Feb 8 (Reuters) - GrubHub Inc reported a 37.5 percent rise in quarterly revenue as more people used its online food order and delivery services.
The company, which faces competition from Amazon.com Inc’s Prime Now, Yelp Inc’s Eat24 and Uber’s UberEATS, reported a rise in quarterly net income to $13.6 million, or 16 cents per share, in the fourth quarter ended Dec. 31, from $11.3 million, or 13 cents per share, a year earlier.
“Our rapid scaling in delivery combined with our substantial incremental margins helped Grubhub post record profits in 2016,” Chief Financial Officer Adam DeWitt said.
The company’s revenue rose to $137.5 million from $100 million.
GrubHub, which allows diners to order from more than 45,000 restaurants, said that number of active diners rose 21.2 percent to 8.2 million. Analysts were expecting active diners of 7.99 million, according to market research firm FactSet StreetAccount.
On an adjusted basis, the company earned 23 cents per share.
GrubHub, whose network covers over 1,100 U.S. cities, also forecast revenue of $148 million-$156 million for the first quarter, compared with the average analysts’ estimate of $150.1 million, according to Thomson Reuters I/B/E/S. (Reporting by Aishwarya Venugopal in Bengaluru; Editing by Shounak Dasgupta)