* Sees 2nd-quarter revenue $53 mln-$55 mln vs est $52.6 mln
* 1st-quarter revenue $58.6 mln vs est $53.4 mln
* Shares rise as much as 8 pct in extended trade
(Adds details, background, updates shares)
May 8 GrubHub Inc reported
higher-than-expected revenue in its first quarterly results as a
public company as more people used the online food-delivery
service to order takeout meals.
GrubHub's shares jumped as much as 8 percent in extended
trading on Thursday after the company also forecast
current-quarter sales above estimates.
The company, which delivers everything from expensive steaks
to bento boxes, receives a commission from restaurants on orders
booked through its website and its mobile application.
Restaurants prefer services such as GrubHub as they cut down
the time spent taking orders on the phone during peak hours.
GrubHub Chief Executive Matt Maloney said results were
helped by the severe winter, when "people eat in more and dine
The company, which bought its biggest rival Seamless last
year, said it expects current-quarter revenue of $53 million-$55
million, above the average analyst estimate of $52.6 million,
according to Thomson Reuters I/B/E/S.
GrubHub bought Seamless in August to boost its presence in
the U.S. East Coast. Seamless is popular with large businesses,
which order food for employees working long hours.
"(The company sees) growth in getting deeper in the existing
market," Maloney said, noting that Americans spend about $67
billion every year on takeout from independent restaurants.
GrubHub said that active diners in the quarter ended March
31 grew 49 percent to 3.9 million from a year earlier.
The company's profit more than tripled to $4.4 million, or 6
cents per share, from $1.3 million, or 3 cents per share, a year
earlier, before it bought Seamless.
Revenue more than doubled to $58.6 million, above the
average analyst estimate of $53.4 million.
Shares of Chicago-based GrubHub, which went public in April,
were trading at $32.49 after the bell. The stock closed at
$31.38 on Thursday on the New York Stock exchange, 21 percent
above its IPO price.
(Reporting By Sampad Patnaik and Supantha Mukherjee in
Bangalore; Editing by Saumyadeb Chakrabarty)