Instacart (NASDAQ: CART) reported fourth‑quarter 2025 results on February 12, 2026. Total revenue reached $992 million, up 12.3% from $883 million in Q4 2024, beating the consensus estimate of $972.2 million by $19.8 million, or 2.0%. Gross transaction value grew 14% to $9.85 billion, and the company delivered 89.5 million orders, a 16% increase from the prior year.
GAAP net income fell to $81 million, a 46% decline from $148 million in Q4 2024, largely due to a $60 million settlement with the Federal Trade Commission. GAAP earnings per share were $0.30, missing the consensus estimate of $0.52. In contrast, non‑GAAP EPS was $0.97, surpassing the consensus of $0.95 by $0.02.
Segment revenue was driven by a 13% rise in transaction revenue to $698 million and a 10% increase in advertising and other revenue to $294 million. The mix shift toward higher‑margin advertising contributed to the adjusted EBITDA expansion.
Adjusted EBITDA rose 20% to $303 million, representing 3.1% of gross transaction value. Gross margin improved to 74% from 51% in the prior year, reflecting higher mix and pricing power in enterprise and advertising services. Operating margin contracted to 9.9% from 10.2% year‑over‑year, indicating pressure on cost‑of‑revenue components.
Management did not revise its full‑year guidance. The company reiterated confidence in its momentum, noting that the strongest quarterly GTV growth in three years supports a positive outlook for the remainder of 2025 and into 2026.
Investors reacted favorably to the results, with the revenue beat and accelerated GTV growth cited as primary drivers of the positive market response.
The content on EveryTicker is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.