DoorDash, Inc. (NASDAQ:DASH)

The financial ratios presented demonstrate evolving performance trends over a five-year period. Generally, adjusted ratios align closely with reported figures, suggesting limited impact from the adjustments made. However, notable shifts are observed in profitability and leverage metrics.

Asset Turnover

Both reported and adjusted total asset turnover ratios exhibit fluctuation. An initial decrease from 0.72 in 2021 to 0.67 in 2022 is followed by an increase to 0.83 in 2023 and 2024, before declining to 0.70 in 2025. This suggests a period of improved asset utilization followed by a potential slowdown.

Liquidity

The reported and adjusted current ratios consistently decline from 2.59 and 2.62 respectively in 2021 to 1.41 in 2025. This indicates a decreasing ability to cover short-term liabilities with short-term assets, potentially signaling increased liquidity risk over time.

Leverage

Reported debt to equity and debt to capital ratios are unavailable for the earlier years, becoming available in 2025 at 0.27 and 0.21 respectively. Adjusted debt to equity shows a low and stable value from 2021 to 2024 at 0.08, increasing to 0.32 in 2025. Adjusted debt to capital follows a similar pattern, rising from 0.08 to 0.24 over the same period. This suggests a significant increase in leverage in the final year of the observed period.

Financial leverage, both reported and adjusted, demonstrates a consistent upward trend, increasing from 1.46 in 2021 to 1.96 and 1.93 respectively in 2025. This reinforces the observation of increasing reliance on debt financing.

Profitability

Both reported and adjusted net profit margins show substantial improvement over the period. Starting with negative values of -9.57% and -9.10% in 2021, they progress to positive values of 1.15% and -0.53% in 2024, culminating in 6.82% and 9.38% in 2025. This indicates a significant turnaround in profitability.

Return on equity (ROE) mirrors the trend in net profit margin, moving from negative values in the initial years to positive values in 2024 and 2025 (1.58% and 9.32% reported, -0.73% and 12.57% adjusted). This suggests improved efficiency in generating profits from shareholder investments.

Return on assets (ROA) also follows a similar pattern, transitioning from negative values to positive values in 2024 and 2025 (0.96% and 4.76% reported, -0.44% and 6.53% adjusted), indicating improved efficiency in utilizing assets to generate profits.

In summary, the observed trends indicate a company that has improved its profitability significantly over the five-year period, but has also increased its financial leverage, particularly in the final year. Liquidity has decreased consistently throughout the period. The asset turnover ratio shows some volatility but remains relatively stable.

The period between December 31, 2021, and December 31, 2025, demonstrates a fluctuating pattern in both revenue and total assets. Revenue consistently increased over the five-year period, moving from US$4,888 million to US$13,717 million. Total assets also increased, albeit with less consistent growth, rising from US$6,809 million to US$19,659 million. The adjusted total asset turnover remained relatively stable, mirroring the trend of the reported total asset turnover.

Adjusted Total Asset Turnover – Overall Trend

The adjusted total asset turnover exhibited a generally stable pattern, oscillating between 0.70 and 0.83 over the five-year period. It began at 0.71 in 2021, remained at 0.67 in both 2021 and 2022, increased to 0.80 in 2023, peaked at 0.83 in 2024, and then decreased to 0.70 in 2025. This suggests a consistent ability to generate revenue relative to its adjusted asset base, with minor fluctuations year-over-year.

Adjusted Total Asset Turnover – Comparative Analysis

The adjusted total asset turnover closely tracked the reported total asset turnover throughout the period. The values were identical in each year, indicating that the adjustments made to total assets did not materially impact the turnover ratio. This suggests the adjustments are likely related to non-operating assets or accounting treatments that do not significantly affect the core operational efficiency reflected in the turnover ratio.

Relationship to Revenue Growth

Despite consistent revenue growth, the adjusted total asset turnover did not demonstrate a corresponding upward trend. The ratio peaked in 2024 alongside the highest revenue growth from 2023 to 2024, but then declined in 2025 despite continued revenue increases. This suggests that asset growth outpaced revenue growth in 2025, potentially indicating investments in assets that had not yet fully translated into increased revenue generation.

In conclusion, the adjusted total asset turnover indicates a relatively consistent operational efficiency in generating revenue from the adjusted asset base. The stability of the ratio, coupled with its close alignment with the reported turnover, suggests the adjustments to total assets are not fundamentally altering the assessment of asset utilization. However, the slight decline in 2025 warrants further investigation to determine if it signals a potential shift in asset efficiency.

The adjusted current ratio exhibits a generally declining trend over the five-year period from 2021 to 2025. While adjustments to current assets are minimal, the ratio’s movement mirrors that of the reported current ratio, indicating the adjustments do not significantly alter the overall liquidity picture. Initial values are relatively strong, but subsequent years show a weakening position.

Overall Trend

The adjusted current ratio decreased from 2.62 in 2021 to 1.41 in 2025. This represents a 46.2% decline over the period. The rate of decline appears to moderate in the later years, with smaller decreases between 2023 and 2025 compared to earlier periods.

Year-over-Year Changes

From 2021 to 2022, the adjusted current ratio remained stable at 1.86. A slight increase was observed from 2022 to 2023, moving from 1.86 to 1.65. A further, modest increase occurred between 2023 and 2024, with the ratio reaching 1.67. The most substantial decrease occurred between 2024 and 2025, falling to 1.41.

Comparison to Reported Current Ratio

The adjusted current ratio closely tracks the reported current ratio throughout the period. The difference between the two ratios in any given year is negligible, suggesting that the adjustments made to current assets have a limited impact on the overall assessment of short-term liquidity. This consistency implies the adjustments are not correcting for any material misstatements or accounting anomalies.

The consistent decline in the adjusted current ratio, despite relatively stable adjusted current asset values, suggests that current liabilities are growing at a faster rate than current assets. This trend warrants further investigation into the composition of both current assets and current liabilities to understand the underlying drivers of this change in liquidity position.

The adjusted debt to equity ratio remained relatively stable between 2021 and 2024, then increased significantly in 2025. Analysis of the underlying components reveals a consistent increase in both adjusted total debt and adjusted stockholders’ equity over the period, but at differing rates which drove the change in the ratio.

Adjusted Debt to Equity Ratio

The adjusted debt to equity ratio was consistent at 0.08 from 2021 through 2023. A slight decrease to 0.07 was observed in 2024. However, the ratio rose substantially to 0.32 in 2025. This indicates a growing reliance on debt financing relative to equity in the most recent year.

Adjusted Total Debt

Adjusted total debt exhibited a gradual increase from US$399 million in 2021 to US$536 million in 2024. A considerable jump to US$3,290 million occurred in 2025, representing a significant escalation in debt levels. This increase is the primary driver of the change in the adjusted debt to equity ratio.

Adjusted Stockholders’ Equity

Adjusted stockholders’ equity demonstrated consistent growth throughout the observed period, increasing from US$4,710 million in 2021 to US$10,232 million in 2025. While equity increased each year, the rate of growth was not sufficient to offset the substantial increase in adjusted total debt in 2025.

The substantial increase in adjusted total debt in 2025, coupled with continued growth in adjusted stockholders’ equity, resulted in a notable shift in the adjusted debt to equity ratio. This suggests a change in the company’s capital structure, with a greater proportion of financing now derived from debt.

The information presents a five-year trend of debt and capital figures, culminating in calculated debt-to-capital ratios, both reported and adjusted. A significant shift in both debt and capital is observed in the final year presented. The analysis focuses on the adjusted figures, as these are specifically requested.

Adjusted Total Debt

Adjusted total debt remained relatively stable between 2021 and 2023, fluctuating between US$399 million and US$536 million. However, a substantial increase to US$3,290 million is evident in 2025. This represents a considerable rise in adjusted debt obligations.

Adjusted Total Capital

Adjusted total capital demonstrated a consistent upward trend from 2021 to 2025. Starting at US$5,109 million, it increased to US$13,522 million, indicating a growing capital base over the period. The rate of increase appears to accelerate in the final two years.

Adjusted Debt to Capital Ratio

The adjusted debt-to-capital ratio exhibited a declining trend from 2021 to 2024, moving from 0.08 to 0.06. This suggests a strengthening capital structure with decreasing reliance on debt financing during those years. However, the ratio increased significantly to 0.24 in 2025, coinciding with the substantial rise in adjusted total debt. This indicates a notable shift towards increased leverage in the final year.

The considerable increase in both adjusted debt and capital in 2025 warrants further investigation. While capital increased, the proportionally larger increase in debt resulted in a higher debt-to-capital ratio, suggesting a potential change in financing strategy or capital allocation. The previously observed trend of decreasing leverage was reversed in the final year.

The financial leverage metrics demonstrate a generally increasing trend over the five-year period. Both reported and adjusted financial leverage exhibit similar patterns, suggesting the adjustments made to total assets and stockholders’ equity do not significantly alter the overall leverage profile. Total assets and stockholders’ equity both increased consistently throughout the period, but the growth in assets outpaced the growth in equity, contributing to the rising leverage ratios.

Total Assets & Stockholders’ Equity

Total assets increased from US$6,809 million in 2021 to US$19,659 million in 2025, representing a substantial expansion of the company’s asset base. Stockholders’ equity also grew, rising from US$4,667 million in 2021 to US$10,033 million in 2025. However, the percentage increase in total assets was greater than that of stockholders’ equity, indicating a greater reliance on debt or other non-equity financing.

Reported Financial Leverage

Reported financial leverage remained relatively stable between 2021 and 2022, at 1.46 and 1.45 respectively. A gradual increase is then observed, reaching 1.59 in 2023 and 1.65 in 2024. By 2025, reported financial leverage reached 1.96, indicating a more pronounced increase in leverage during the latter part of the period.

Adjusted Financial Leverage

Adjusted financial leverage mirrors the trend of the reported ratio. It began at 1.45 in 2021 and 1.44 in 2022, followed by increases to 1.59 in 2023, 1.64 in 2024, and ultimately 1.93 in 2025. The consistency between reported and adjusted leverage suggests that the adjustments applied to the balance sheet components did not materially impact the overall assessment of financial risk.

Overall Trend

The consistent upward trend in both reported and adjusted financial leverage suggests a growing reliance on financing through means other than equity. While the increases are not dramatic in the earlier years, the leverage ratio accelerates in the final two years of the observed period. This warrants further investigation into the composition of the company’s financing and its ability to service its debt obligations.

The financial performance, as reflected by the adjusted net profit margin, demonstrates a significant shift over the five-year period. Initially, the company experienced substantial net losses, which gradually decreased before culminating in profitability. Revenue consistently increased year-over-year, while the adjusted net profit margin exhibited a volatile trajectory towards positive values.

Adjusted Net Profit Margin Trend

The adjusted net profit margin began at -9.10% in 2021 and deteriorated to -22.07% in 2022. A moderate improvement was noted in 2023, with the margin increasing to -5.36%. This positive trend continued, albeit slowly, in 2024, reaching -0.53%. By 2025, the adjusted net profit margin had turned positive, reaching 9.38%, indicating a substantial improvement in profitability.

Relationship to Net Income

The adjusted net income (loss) figures mirror the trend observed in the adjusted net profit margin. Losses were substantial in 2021 and 2022, decreasing in 2023, and becoming a loss of only -57 million in 2024. The company achieved a net income of 1,286 million in 2025, aligning with the significant increase in the adjusted net profit margin.

Revenue Growth and Margin Expansion

Revenue increased consistently throughout the period, from 4,888 million in 2021 to 13,717 million in 2025. While revenue growth was consistent, the adjusted net profit margin did not improve linearly. The substantial margin improvement only became apparent in the later years, suggesting that the company benefited from economies of scale or improved operational efficiency as revenue increased. The lag between revenue growth and margin expansion indicates that increased revenue alone did not guarantee profitability.

The progression from significant losses to substantial profitability, as evidenced by the adjusted net profit margin, suggests a successful turnaround in financial performance. The company’s ability to leverage revenue growth into positive earnings is a key indicator of improved financial health.

The period between 2021 and 2025 demonstrates a significant fluctuation in profitability and equity, impacting return on equity (ROE) metrics. Reported ROE initially exhibited negative values, transitioning to positive figures in later years, while adjusted ROE followed a similar, though distinct, pattern.

Net Income and Stockholders’ Equity

Net income attributable to DoorDash, Inc. common stockholders was negative for the first three years of the observed period, reaching its lowest point in 2022. It became positive in 2024 and increased substantially by 2025. Stockholders’ equity consistently increased throughout the period, although the rate of growth varied. The largest increase occurred between 2024 and 2025.

Reported ROE

Reported ROE mirrored the trend in net income, beginning with a negative 10.03% in 2021 and reaching a low of -20.21% in 2022. It improved to 1.58% in 2024 and further increased to 9.32% in 2025, indicating improving profitability relative to equity. The magnitude of the negative ROE in 2022 suggests a substantial net loss relative to the equity base at that time.

Adjusted Net Income and Stockholders’ Equity

Adjusted net income, which includes redeemable non-controlling interests, also showed negative values for the initial three years, with the largest loss occurring in 2022. Similar to the reported net income, it turned positive in 2024 and experienced significant growth by 2025. Adjusted stockholders’ equity exhibited a consistent upward trend throughout the period, closely following the trend of reported equity.

Adjusted ROE

Adjusted ROE displayed a similar trajectory to reported ROE, starting at -9.45% in 2021 and reaching -21.40% in 2022. It remained negative in 2023 and 2024, reaching -0.73% in the latter year, before becoming positive and increasing substantially to 12.57% in 2025. The adjusted ROE values were consistently less negative, and ultimately higher, than the reported ROE values, suggesting that the inclusion of redeemable non-controlling interests had a positive impact on the calculated return. The substantial increase in adjusted ROE from 2024 to 2025 indicates a significant improvement in profitability relative to adjusted equity.

Overall, the period demonstrates a transition from substantial losses to increasing profitability. The adjusted ROE provides a slightly more favorable view of the company’s performance, particularly in the later years of the period, due to the treatment of redeemable non-controlling interests. The consistent growth in stockholders’ equity provides a stable base for future profitability improvements.

The adjusted return on assets (ROA) exhibited a volatile pattern over the five-year period. Initially, the adjusted ROA was negative, trending downward before recovering to positive values. This analysis details the observed trends and potential insights.

Adjusted ROA Trend

From 2021 to 2022, the adjusted ROA decreased from -6.50% to -14.81%. This represents a significant deterioration in profitability relative to assets. The decline continued, albeit at a slower pace, to -4.26% in 2023. A further decrease was observed in 2024, reaching -0.44%. However, a substantial improvement occurred in 2025, with the adjusted ROA rising to 6.53%.

Comparison with Reported ROA

The adjusted ROA consistently differed from the reported ROA across all periods. The magnitude of the difference varied, but the adjusted ROA was generally lower than the reported ROA until 2025. In 2025, both reported and adjusted ROA were positive and relatively close, at 4.76% and 6.53% respectively. This suggests that the adjustments made, primarily related to redeemable non-controlling interests, had a more pronounced impact on profitability in earlier years.

Asset Base Evolution

Adjusted total assets increased steadily throughout the period, from US$6,848 million in 2021 to US$19,704 million in 2025. This consistent growth in the asset base occurred alongside the initial decline and subsequent recovery in adjusted ROA. The increasing asset base, coupled with initially negative adjusted net income, contributed to the worsening adjusted ROA from 2021 to 2023. The positive adjusted net income in 2025, combined with the continued asset growth, drove the significant improvement in adjusted ROA.

Net Income Impact

Adjusted net income (loss) followed a similar pattern to adjusted ROA. It was negative from 2021 to 2024, reaching a peak loss of US$-1,453 million in 2022, before becoming positive in 2025 at US$1,286 million. The shift to positive adjusted net income in 2025 was the primary driver of the substantial increase in adjusted ROA observed in that year.

In summary, the adjusted ROA experienced a period of decline followed by a strong recovery. This trajectory was closely linked to changes in adjusted net income and the consistent growth of the adjusted asset base. The adjustments related to redeemable non-controlling interests appear to have materially impacted the reported profitability metrics in the earlier years of the period.