Food delivery firm Deliveroo has reported a 4% increase in revenue in the first quarter of its financial year, which it described as a 'resilient performance'.
Gross transaction value (GTV) was down 1% year-on-year in the quarter.
Deliveroo said that growth improved through the quarter, with revenue growth outpacing GTV growth.
The firm said that this was driven by the annualised impact of consumer fee optimisation during 2022 and a growing contribution from advertising revenue. GTV per order was up 8% in constant currency, reflecting the continued impact of food price inflation.
Regional Performance
Deliveroo reported a strong performance in the UK and Ireland (UKI) region, with revenue and GTV up 11% and 6% in constant currency, respectively.
However, its international business found the going tougher, with revenue and GTV down 5% and 9% in constant currency, respectively.
This year-on-year decline was driven by more stringent COVID-related restrictions in Asian markets in early 2022, which made for a tougher comparison base, and continued market-wide weakness in France.
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'Challenging Comparison Base'
"Revenue growth of 4% and broadly flat GTV (both in constant currency) represents a resilient performance, particularly in the context of inflationary pressures and the ongoing cost of living crisis and against a challenging comparison base," commented Will Shu, Deliveroo chief executive.
"Against this backdrop, I'm particularly pleased with our performance in UKI, reflecting a further improvement in our offering to consumers. We remain confident in our ability to deliver on our plans to drive profitable growth and sustainable cash generation."
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