LOS ANGELES, April 25 (Reuters) – Grubhub Inc’s first-quarter net income tumbled 78 percent after it ramped up spending to attract and retain restaurant partners and delivery customers.
Sales and marketing outlays were $78.5 million in the first quarter, almost 61 percent more than a year earlier.
Revenue jumped 39 percent to $323.8 million during the quarter, when total costs and expenses climbed 57 percent to $314.9 million.
First-quarter net income fell to $6.9 million, or 7 cents per share, from $30.8 million, or 34 cents per share, a year earlier. (Reporting by Lisa Baertlein in Los Angeles; editing by Jonathan Oatis)