Just Eat Takeaway has reported first-quarter gross transaction value (GTV) in line with expectations, on the back of accelerated growth in its key UK and Ireland markets.
In mid-January, CEO Jitse Groen said Just Eat Takeaway would continue to invest in Britain, its biggest market, while "competitors have to drive down the investments".
Europe's biggest food delivery company by revenue had earlier said it was boosting profits by improving its algorithms and IT systems, which reduces its cost per delivery.
Gross Transaction Value
It posted a GTV of €6.55 billion euros ($6.95 billion) for the first three months of 2024, matching analysts' average estimate in a company-provided consensus, according to Deutsche Bank.
Its GTV grew by 11% in the UK and Ireland and by 5% in Northern Europe, another key market, offsetting an 11% drop in North America and a 15% decrease in Southern Europe and Australia, the company said.
'Paying Off'
"Just Eat Takeaway.com started the year well, with the acceleration of GTV growth in UK and Ireland and our continued momentum in Northern Europe in Q1 2024," Groen commented. "We are excited that the investments in our business are paying off, and we are looking forward to the rest of the year."
The group said it was still exploring a partial or full sale of its struggling U.S. unit Grubhub.
On Monday, it announced its exit from New Zealand.
This year, the group is aiming for constant currency GTV growth, excluding North America, to fall within the range of 2% to 6% year-on-year, and adjusted EBITDA is approximately €450 million. The group expects free cash flow (before changes in working capital) to remain positive in 2024 and beyond.
Moreover, it has set a long-term target for the group's adjusted EBITDA margin to exceed 5% of GTV.
Additional reporting by ESM
