Berlin / DE. (dhh) Delivery Hero SE, the world’s leading local delivery platform, expects its food delivery business to break even during H2 2022 and shares insights on Glovo’s business performance, the group said in a short statement or «DGAP Flash Update».
- Delivery Hero anticipates its food delivery business to reach adjusted Ebitda break-even during the second half of 2022
- Additionally, Delivery Hero publishes a Flash Update to provide more context on becoming the majority shareholder of Glovo
- Having a strong presence in 25 countries, Glovo has a run-rate of approximately EUR 3.8 billion in GTV with 80 percent organic growth rate in 2021
Delivery Hero SE announced that its food delivery business (including Glovo) is expected to break even during H2 2022 and generate between EUR 0 and 100 million in adjusted Ebitda in Q4 2022, while investments related to its quick commerce business are predicted to peak in Q1/2022 and gradually decline thereafter. Delivery Hero reconfirms its long-term adjusted Ebitda/GMV margin target of 5-8 percent.
Emmanuel Thomassin, CFO of Delivery Hero, said: «Delivery Hero has always been investing into growth with the clear ambition of reaching the scale needed to achieve profitability. We have remained confident that through achieving the right size, we are able to bring tremendous benefits to all partners in our ecosystem, as well as to our shareholders. The investment strategy has proved to be successful, and we are on a solid trajectory to turn our food delivery business profitable during the second half of this year.»
Flash Update on Glovo transaction
Following the agreement signed between Delivery Hero and a number of shareholders of Glovoapp23, S.L. (Glovo) on 31 December 2021, Delivery Hero publishes a Flash Update to provide insights into Glovo’s business model, financials and competitive positioning as well as details of the transaction.