. Daily average grubs jumped by a third to 172,700, and gross food sales rose 37 percent to $424 million.