Instacart reported continued growth in its third quarter, with gross transaction value, revenue and adjusted EBITDA all higher than a year earlier. The results arrived alongside a separate major announcement: DoorDash has agreed to acquire Instacart in a cash-and-stock transaction that values the company’s equity at about $17 billion.
The acquisition agreement is pending. In response, Instacart has cancelled its planned earnings call and withdrawn its financial guidance while the transaction is underway.
Third-quarter results
- Gross transaction value (GTV) rose 15% year over year to $10.53 billion. Orders increased 10% to 91.4 million.
- Revenue grew 17% to $1.10 billion. Transaction revenue, which includes revenue tied to orders on the platform, rose 14% to $764 million. Advertising and other revenue climbed 23% to $331 million.
- GAAP gross profit increased 14% to $786 million. Gross margin was 72% of revenue, down from 74% a year earlier, while gross profit as a share of GTV held at 7.5%.
- GAAP net income edged up 2% to $147 million. Net income was 13% of revenue, compared with 15% a year earlier.
- Adjusted EBITDA rose 23% to $342 million. It amounted to 31% of revenue, up from 30%, and 3.2% of GTV, compared with 3.0%. Adjusted EBITDA is a non-GAAP measure.
- Operating cash flow was $324 million and free cash flow was $307 million, each up 13% year over year.
- Instacart repurchased $230 million of its shares during the quarter and ended September with $1 billion in cash and similar assets.
Acquisition and outlook
- DoorDash’s agreement to buy Instacart is valued at approximately $17 billion in equity value and includes both cash and stock.
- Instacart has cancelled its earnings call scheduled for November 5, 2026, suspended its financial guidance and withdrawn previously issued long-term guidance while the deal is pending.
The quarter’s figures show revenue growth across both order-related activity and advertising, alongside faster growth in adjusted EBITDA. GAAP net income grew much more slowly, and gross margin as a share of revenue declined. The pending DoorDash transaction has also changed Instacart’s near-term outlook communications: the company is no longer providing its previous guidance while the acquisition proceeds.