SAN FRANCISCO, May 7, 2026, 04:02 (PDT)
DoorDash plans to shell out roughly $100 million on driver gas benefits in the first half of 2026, turning what started as a short-term measure into a major expense as fuel prices squeeze the gig-delivery sector. More than $50 million of that is projected just for the current quarter, after DoorDash already logged about $50 million in the first quarter, according to Business Insider. Business Insider
The timing is key here: fuel costs have turned into an immediate operational headache, not just something drivers grumble about. On May 7, AAA posted the U.S. average for regular gas at $4.558 a gallon—last year, it was $3.154. DoorDash drivers in both the U.S. and Canada, remember, rely on their own vehicles for every delivery. AAA Fuel Prices
Investors shrugged off the expense. DoorDash shares surged 11% ahead of the bell on Thursday after the company projected higher order value for the second quarter, citing steady food and grocery demand despite elevated gas prices. Reuters
Back in March, DoorDash rolled out a relief program aimed at its “Dashers”—the delivery drivers behind its business. Drivers using the company’s Crimson debit card got 10% cash back on gas. Those who hit at least 125 active delivery miles in a week picked up relief payments between $5 and $15. DoorDash put the combined savings for qualifying drivers somewhere between $1.40 and $1.90 per gallon. Rising gas costs are hitting drivers hard, said Cody Aughney, DoorDash’s vice president for Dasher and logistics. DoorDash Investor Relations
The San Francisco-based company is looking for second-quarter marketplace gross order value to land somewhere between $32.4 billion and $33.4 billion. Adjusted EBITDA is pegged in a range of $770 million to $870 million. DoorDash said it plans to fund the gas relief program, at least in part, by shifting investment from other areas. DoorDash Investor Relations
Orders for the first quarter climbed 27% year-over-year, hitting 933 million. Marketplace gross order value was up 37%, reaching $31.6 billion. Revenue landed at $4.036 billion, a 33% increase, while net income slipped 5% to $184 million. Adjusted EBITDA posted a 28% gain at $754 million. DoorDash Investor Relations
DoorDash’s numbers landed in mixed territory compared to Wall Street forecasts. Revenue didn’t reach analyst projections, but adjusted earnings came in at 42 cents per share—solidly above the 36 cents expected by LSEG. AP noted that total orders lagged FactSet’s estimates; DoorDash blamed winter storms that forced some businesses to close and curbed demand in specific areas. Reuters
During a call with investors, DoorDash CFO Ravi Inukonda said the company needed to “push out some investments” to accommodate the gas program. Should DoorDash decide to keep the plan going, Inukonda added, they’d look for further offsets. AP News
Inukonda said DoorDash is sticking with the delayed projects and still plans to spend on those investments in the back half. Business Insider reported his comment that the company was “fully convinced” it would follow through with the spending later this year. Business Insider
This isn’t just a DoorDash story. Both Uber and Instacart are seeing steady appetite for delivery, and they—along with Lyft—introduced their own fuel-related perks after gas costs climbed. Morningstar’s Mark Giarelli pointed out that higher gas prices haven’t shown up as a drag on business so far, but he flagged that an upswing for convenience platforms still hinges, at least in part, on whether traffic returns to normal levels through the Strait of Hormuz. Reuters
DoorDash has worked to keep attention on its main delivery business. When pressed on Uber’s entry into hotel bookings via Expedia, CEO and co-founder Tony Xu told investors the company remains focused on restaurant and retail delivery, describing DoorDash as just a “tiny fraction” of the sector’s total potential. AP News
The risk here is straightforward. If fuel costs persist at higher levels or DoorDash keeps its relief measures going, the company could end up postponing investments, taking a margin hit, or shifting more costs onto drivers. Reuters noted DoorDash’s first-quarter gross margin dropped to 48.2% from 48.7% a year ago. Its forward price-to-earnings ratio still sits notably higher than both Instacart’s and Uber’s. Reuters
