DoorDash Acquires SevenRooms Amid Strong Q1 Demand

NEW YORK, NY — DoorDash announced Tuesday the acquisition of restaurant booking platform SevenRooms for $1.2 billion in cash, alongside disappointing first-quarter revenue figures that caused shares to drop by about 4%.

The acquisition of SevenRooms, a New York City-based company that provides data solutions for restaurants and hotels, is expected to close in the second half of this year. DoorDash described this move as a way to enhance the services available to their merchants.

In addition to the SevenRooms deal, DoorDash confirmed it will buy British food delivery service Deliveroo for £2.9 billion (approximately $3.9 billion). The company expressed a belief that both acquisitions will strengthen their position in local commerce and support their financial objectives.

DoorDash reported a record total of 732 million orders for the quarter, an 18% increase year-over-year. This figure slightly missed analysts’ expectations, who projected 732.7 million orders.

The company expects adjusted EBITDA for the second quarter to be between $600 million and $650 million, below Wall Street’s forecast of $639 million.

Despite the uncertainty surrounding the U.S. economy, DoorDash stated that consumer demand on their platforms has remained robust throughout the start of 2025. They noted enhanced engagement levels across various consumer groups and dining preferences.

For Q1 2025, DoorDash reported a net income of $193 million, equating to 44 cents per share. This represents a significant recovery from a net loss of $23 million, or 6 cents per share, during the same period last year.

While revenue grew 21% to a total of $3.03 billion, it fell short of the anticipated $3.09 billion as estimated by analysts. As a result, DoorDash’s shares experienced a 5% decline in premarket trading following the announcements.

The upcoming acquisitions are notable for DoorDash, marking its largest since 2022, when it acquired Finnish competitor Wolt Enterprises for $8.1 billion, expanding its global reach significantly. With the addition of Deliveroo, DoorDash will operate in a total of 40 countries, further extending their international presence.