DoorDash, Inc. Class A Common Stock (DASH)

Return on total capital

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Earnings before interest and tax (EBIT)	US$ in thousands	-38,000	-577,000	-1,032,000	-449,000	-426,000
Long-term debt	US$ in thousands	—	—	—	—	—
Total stockholders’ equity	US$ in thousands	7,803,000	6,806,000	6,754,000	4,667,000	4,700,000
Return on total capital		-0.49%	-8.48%	-15.28%	-9.62%	-9.06%

December 31, 2024 calculation

Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $-38,000K ÷ ($—K + $7,803,000K)
= -0.49%

The return on total capital for DoorDash, Inc. Class A Common Stock has exhibited significant variation over the period from December 31, 2020, to December 31, 2024. In 2020, the company's return on total capital was recorded at -9.06%, indicating an operational loss relative to the total capital invested. The following year, 2021, saw a marginal decrease to -9.62%, reflecting a slight worsening in the company's efficiency in generating gains from its total capital base.

The downward trend continued into 2022, with the return declining more sharply to -15.28%. This substantial decrease signifies a marked deterioration in operational performance and profitability relative to the company's total capital during that year. Such a negative return suggests the company faced increased challenges in leveraging its invested capital effectively.

However, in 2023, there was a notable improvement, as the return on total capital narrowed to -8.48%. This indicates a partial recovery or improvement in operational efficiency, although the company continued to operate at a loss relative to total capital. The trend continued into 2024, where the return further improved to -0.49%, approaching break-even territory. This significant positive shift reflects ongoing efforts to enhance operational performance, reduce losses, and leverage capital more effectively.

Overall, the trend illustrates a trajectory of progressive improvement in DoorDash's ability to generate returns on total capital over the four-year period, moving from substantial negative returns towards near-zero levels, which may suggest a careful turnaround in its operational efficiencies and profitability metrics.