Grubhub Is Voluntarily Reducing Q2 Profits to Help Its Restaurant Partners
Food delivery service company Grubhub (NYSE: GRUB) issued a press release this morning saying it's taking measures and creating promotions that will reduce its second quarter 2020 earnings by a planned amount in an effort to support its restaurant partners. The company explains that it has plenty of cash available, enabling it to be flexible in unusual circumstances and thus help its entire ecosystem.
In mid-March, when the coronavirus outbreak was just gathering steam in the United States, Grubhub said it would suspend $100 million in commissions for independent restaurants. The postponement was aimed at helping smaller eateries survive business disruptions caused by the temporary end of dine-in service, as state governments began shelter-in-place and quarantine initiatives to combat the spread of the coronavirus.
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Source Fool.com
