Instacart’s second quarter results were met with a positive market reaction, driven by notable revenue growth and robust performance in its advertising and enterprise segments. Management attributed this momentum to accelerated net new customer additions and deeper engagement, as well as the ongoing expansion of its AI-powered grocery platform. CEO Chris Rogers highlighted improvements in order quality and the launch of new personalization features, such as nutrition tags and enhanced substitution models, as key contributors to repeat customer behavior and higher average order values. He emphasized, “Every order placed, item picked, and substitution completed makes our understanding even stronger.”
Is now the time to buy CART? Find out in our full research report (it’s free for active Edge members).
Instacart (CART) Q2 CY2026 Highlights:
- Revenue: $1.04 billion vs analyst estimates of $1.03 billion (14.1% year-on-year growth, 1.5% beat)
- Adjusted EPS: $0.87 vs analyst expectations of $0.97 (10.6% miss)
- Adjusted EBITDA: $313 million vs analyst estimates of $297.8 million (30% margin, 5.1% beat)
- Operating Margin: 13.7%, in line with the same quarter last year
- Market Capitalization: $11.22 billion
While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention.
Our Top 5 Analyst Questions From Instacart’s Q2 Earnings Call
- Nikhil Devnani (Bernstein) asked about the durability of recent growth and customer acquisition trends. CEO Chris Rogers explained that data-driven personalization and improved order quality are driving sustained customer engagement and that the current momentum is supported by both marketplace and enterprise growth.
- Eric Sheridan (Goldman Sachs) requested more detail on how the enterprise offering is changing retailer relationships and supply dynamics. Rogers described enterprise as enabling deeper, collaborative partnerships and technical integrations, while CFO Emily Reuter emphasized the synergistic effect on advertising and monetization.
- Bernie McTernan (BMO Capital Markets) questioned the strategic implications of the Google Gemini AI integration. Rogers said it is an early-stage partnership intended to expand demand channels and consumer touchpoints, viewing it as incremental to Instacart’s core offering.
- Colin Sebastian (Baird) asked if digital competition was impacting the enterprise pipeline and about international adoption. Rogers noted that increased competition is encouraging retailers to partner with Instacart for proven technology, and that international expansion remains disciplined but promising.
- Deepak Mathivanan (Cantor Fitzgerald) inquired about adoption and success metrics for the AI shopping assistant. Rogers reported larger average basket sizes from assistant-driven orders and highlighted its role in personalizing the shopping experience, while Reuter discussed ongoing strength in average order value and engagement.
Catalysts in Upcoming Quarters
Looking forward, the StockStory team will be monitoring (1) customer adoption and engagement with Instacart’s AI assistant and agentic shopping features, (2) the pace of international enterprise platform rollouts, particularly in Europe and the UK, and (3) the continued expansion of retailer partnerships eliminating item markups. Progress on affordability, as well as the impact of new advertising formats, will also be key areas of focus.
Instacart currently trades at $48.03, up from $45.03 just before the earnings. At this price, is it a buy or sell? See for yourself in our full research report (it’s free).
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