REG - Deliveroo PLC - Q1 2024 Trading Update

DeliverooAnnouncement

18/04/2024 07:00

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RNS Number : 0390L  Deliveroo PLC  18 April 2024

18 April 2024
Q1 2024 Trading Update
Deliveroo plc
Good Q1 performance, return to growth in orders

●    Good performance with growth in GTV and orders

○    Gross transaction value (GTV) up 6% year-on-year (YoY) in constant
currency

○    Orders returned to growth with a 2% increase YoY, while GTV per
order was up 4% in constant currency

●    Continued GTV growth in UKI and improving trends in International

○    In UKI, GTV growth was 6% YoY (7% in Q4 2023), in the context of a
more stable but still uncertain consumer environment; orders were flat,
in-line with overall market growth

○    In International, GTV growth accelerated to 6% YoY in constant
currency (1% in Q4 2023), with orders up 4%; improvement in GTV growth rate
was driven by France, UAE and Hong Kong, with Italy remaining strong

●    Revenue take rate stable sequentially with continued investment into
consumer value proposition (CVP)

○    Group revenue growth of 2% in constant currency (1% in Q4 2023)

○    Revenue take rate (% of GTV) decreased YoY but flat sequentially vs
Q4 2023 with continued targeted CVP investments to capitalise on ongoing signs
of stabilisation in consumer behaviour across our markets

●    Commenced EBT share purchase programme of up to £30 million
(announced 27 March)

●    FY 2024 guidance maintained

○    GTV growth (in constant currency) anticipated to be in the range of
5-9%

○    Adjusted EBITDA expected to be in the range of £110-130 million

○    Free cash flow expected to be positive for the full year 2024

Will Shu, Founder and CEO of Deliveroo, said:

"I am pleased with the start we have made to this year, building on the strong
progress in 2023. The team has been relentlessly focussed on delivering
service and value for money, helping drive a return to order growth and
continued growth in GTV. We made particularly strong progress in International
markets during the quarter, with notable improvements in France, UAE and Hong
Kong, and continued strength in Italy. In UKI, while the consumer environment
remains stable but uncertain, our commitment to offering fair prices and a
flawless consumer experience is building strong foundations for the future and
will continue to differentiate our business. I'm excited about building the
best consumer experience possible and am confident in our ability to drive
profitable growth and sustainable cash generation."

                                               Change
                             Q1     Q1         Reported   Constant

2024
2023
currency
currency

 Group
 GTV (£m)                    1,830  1,746      5%         6%
 Orders (m)                  73.5   72.1       2%         2%
 GTV per order (£)           24.9   24.2       3%         4%
 Revenue (£m)                514    512        0%         2%

 UK and Ireland (UKI)
 GTV (£m)                    1,079  1,017      6%         6%
 Orders (m)                  39.7   39.6       0%         0%
 GTV per order (£)           27.2   25.7       6%         6%
 Revenue (£m)                306    299        2%         2%

 International
 GTV (£m)                    751    729        3%         6%
 Orders (m)                  33.7   32.5       4%         4%
 GTV per order (£)           22.3   22.4       (1)%       2%
 Revenue (£m)                208    213        (2)%       1%

 

Appendix:
Average monthly active consumers and monthly order frequency

 

                                       Q1     Q2     Q3     Q4     Q1

                                       2023   2023   2023   2023   2024
 UK & Ireland (m)                      4.0    4.0    3.9    4.0    3.9
 International (m)                     3.1    3.1    3.0    3.3    3.3
 Average monthly active consumers (m)  7.1    7.1    6.9    7.3    7.2
 Year-on-year growth in MACs           (7)%   (4)%   (2)%   (2)%   0%
 Average monthly order frequency       3.4    3.4    3.4    3.4    3.4

 

 
Contact information

Given the proximity of this announcement to the recently-reported FY 2023
results, Deliveroo will not hold a conference call on the trading update.
Please address any questions to the Investor Relations and Media Relations
teams using the contact information below.

Investor Relations

David Hancock, VP Finance, Strategy & IR - investors@deliveroo.co.uk
(mailto:investors@deliveroo.co.uk)

Tim Warrington, Investor Relations Director

Rohan Chitale, Investor Relations Director

Media Relations

Joe Carberry, VP Policy & Communications - joe.carberry@deliveroo.co.uk
(mailto:joe.carberry@deliveroo.co.uk)

Brunswick Group: Rosie Oddy and Jono Astle - deliveroo@brunswickgroup.com
(mailto:deliveroo@brunswickgroup.com)

 
About Deliveroo plc ('Deliveroo' or 'the Company' or 'we')

Deliveroo is an award-winning delivery service founded in 2013 by William Shu
and Greg Orlowski. Deliveroo works with approximately 180,000 best-loved
restaurants, grocery and retail partners, as well as over 140,000 riders to
provide the best food delivery experience in the world. Deliveroo is
headquartered in London, with offices around the globe. Deliveroo operates
across 10 markets, including Belgium, France, Hong Kong, Italy, Ireland,
Kuwait, Qatar, Singapore, United Arab Emirates and the United Kingdom.

Further information regarding Deliveroo is available on the Company's website
at https://corporate.deliveroo.co.uk/ (https://corporate.deliveroo.co.uk/) .

Additional Notes

1. All figures in this trading update are unaudited.

2. All growth rates reflect a comparison to the three-month period ended 31
March 2023 unless otherwise stated.

3. References to "Q1" are to the three-month period ended 31 March 2024 and to
"Q4" are to the three-month period ended 31 December 2023 unless otherwise
stated. References to the "year", "financial year" or "2024 financial year"
are to the financial year ending 31 December 2024 and references to the "last
year", "last financial year" or "2023 financial year" are to the financial
year ended 31 December 2023 unless otherwise stated.

This announcement may include forward-looking statements, which are based on
current expectations and projections about future events. These statements may
include, without limitation, any statements preceded by, followed by or
including words such as "target", "believe", "expect", "aim", "intend", "may",
"anticipate", "estimate", "plan", "project", "will", "can have", "likely",
"should", "would", "could" and any other words and terms of similar meaning or
the negative thereof. These forward-looking statements are subject to risks,
uncertainties and assumptions about the Company and its subsidiaries and its
investments, including, among other things, the development of its business,
trends in its operating environment, and future capital expenditures and
acquisitions. The forward-looking statements in this announcement speak only
as at the date of this announcement. These statements reflect the beliefs of
the Directors, (including based on their expectations arising from pursuit of
the Group's strategy) as well as assumptions made by the Directors and
information currently available to the Company. Further, certain
forward-looking statements are based upon assumptions of future events which
may not prove to be accurate and none of the Company nor any member of the
Group, nor any of such person's affiliates or their respective directors,
officers, employees, agents and/or advisors, nor any other person(s) accepts
any responsibility for the accuracy or fairness of the opinions expressed in
this announcement or the underlying assumptions. Actual events or conditions
are unlikely to be consistent with, and may differ significantly from, those
assumed. In light of these risks, uncertainties and assumptions, the events in
the forward-looking statements may not occur. No representation or warranty is
made that any forward-looking statement will come to pass. No one undertakes
to update, supplement, amend or revise any forward-looking statements. You are
therefore cautioned not to place any undue reliance on forward-looking
statements.

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