AMZN Amazon.com Inc

GrubHub Inc. said its fourth-quarter earnings rose 4.9% and the online restaurant ordering and delivery company projected 2015 sales mostly above analysts' expectations.

For 2016, the company forecast revenue of $445 million to $465 million. Analysts expected revenue of $449 million.

For the current quarter, the company projected revenue of $109 million to $112 million. Analysts expected revenue of $110 million.

GrubHub, which went public in April 2014, has generated increasing profits by charging restaurants a commission on orders booked through its service. As options have grown for home diners, the Chicago company is facing increased competition from Amazon.com Inc., Uber Technologies Inc. and Yelp Inc., all of which are building restaurant delivery services.

The company's average daily orders in the latest quarter rose 19% to 241,800, while gross food sales grew 26% to $642.5 million.

The number of active diners—accounts used to place at least one order in the previous 12 months—rose 34% to 6.75 million from 5.03 million a year earlier.

Over all, GrubHub reported a profit of $11.3 million, or 13 cents a share, up from $10.8 million, or 13 cents a share, a year earlier. Excluding stock-based compensation and other items, per-share earnings rose to 19 cents from 17 cents. Analysts expected per-share profit of 14 cents.

Revenue climbed 36% to $100 million. The company expected revenue to come in at the high-end of its guidance for $98 million to $100 million.

Shares rose 9.5% to $20.90 in premarket trading. Through Wednesday's close, the stock has fallen by nearly half in the past 12 months amid concerns that the company's growth is slowing.

Write to Tess Stynes at tess.stynes@wsj.com

(END) Dow Jones Newswires

February 04, 2016 09:45 ET (14:45 GMT)

Amazon.com (NASDAQ:AMZN)
Historical Stock Chart
From Mar 2024 to Apr 2024

Amazon.com (NASDAQ:AMZN)
Historical Stock Chart
From Apr 2023 to Apr 2024