Meal delivery company Deliveroo said it had 'robust' growth in its final quarter, with gross sales on its platform up 7%, driven by more orders and increased spending, and said its full-year earnings would be towards the top of its forecast.
The British company said adjusted core earnings were expected to be towards the top end of its £110-£130 million ($134-$159 million) range, adding that it would be free cash flow positive for the year, in line with its guidance.
Gross transaction value (GTV) increased 6% during the year, in-line with its guidance range of 5%-9% at constant currency.
'Profitable Growth'
Will Shu, founder and CEO of Deliveroo, stated, "We enhanced our loyalty programmes, delivered strong growth in grocery and secured new partnerships to expand our retail selection, enabling us to bring even more of the neighbourhood to consumers' doors. [...]
"Our execution has also continued to deliver profitable growth, with EBITDA expected to be towards the top end of our guided range. We see many exciting opportunities ahead with significant growth potential for Deliveroo."
In August 2024, the British meal delivery company said it had achieved the twin milestones of profit and free cash flow in the six months to end-June as demand from customers stabilised.
Elsewhere, Taiwan blocked Uber Technologies' $950 million (€914.1 million) purchase of Delivery Hero's Foodpanda business on the island because of concerns it would be anti-competitive.
"In the food delivery platform market, UberEats' main competitive pressure comes from Foodpanda. The merger would eliminate this competitive pressure," Chen Chih-min, vice chairman of Taiwan's FTC, said.
Read More: From DoorDash To Zomato: The Largest Food Delivery Companies By Market Cap
News by Reuters, additional reporting by ESM.
