CART Q1 2024 Earnings

Call Details

• Call Title: Maplebear Inc. Q1 2024 Earnings Call
• Date: May 8, 2024 at 9:00 PM UTC
• Management Team:
  • Rebecca Yoshiyama (VP of Investor Relations, Capital Markets, and Treasury)
  • Fidji Simo (Chief Executive Officer)
  • Nick Giovanni (Chief Financial Officer)
  • Emily Reuter (Vice President of Finance and incoming Chief Financial Officer)

Call Summary

Financial Performance

• Q1 was described as an exceptionally strong quarter with both GTV and adjusted EBITDA beating the high end of guidance ranges.
• Q2 GTV outlook was provided at $8.0 billion to $8.15 billion, representing 7 to 9% year-over-year growth.
• Q2 adjusted EBITDA was guided to $180 million to $190 million, and full year 2024 is expected to deliver adjusted EBITDA expansion on both an absolute and percent of GTV basis.
• Q1 year-over-year GTV growth benefited from just over one percentage point of lift from leap day and stronger-than-expected seasonality due to an easier winter comparison.
• The year-over-year EBT SNAP headwind was smaller in Q1 due to successful launches with Kroger and Costco, which reduced the Q4 impact and is expected to flip to a tailwind in Q2.
• Transaction revenue growth and adjusted OpEx leverage were cited as primary drivers of adjusted EBITDA margin expansion on a percentage of GTV basis.

Guidance

• Q2 GTV guidance is $8.0 billion to $8.15 billion, representing 7 to 9% year-over-year growth.
• Q2 adjusted EBITDA guidance is $180 million to $190 million and the company expects adjusted EBITDA expansion for full year 2024.
• The Q2 growth outlook is lower than Q1 primarily because the company does not expect the benefit of inclement weather that helped Q1.
• The firm expects EBT SNAP to move from a modest year-over-year headwind in Q1 to a tailwind in Q2, largely offsetting the lack of leap day benefit.
• Advertising and other revenue are expected to grow largely in line with the prior two quarters in Q2, limiting material upside from that line in the near term.
• New growth initiatives such as CAPER and the Uber partnership are not expected to materially impact Q2 financials.