Shares of food delivery platform DoorDash, Inc. (DASH) soared 5.74% in after-hours trading on Tuesday after the company reported better-than-expected fourth-quarter results, driven by robust holiday demand for online orders.

DoorDash's revenue for the quarter rose 25% year-over-year to $2.87 billion, exceeding analysts' estimates of $2.84 billion. Total orders for the quarter increased 19% to 685 million, outpacing the expected 673.04 million. The strong top-line performance was fueled by customers turning to DoorDash's platform to order food, groceries, and other items during the holiday season.

Looking ahead, DoorDash guided for first-quarter marketplace gross order value (GOV) of $22.6-23 billion, surpassing the analyst consensus of $22.4 billion. The company also announced a $5 billion share repurchase program, reflecting confidence in its growth prospects and ability to generate cash flow.

DoorDash's CEO Tony Xu highlighted the company's focus on expanding into new verticals and international markets, saying, "We believe we have clear pathways for investment in several areas of our business that we believe will allow us to generate strong returns and compound our value and impact."

Analysts were optimistic about DoorDash's ability to capitalize on the growing "convenience economy." Emarketer analyst Blake Droesch noted, "DoorDash needs to raise awareness and promote the value of same-day delivery. This will require a significant marketing push to let consumers know they can rely on the service for everything from beauty products to home improvement."