Delivery Hero, the global food delivery giant, reported an impressive 24% year-over-year revenue increase in Q3 2024, reaching approximately €3.24 billion. The company's Gross Merchandise Value (GMV) also saw a significant 9% rise, totaling around €12.25 billion. These figures surpassed analyst expectations, highlighting Delivery Hero's robust position in the global delivery sector. The company's success can be attributed to innovative business segments such as quick-commerce and digital supermarkets (Dmarts). Based on these strong results, Delivery Hero has projected reaching the upper end of its previously announced growth ranges for the full year 2024, with GMV expected to increase by 7-9% and revenue by 18-21% on a currency-adjusted basis.
Financial Targets Refined Amid Subscription Challenges
Despite the positive growth trajectory, Delivery Hero has slightly adjusted its profit forecast for the year. The company now anticipates hitting the lower end of its adjusted EBITDA range, between €725 million and €775 million. This adjustment is primarily due to initial investments in customer subscription models in South Korea, which have shown expected early declines but promise long-term benefits through increased order frequency and larger basket sizes. On a more optimistic note, Delivery Hero has refined its free cash flow target, now aiming for €50 to €100 million, a more precise figure than the previously stated "positive" outlook. This news was well-received by investors, with the company's stock seeing a temporary uptick of 1.61% to €39.06 on the market.
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Delivery Hero Stock: New Analysis - 08 NovemberFresh Delivery Hero information released. What's the impact for investors? Our latest independent report examines recent figures and market trends.
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