Just Eat Takeaway.com has reported a 52% increase in first-half revenue, however it posted an EBITDA loss of €190 million for the period, reflecting 'significant investment' in the business.
Revenue for the half-year period stood at €2.6 billion, compared to €1.8 billion for the corresponding period last year.
During the half-year, the group invested in three key areas, including supply and delivery expansion; brand awareness and share of voice; and customer experience and value proposition, it said.
These investments have enabled the business to increase its share of the market in several key territories, including the UK and Australia, while it also recently announced the launch of grocery deliveries in the German market.
Significant Investment
“In the first six months of this year, Just Eat Takeaway.com continued to invest significantly, predominantly in the historically underinvested legacy Just Eat countries," said Jitse Groen, CEO of Just Eat Takeaway.com.
"Our consumer base, restaurant selection and order frequency have strongly increased, which will lead to improved profitability going forward.”
In terms of its EBITDA performance, the company said that it has now 'reached the peak' of its absolute losses this year, with improved profitability as a result of the growth and increased scale of the business set to pay dividends.
In the UK, for example, it recorded an additional 58 million orders (to 135 million orders), with average monthly order frequency reaching 3.2 times per month, up from 2.5 times in the same period last year.
Grubhub Business
The company's US-based Grubhub business processed 134 million orders in the first six months of 2021, representing a growth rate of 27% compared with the same period in 2020.
It noted that the Grubhub business began to see a 'post COVID-19 recovery in large city downtown areas', such as Manhattan, as well as in its corporate business.
If the performance of Grubub is excluded, the overall Just Eat Takeaway.com business reported a 63% increase in revenue in the first half.
© 2021 European Supermarket Magazine – your source for the latest Technology news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: The European Supermarket Magazine
