GrubHub to Select Two Directors, Brightens Outlook, Unveils Buyback
25 Enero 2016 - 8:20AM
Noticias Dow Jones
GrubHub Inc. said it plans to appoint two new directors to its
seven-member board as the online food ordering and delivery company
also provided an upbeat fourth quarter outlook and unveiled plans
to buy back an additional $100 million of its shares.
The company's shares rose 9.6% to $21 in recent premarket
trading. Through Friday's close, the stock is down 46% in the past
12 months.
The move comes after venture capitalist Bill Gurley stepped down
from GrubHub's board last month amid mounting competition—and
growing potential for conflicts of interest—in the business of food
delivery. GrubHub replaced Mr. Gurley with Katrina Lake, the chief
executive of Stitch Fix, a Benchmark-backed online fashion
startup.
GrubHub, which went public in April 2014, has generated
increasing profits by charging restaurants a commission on orders
booked through its service. The Chicago company's fast growth was
helped by its merger with Seamless in August 2013. Still, GrubHub
is facing increasing competition amid more options for home
diners.
The company said it plans to identify two new independent
directors for the board, one of which would succeed a current board
member who will step down, but didn't provide further details in a
news release on Monday.
GrubHub also expects its fourth quarter earnings before
interest, taxes, depreciation and amortization to come in "modestly
above" its guidance for between $23 million to $25 million and that
revenue will be at the high-end of its earlier estimate of $98
million to $100 million.
During October, GrubHub said its third-quarter earnings rose
6.4% as the company continued to attract new diners, leading to
growth in orders. However, the company's per-share earnings,
excluding certain items, missed Wall Street estimates and revenue
was near the lower end of the company's expectations.
GrubHub plans to release its fourth-quarter results Feb. 4.
Write to Tess Stynes at tess.stynes@wsj.com
(END) Dow Jones Newswires
January 25, 2016 09:05 ET (14:05 GMT)
Copyright (c) 2016 Dow Jones & Company, Inc.
GrubHub (NYSE:GRUB)
Gráfica de Acción Histórica
De Jun 2024 a Jul 2024
GrubHub (NYSE:GRUB)
Gráfica de Acción Histórica
De Jul 2023 a Jul 2024