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Americans are still ordering food through DoorDash even though things aren't so great right now

Users kept ordering food and groceries through DoorDash at the start of 2025, the company said during its quarterly earnings call.Smith Collection/Gado/Getty ImagesDoorDash's CEO said that people are continuing to spend on takeout and grocery delivery.Tony Xu said the delivery service hasn't "seen any changes in consumer behavior" so far in 2025.Many retailers and brands have voiced concern that Donald Trump's tariffs could cause a spending pullback.Shoppers are pulling back spending in anticipation of the effects of tariffs. But not on food delivery.DoorDash's first-quarter earnings showed that people are still spending to have restaurant food and weekly grocery hauls delivered despite the extra fees and tips involved."We haven't seen any changes in consumer behavior, even if there are changes in consumer sentiment," DoorDash CEO Tony Xu said during the company's earnings call on Tuesday.DoorDash posted a profit for the quarter. Net income for the quarter stood at $193 million, beating estimates and above the $23 million loss it reported for the year-ago quarter.Measures of how much DoorDash users were ordering, such as total orders, broke quarterly records, the company said. Revenue rose 21% to $3.03 billion.Retailers and consumer brands have said that they will have to raise prices in response to President Donald Trump's tariffs. While Trump has paused tariffs on many countries since early April, he has kept duties on imports from China, a major supplier of consumer goods.Many shoppers are already low on savings and stretching their budgets. Tariff-induced price hikes could lead to a spending pullback, some companies and economists have warned.So far, those worries have not taken a bite out of DoorDash's business.The delivery service has weathered other recent shifts that some analysts said might push down demand, such as society re-opening after the pandemic or high inflation in 2021 and 2022, Xu said.In the face of tariffs and a potential recession, people will still need groceries and the occasional meal out, the CEO said. "Food really is the most resilient category," Xu said.Other delivery services have also said that they aren't seeing signs of a spending pullback.Instacart CFO Emily Maher said during an earnings call on Thursday that the delivery service has not "seen any signs of a weaker consumer" so far this year.And Uber CEO Dara Khosrowshahi has called his company "recession-resistant," adding that a downturn could even make rides and deliveries through Uber more affordable for customers.Do you have a story to share about gig work? Contact this reporter at [email protected] or 808-854-4501.Read the original article on Business Insider

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