REG - Just Eat Takeaway - Annual Financial Report
01/03/2023 07:00
For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20230301:nRSA4743Ra&default-theme=true
RNS Number : 4743R Just Eat Takeaway.com N.V. 01 March 2023
Amsterdam, 1 March 2023
Full Year 2022 Results
Just Eat Takeaway.com returns to full year positive Adjusted EBITDA 1
(#_ftn1)
Jitse Groen, CEO of Just Eat Takeaway.com said: "In 2022, our priority was to
enhance profitability and strengthen our business. As a result, we materially
improved our financial performance and generated Adjusted EBITDA of €19
million in 2022 compared with minus €350 million in 2021. We expect a
further improvement to Adjusted EBITDA in 2023 and our ambition to create a
highly profitable food delivery business is firmly on track."
Group highlights 2 (#_ftn2)
● The Company's objective is to build and extend large scale and
sustainably profitable positions in its markets. After a period of significant
investment following the Just Eat merger and the pandemic, the Company is back
to profitability.
● Adjusted EBITDA improved significantly to €19 million positive
in 2022 from minus €350 million in 2021. All operating segments materially
contributed to this improvement, with largest gains in UK and Ireland,
Southern Europe and ANZ, and North America.
● GTV in 2022 was €28.2 billion which is stable compared with
prior year, driven by a higher Average Transaction Value and positive FX
movements, which offset lower Order volumes.
● Just Eat Takeaway.com processed 984 million Orders from 90
million Active Consumers in 2022. Consumers continue to show better Order
behaviour than pre-pandemic, with significant upside potential from increasing
penetration and frequency.
● Revenue increased to €5.6 billion in 2022, representing a
growth rate of 4% compared with 2021.
● Revenue less Order fulfilment costs increased 24% to €2.4
billion, driven by strengthened unit economics across both Delivery and
Marketplace.
Segment highlights
● In the North America segment, GTV increased by 1% to €11.6
billion, mainly driven by a higher ATV and favourable foreign exchange rates.
North America returned to positive Adjusted EBITDA of €65 million in 2022,
despite a more than €130 million negative impact from remaining fee caps.
The Adjusted EBITDA Margin in H2 2022 was 1.2% of GTV.
● In the Northern Europe segment, GTV increased by 3% to €7.4
billion driven by a higher ATV. Northern Europe continued to demonstrate
strong profit generation with an Adjusted EBITDA of €313 million in 2022.
The Adjusted EBITDA Margin in H2 2022 further improved to 5.1% of GTV.
● In the UK and Ireland, GTV remained stable at €6.6 billion.
Adjusted EBITDA improved significantly to €23 million in 2022 from minus
€107 million in 2021, with a notable step-up in H2 2022. The Adjusted EBITDA
Margin turned positive again in H2 2022 at 1.2% of GTV.
● In the Southern Europe and ANZ segment, improved unit economics
resulted in an Adjusted EBITDA of minus €161 million in 2022 from minus
€262 million in 2021. This €100 million Adjusted EBITDA improvement
compared with prior year was driven by a higher ATV, optimised pricing
strategy, reduced Delivery expenses and improved operating expenses. In H2
2022, the Adjusted EBITDA loss halved compared with H1 2022.
Other Financials
● Just Eat Takeaway.com's cash and cash equivalents amounted to
€2,020 million as per 31 December 2022. This included the repayment of the
€300 million bank loan in December. Free cash flow is expected to improve
substantially in 2023. The Company's improved profitability and strong capital
position strengthen its business for further growth and underpin its ability
to both deliver on its Adjusted EBITDA targets and invest in food and non-food
adjacencies.
● In December 2022, the Company entered into an amendment and
restatement agreement for its €400 million Revolving Credit Facility with
its existing syndicate of 10 banks. The facility was amended to enable the
facility to be drawn from 1 January 2023, recognising both the strengthened
balance sheet and improved profitability trajectory. Although the Company does
not expect to draw the facility in the near term, it provides additional
liquidity headroom and diversifies its capital structure.
● The Loss for the period on an IFRS basis was €5.7 billion,
mainly due to impairment losses of €4.6 billion on past equity funded
acquisitions. These non-cash goodwill impairments associated with the Grubhub
acquisition and Just Eat merger were primarily driven by macroeconomic
factors, such as increasing interest rates. In addition, the Loss for the
period also included a book loss of €275 million on the sale of the iFood
stake based on the historical allocation to iFood as part of the equity value
issued on the Just Eat merger, which is reflected in the line-item 'Other
gains and losses'. Excluding the impact of impairments and the loss on the
iFood stake, the Loss for the period amounted to €792 million compared with
€990 million in 2021.
Outlook
● Management reiterates the following guidance for 2023:
o 2023 Adjusted EBITDA of approximately €225 million
This guidance includes additional investments in food and non-food adjacencies
as well as wage costs inflation and takes into account an uncertain
macro-economic environment. Growth in 2023 is expected to be skewed towards
the end of the year, given the lower absolute Order level of H2 2022 versus H1
2022.
● The Management Board reiterates the following long-term targets:
o In excess of €30 billion of GTV to be added over the next 5 years
o Long-term group Adjusted EBITDA Margin in excess of 5% of GTV
● Management, together with its advisers, continues to actively
explore the partial or full sale of Grubhub. There can be no certainty that
any such strategic actions will be agreed or what the timing of such
agreements will be. Further announcements will be made as and when
appropriate.
Just Eat Takeaway.com N.V. (LSE: JET, AMS: TKWY), hereinafter the "Company",
or together with its group companies "Just Eat Takeaway.com", one of the
world's largest online food delivery companies, hereby reports its financial
results for the full year 2022.
Performance highlights
On a combined basis
Key Performance Indicators
Partners (# thousands)(1) 692 634 9%
Active Consumers (# millions)(1) 90 99 -9%
Returning Active Consumers as % of Active Consumers 68% 67% 0.2pp
Average Monthly Order Frequency (#) 2.8 2.9 -0.0
Orders (# millions)
North America 327 374 -13%
Northern Europe 288 296 -3%
UK and Ireland 260 289 -10%
Southern Europe and ANZ 109 128 -15%
Total Orders 984 1,086 -9%
Average Transaction Value (€) 28.66 25.94 2.73
GTV (€ billions)
North America 11.6 11.5 1%
Northern Europe 7.4 7.2 3%
UK and Ireland 6.6 6.6 -1%
Southern Europe and ANZ 2.6 2.8 -8%
Total GTV 28.2 28.2 0%
(1) (Number as at 31 December)
On a combined basis
Key Financial Indicators (€ millions)
Revenue
North America 2,552 2,470 3%
Northern Europe 1,155 1,064 9%
UK and Ireland 1,319 1,249 6%
Southern Europe and ANZ 532 548 -3%
Total revenue 5,559 5,331 4%
Adjusted revenue less Order fulfilment costs 2,360 1,898 24%
Adjusted EBITDA
North America 65 (28) 330%
Northern Europe 313 256 22%
UK and Ireland 23 (107) 122%
Southern Europe and ANZ (161) (262) 38%
Head office (221) (208) -6%
Total Adjusted EBITDA 19 (350) 105%
IFRS-basis
€ millions
Loss for the period (5,667) (1,044) -443%
Cash and cash equivalents as at 31 December 2,020 1,320 53%
Refer to Appendix 1 for a summary of all our Key Performance Indicators.
The Grubhub business was consolidated from 15 June 2021, and the Just Eat
business was consolidated from 15 April 2020. The key performance indicators
and key financial indicators are presented as if the combinations were
completed on 1 January 2020 to provide comparable information for the periods
presented. Operations in Norway and Portugal were discontinued from 1 April
2022 and Romania from 1 June 2022. The key performance indicators and key
financial indicators presented exclude these operations as from 1 January
2022. These figures are unaudited and may not add up due to rounding.
Percentages used are based on unrounded figures.
These alternative performance measures are not defined under IFRS. Reference
is made to the Glossary as included in the Annual Report 2022 for an overview
of defined terms. Appendix 2 contains a reconciliation of these alternative
performance measures from the most directly comparable IFRS measures.
Segment information
The four operating segments comprise: North America, Northern Europe, United
Kingdom and Ireland, and Southern Europe and Australia and New Zealand (ANZ).
North America comprises Canada and the United States. Northern Europe
comprises Austria, Belgium, Denmark, Germany, Luxembourg, Poland, Slovakia,
Switzerland and the Netherlands. The Southern Europe and ANZ segment comprises
Australia, Bulgaria, France, Israel, Italy, New Zealand, and Spain.
North America
On a combined basis(1)
Millions unless stated otherwise
Orders 327 374 -13%
Gross Transaction Value (€)(2) 11,626 11,501 1%
Revenue (€)(3) 2,552 2,470 3%
Adjusted EBITDA (€) 65 (28) 330%
• Adjusted EBITDA margin (%) 0.6% -0.2% 0.8pp
(1)( )(The Grubhub business was consolidated from 15 June 2021. These figures
are presented as if the combination was completed on 1 January 2021 to provide
comparable information for the full six months period. These numbers are
unaudited.)
(2)( )(Change at constant currency level for GTV is -9%)
(3)( )(Change at constant currency level for Revenue is -7%)
North America is the largest segment in terms of Orders and GTV, representing
33% of the total Just Eat Takeaway.com Orders and 41% of the total GTV in
2022. North American Orders declined 13% year-on-year while the pandemic
continued to affect year-on-year comparison. Despite the decline in Orders,
our GTV increased by 1% to €11.6 billion, driven by a higher Average
Transaction Value ('ATV'), which is defined as GTV divided by the number of
Orders in a particular period, and favourable foreign exchange rates.
North America revenue grew by 3% year-on-year reaching €2,552 million. This
growth was largely driven by the lifting of several government-imposed fee
caps, with the fee cap impact for 2022 reducing to minus €132 million from
minus €192 million in 2021. Positive foreign exchange movements also
impacted North America's revenue.
North America returned to positive Adjusted EBITDA in 2022 despite the
remaining fee caps being in place throughout the year. Adjusted EBITDA
increased to €65 million in 2022 from minus €28 million in 2021, with
Adjusted EBITDA as a percentage of GTV ('Adjusted EBITDA Margin') improving to
0.6% in 2022 from minus 0.2% in 2021. The €93 million year-on-year
improvement can be largely attributed to the increased efficiency of our
Delivery network, pricing strategy, strategic marketing efforts, and the
reduced impact of fee caps on our business.
Northern Europe
On a combined basis(1)
Millions unless stated otherwise
Orders 288 296 -3%
Gross Transaction Value (€)(2) 7,430 7,190 3%
Revenue (€)(3) 1,155 1,064 9%
Adjusted EBITDA (€) 313 256 22%
• Adjusted EBITDA margin (%) 4.2% 3.6% 0.7pp
(1)( )(Norway operations were discontinued from 1 April 2022. The Combined
figures exclude Norway as of 1 January 2022. These numbers are unaudited.)
(2)( )(Change at constant currency level for GTV is 3%)
(3)( )(Change at constant currency level for Revenue is 8%)
In 2022, the Northern Europe markets together made up 29% of the total Just
Eat Takeaway.com's Orders and 26% of the total GTV, with Germany being the
largest market in terms of Orders and GTV. We discontinued our operations in
Norway in the first half of 2022.
Despite the post-pandemic headwind in the form of an Order decline of minus 3%
to 288 million Orders in 2022 from 296 million Orders in 2021, we increased
our GTV by 3% to €7.4 billion due to higher ATV.
Northern Europe revenue grew by 9% to €1,155 million in 2022 from €1,064
million in 2021. Revenue growth exceeded GTV growth, driven by optimising our
Partner and consumer pricing. With more demand from our Partners, our Promoted
Placement revenue also increased significantly, further driving revenue
growth. The continued trend of our consumers moving from cash to online
payments resulted in increased online payment service revenue.
Northern Europe Adjusted EBITDA increased by 22% to €313 million in 2022
from €256 million in 2021. The Adjusted EBITDA Margin improved to 4.2% in
2022 from 3.6% in 2021, resulting in the highest Adjusted EBITDA Margin within
Just Eat Takeaway.com.
United Kingdom and Ireland
Millions unless stated otherwise(1)
Orders 260 289 -10%
Gross Transaction Value (€)(2) 6,553 6,647 -1%
Revenue (€)(3) 1,319 1,249 6%
Adjusted EBITDA (€) 23 (107) 122%
• Adjusted EBITDA margin (%) 0.4% -1.6% 2.0pp
(1)( )(These numbers are unaudited)
(2)( )(Change at constant currency level for GTV is -2%)
(3)( )(Change at constant currency level for Revenue is 5%)
Our UK and Ireland segment continued to perform strongly under the Just Eat
brand. The segment processed 260 million Orders in 2022, representing 26% of
the total Just Eat Takeaway.com Orders and 23% of the total GTV in 2022. ATV
trended favorably due to food price inflation and GTV remained stable at
€6.6 billion.
United Kingdom and Ireland revenue grew by 6% to €1,319 million in 2022 from
€1,249 million in 2021. Despite GTV remaining stable, the revenue growth
rate was positively aided by optimised Partner and consumer pricing.
The United Kingdom and Ireland achieved positive Adjusted EBITDA in 2022.
Adjusted EBITDA was €23 million in 2022 from minus €107 million in 2021,
with the Adjusted EBITDA Margin improving to 0.4% in 2022 from minus 1.6% in
2021. The positive Adjusted EBITDA development was driven by the overall focus
on profitability in all aspects of the business. We optimised our consumer
fees, reduced our Delivery cost per Order, and further improved our operating
expenses.
Southern Europe and ANZ
On a combined basis(1)
Millions unless stated otherwise
Orders 109 128 -15%
Gross Transaction Value (€)(2) 2,610 2,840 -8%
Revenue (€)(3) 532 548 -3%
Adjusted EBITDA (€) (161) (262) 38%
• Adjusted EBITDA margin (%) -6.2% -9.2% 3.0pp
(1)( )(Portugal operations were discontinued from 1 April 2022 and Romania's
from 1 June 2022. The Combined figures exclude Portugal and Romania as of 1
January 2022. These numbers are unaudited.)
(2)( )(Change at constant currency level for GTV is -10%)
(3)( )(Change at constant currency level for Revenue is -5%)
The Southern Europe and ANZ segment made up 11% of the total Just Eat
Takeaway.com Orders and 9% of the total GTV in 2022, with Australia being the
largest market in this segment. Following two years of strong Order growth,
Orders for the Southern Europe and ANZ segment decreased by 15% to 109 million
in 2022 from 128 million in 2021. The Order decline was partly offset by an
increase in ATV, leading to a decrease in GTV of 8% to €2.6 billion in 2022
from €2.8 billion in 2021.
The segment includes diverse markets with significant potential to increase
consumer penetration and expansion of operational scale and will require
ongoing investment. We continue to focus capital and management attention
towards our highest potential markets for generating scale, leadership
positions and profit pools. As a result, we discontinued our operations in
Portugal and Romania in the first half of 2022.
Southern Europe and ANZ revenue declined with 3% to €532 million in 2022
from €548 million in 2021. This was primarily driven by a decline in GTV,
which was partially offset by optimised Partner and consumer pricing. We
continue to focus on improving the performance of this segment, mainly by more
targeted investments and operational efficiencies in our Delivery network.
Southern Europe and ANZ had an Adjusted EBITDA of minus €161 million in 2022
compared with minus €262 million in 2021, with the Adjusted EBITDA Margin
improving to minus 6.2% in 2022 from minus 9.2% in 2021. This improvement in
Adjusted EBITDA can be particularly attributed to our enhanced focus on
profitability, driven by higher ATV, optimising our pricing strategy, reducing
Delivery expenses and streamlining operating expenses.
Head office and allocations
Head office costs relate mostly to non-allocated expenses and include all
central operating expenses such as staff costs and expenses for global support
teams such as Legal and Compliance, InfoSec Risk and Control, Group Finance,
Internal Audit, Data Analytics, Human Resources and the Management Board.
Head office expenses were €221 million in 2022 compared with €208 million
in 2021. In 2021, we made significant investments in our head office workforce
to support growth, predominantly in Marketing, HR and Delivery. As such, our
year-on-year headquarter costs increase was primarily driven by the impact of
new hires in 2021. During the first half of 2022, our head office FTEs
remained approximately stable compared with the exit-rate in December 2021,
and during the second half of 2022, FTEs were reduced due to a hiring pause.
CFO update and financial review
The financial information included in the CFO update and financial review is
derived from the 2022 Consolidated financial statements and 2021 comparative
figures included therein. This section is reported on an IFRS basis, which
means that business combinations have been included as from the acquisition
date ('transfer of control').
Financial review
The commentary in the following section is based on the 2022 Consolidated
financial statements on an IFRS basis. For clarity, we highlight the following
changes to the consolidation scope in 2021:
· On 15 June 2021, Just Eat Takeaway.com completed the acquisition
of 100% of the shares in Grubhub ('Grubhub Acquisition').
· On 30 September 2021, Just Eat Takeaway.com completed the
acquisition of 100% of the shares in Bistro.sk. ('Bistro Acquisition').
Consolidated statement of profit or loss
Year ended 31 December
€ millions
Revenue 5,561 4,495
Courier costs (2,599) (2,531)
Order processing costs (571) (406)
Staff costs (1,259) (890)
Other operating expenses (1,377) (1,164)
Depreciation, amortisation and impairments (5,168) (443)
Operating loss (5,413) (939)
Share of results of associates (35) (62)
Finance income and expense, net (47) (53)
Other gains and losses (273) 2
Loss before income tax (5,768) (1,052)
Income tax benefit 101 8
Loss for the period (5,667) (1,044)
Revenue
Year ended 31 December
€ millions
Order-driven revenue 5,315 4,314
Ancillary revenue 246 181
Revenue 5,561 4,495
Revenue is presented net of any discounts provided to Partners or consumers,
value added tax and other sales-related taxes.
Order-driven revenue
Order-driven revenue consists of all revenue streams earned from Orders placed
on Just Eat Takeaway.com's platforms. Order-driven revenue is earned from
Partners and consumers and primarily includes commission fees, consumer fees
and consumer delivery fees charged on a per order basis.
Order-driven revenue increased by 23% to €5,315 million in 2022, mainly
driven by the full 12 months of Grubhub revenue being included in 2022
compared with 6.5 months in 2021. In addition, Order-driven revenue also
increased due to the increases in our Partner and consumer pricing. This was
negatively impacted by €132 million of government-imposed commission caps in
the North America segment.
Ancillary revenue
Ancillary revenue consists of any other revenue streams which are not earned
from Orders placed on Just Eat Takeaway.com's platforms. It primarily includes
sale of merchandise, Promoted Placement fees which are not earned on a per
Order basis, and subscription fees.
The growth in ancillary revenue was predominantly driven by the full 12 months
of Grubhub revenue included (compared with 6.5 months last year).
Order fulfilment costs
Year ended 31 December
€ millions
Courier costs 2,599 2,531
Order processing costs 571 406
Order fulfilment costs 3,170 2,937
Order fulfilment costs increased by €233 million, or 8%, to €3,170 million
in 2022 compared with €2,937 million in 2021. This increase was a result of
the full 12 months of Grubhub Order fulfilment costs being included in 2022
(compared with 6.5 months in 2021).
Revenue less Order fulfilment costs
Year ended 31 December
€ millions
Revenue 5,561 4,495
Order fulfilment costs (3,170) (2,937)
Revenue less Order fulfilment costs 2,391 1,558
Revenue less Order fulfilment costs increased by €833 million, or 53%, to
€2,391 million in 2022 compared with €1,558 million in 2021. This
significant improvement was mainly driven by the overall increase in revenue
and lower delivery costs per Order. Order fulfilment costs as a percentage of
revenue decreased to 57% from 65% in 2021.
Staff costs
Year ended 31 December
€ millions
Wages and salaries 900 655
Social security charges 125 85
Pension premium contributions 47 33
Share-based payments 166 81
Temporary staff expenses 22 36
Staff costs 1,259 890
Staff costs increased by 41% to €1,259 million in 2022 compared with €890
million in 2021. Our staff, excluding couriers directly employed by Just Eat
Takeaway.com as this group is included in order fulfilment costs, increased to
an average of approximately 15,900 FTEs in 2022 from an average of
approximately 13,200 FTEs in 2021. In the second half of 2021, we made
significant investments in our workforce to support growth and drive long-term
success. This, along with the Grubhub Acquisition, contributed to an increase
in staff costs. A hiring pause was implemented in June 2022, bringing FTEs
back in line with Order development and reducing staff costs over the course
of 2022.
Share-based payments include the Long-Term Incentive Plan ('LTIP') and the
Short-Term Incentive Plan ('STIP') for the Management Board, as well as the
various long-term and short-term share (option) plans for employees (as
described in Note 7 to the Consolidated financial statements for the period
ended 31 December 2022). Share-based payments increased to €166 million in
2022 compared with €81 million in 2021, mainly driven by Grubhub, an
increase in average FTEs, exceptional additional retention awards, and the
cumulative effect of the annually recurring awards granted under the long-term
plans. The share-based payment expense of €48 million resulting from the
commercial agreement with Amazon is included in other operating expenses.
Other operating expenses
Year ended 31 December
€ millions
Marketing expenses 735 684
Other operating expenses 642 480
Other operating expenses 1,377 1,164
Marketing expenses
Marketing expenditure can primarily be distinguished as relating to (i)
performance marketing (or pay-per-click/pay-per-Order) which directly
generates traffic and Orders, such as search engine marketing, app marketing
and affiliate marketing (rewarding third parties for referrals to our
platforms) and (ii) brand marketing, such as television, online media, and
outdoor advertising (billboards).
Marketing expenses increased by 7% to €735 million in 2022 compared with
€684 million in 2021, following marketing investments, such as the Katy
Perry campaign and the UEFA sponsorship in 2022.
Other operating expenses
Other operating expenses increased by 34% to €642 million in 2022 compared
with €480 million in 2021, mainly driven by 12 months of Grubhub
expenditures included and the share-based payment expense of €48 million
resulting from the commercial agreement with Amazon.
Depreciation, amortisation and impairment
Depreciation and amortisation expenses were €567 million in 2022, up from
€389 million in 2021. This increase related to the full 12 months of
amortisation of other intangibles recognised in relation to the Grubhub
Acquisition as compared with 6.5 months in 2021, as well as additional
depreciation from capitalised ordering devices.
Following the identification of impairment indicators in the interim period
and the annual impairment test, total impairment losses of €4,521 million
for goodwill (2021: €18 million) and €61 million for intangible assets
(2021: €36 million) were recognised in 2022. Of the goodwill impairment
losses, €2,977 million is related to cash-generating unit ('CGU') United
States, €893 million to CGU United Kingdom, €267 million to CGU Canada,
and €445 million to seven CGUs to which a non-significant amount of goodwill
is allocated.
The impairment in the United Kingdom and Canada was mainly driven by the
impact of macro-economic circumstances on the Weighted Average Cost of Capital
('WACC') as used in the value in use calculation, including increased interest
rates and increased equity volatility.
The impairment in United States and the seven other CGUs, was mainly driven by
the impact of macro-economic circumstances on the WACC as used in the value in
use calculation, including increased interest rates and increased equity
volatility. In addition, higher levels of inflation and further lifting of
Covid-19 measures affected consumer behaviour in some CGUs, resulting in lower
expectations of Order growth in the short to medium term. See also Note 12 to
the Consolidated financial statements for more details.
Share of results of associates and joint ventures
A total loss of €310 million was recognised in relation to iFood, consisting
of our annual share of losses of €35 million recognised as part of share of
results of associates (2021: annual share of losses of €62 million) and a
net loss on disposal of €275 million recognised as part of other gains and
losses. Prior to the iFood Transaction, we invested €88 million in iFood in
2022 (2021: € 83 million).
Income tax expense
In 2022, the net income tax benefit was €101 million, compared with €8
million in 2021. The taxable results of profitable entities, the movement in
provisions for uncertain tax positions and the outcome of the Danish Tax
Authority dispute, resulted in a current tax expense of €53 million compared
with €38 million in 2021. In 2022, the deferred tax benefit was €154
million compared with €46 million in 2021, mainly relating to temporary
differences arising from the amortisation of other intangible assets and the
recognition of available tax losses carried forward.
Loss for the period
As a result of the factors described above, Just Eat Takeaway.com realised a
net loss after tax of €5,667 million in 2022 (2021: €1,044 million). The
loss excluding the impact of impairments amounted to €1,065 million compared
with €990 million in 2021.
Consolidated statement of financial position
€ millions
Non-current assets 9,742 15,963
Current assets excluding cash and cash equivalents 626 543
Cash and cash equivalents 2,020 1,320
Total assets 12,389 17,826
Total shareholders' equity attributable to equity holders 7,903 13,050
Non-controlling interests (8) (8)
Total equity 7,895 13,042
Non-current liabilities 3,085 3,543
Current liabilities 1,408 1,241
Total liabilities 4,494 4,784
Total shareholders' equity and liabilities 12,389 17,826
*The comparative information is restated in line with IFRS 3 on account of
Grubhub's acquisition measurement period adjustments and due to the
reclassification of amounts previously presented as the current portion of the
convertible bonds and senior notes to non-current liabilities. Reference is
made to Note 31 and Note 21 respectively in the Consolidated financial
statements.
Non-current assets, mainly consisting of goodwill and other intangible assets
decreased to €9,742 million as of 31 December 2022 from €15,963 million as
of 31 December 2021. This was primarily driven by the impairment losses and
the iFood Transaction.
Cash and cash equivalents increased to €2,020 million as of 31 December
2022, from €1,320 million as of 31 December 2021. This increase was
primarily driven by the consideration received from the iFood Transaction,
partly offset by the repayment of the €300 million bank loan and capital and
financing expenditure.
Shareholders' equity decreased to €7,903 million as of 31 December 2022,
from €13,050 million as of 31 December 2021, mainly due to accumulated
losses over the period, offset partially by gains on foreign currency
translation.
The solvency ratio, defined as total equity divided by total assets, was 64%
as of 31 December 2022 compared with 73% at of 31 December 2021, mainly caused
by accumulated losses over the period.
Consolidated statement of cash flows
Year ended 31 December
€ millions
Net cash used in operating activities (166) (423)
Net cash generated by / (used in) investing activities 1,214 (106)
Net cash generated by / (used in) financing activities (365) 1,312
Net cash and cash equivalents generated 683 783
Effects of exchange rate changes of cash held in foreign currencies 17 8
Net increase in cash and cash equivalents 700 791
Net cash used in operating activities
Net cash used in operating activities amounted to €166 million in 2022
compared with €423 million in 2021. The decrease was mainly driven by
operational performance and our focus on becoming profitable.
Net cash generated by investing activities
Net cash generated by investing activities amounted to €1,214 million in
2022 compared with net cash used of €106 million in 2021, driven by the
proceeds from the iFood Transaction.
Net cash used in financing activities
Net cash used in financing activities amounted to €365 million in 2022
compared with net cash generated of €1,312 million in 2021, which included
the issuance of convertible bonds of €1,100 million. In 2022, the net cash
used largely represented the repayment of the €300 million bank loan and net
interest costs.
Events after the reporting period
There have been no events after the balance sheet date that require
disclosure.
Outlook
● Management reiterates the following guidance for 2023:
o 2023 Adjusted EBITDA of approximately €225 million
This guidance includes additional investments in food and non-food adjacencies
as well as wage costs inflation and takes into account an uncertain
macro-economic environment.
● The Management Board reiterates the following long-term targets:
o In excess of €30 billion of GTV to be added over the next 5 years
o Long-term group Adjusted EBITDA Margin in excess of 5% of GTV
● Management, together with its advisers, continues to actively
explore the partial or full sale of Grubhub. There can be no certainty that
any such strategic actions will be agreed or what the timing of such
agreements will be. Further announcements will be made as and when
appropriate.
Principal risks
In conducting our business, we face risks that may interfere with the
achievement of our business objectives. It is important to understand the
nature of these risks. We assess our risks through in-depth interviews with
members of the Management Board and senior management as well as numerous risk
workshops and interviews throughout the organisation during the year. Just Eat
Takeaway.com identified 12 principal risks aligned with its Vision and
Strategy which are categorised into five broad categories as set out in the
chapter "Risk Management" of our 2022 Annual Report. Any of these risks and
events or circumstances described therein may have a material adverse effect
on our business, financial condition, results of operations and reputation.
The risks outlined in the 2022 Annual Report continue to apply in 2023. These
risks are not the only ones that we face. Some risks may not yet be known to
us and certain risks that we do not currently believe to be material could
become material in the future.
In Control Statement by the Management Board
As recommended by Governance Rules and on the basis of the foregoing and the
explanations contained in the section 'Risk Management', the Management Board
confirms, to its knowledge, that:
· Just Eat Takeaway.com's financial reporting over 2022 provides
sufficient insights into any failings in the effectiveness of the internal
risk management and control systems;
· Just Eat Takeaway.com's internal risk management and control
systems with regard to financial reporting risks provide a reasonable
assurance that Just Eat Takeaway.com's financial reporting over 2022 does not
contain any material errors;
· Based on the current state of affairs, it is justified that the
financial reporting over 2022 is prepared on a going concern basis; and
· The report states those material risks and uncertainties that are
relevant to the expectation of Just Eat Takeaway.com's continuity for the
period of 12 months after the preparation of the report.
The Management Board, 1 March 2023
Jitse Groen, CEO
Brent Wissink, CFO
Jörg Gerbig, COO
Andrew Kenny, CCO
Investor Relations:
Joris Wilton
E: IR@justeattakeaway.com (mailto:IR@justeattakeaway.com)
Media:
E: press@justeattakeaway.com (mailto:press@justeattakeaway.com)
For more information, please visit our corporate website:
https://www.justeattakeaway.com/ (https://www.justeattakeaway.com/)
About Just Eat Takeaway.com
Just Eat Takeaway.com (LSE: JET, AMS: TKWY) is one of the world's leading
global online food delivery marketplaces.
Headquartered in Amsterdam, the Company is focused on connecting consumers and
partners through its platforms. With 692,000 connected partners, Just Eat
Takeaway.com offers consumers a wide variety of food choice.
Just Eat Takeaway.com has rapidly grown to become a leading online food
delivery marketplace with operations in the United States, United Kingdom,
Germany, the Netherlands, Canada, Australia, Austria, Belgium, Bulgaria,
Denmark, France, Ireland, Israel, Italy, Luxembourg, New Zealand, Poland,
Spain and Switzerland.
Analyst and investor conference call and audio webcast
Jitse Groen, Brent Wissink, Jörg Gerbig and Andrew Kenny will host an analyst
and investor conference call to discuss the full year 2022 results at 10:30 am
CET on Wednesday 1 March 2023. Members of the investor community can follow
the audio webcast on:
https://www.justeattakeaway.com/investors/results-and-reports/
(https://www.justeattakeaway.com/investors/results-and-reports/)
Media and wires call
Jitse Groen will host a media and wires call to discuss the full year 2022
results at 8:30 am CET on Wednesday 1 March 2023. Members of the press can
join the conference call at +31 20 708 5073 or +44 (0)33 0551 0200.
Financial calendar
For more information, please visit
https://www.justeattakeaway.com/investors/financial-calendar/
Additional information on https://www.justeattakeaway.com/
(https://www.justeattakeaway.com/)
· Just Eat Takeaway.com Analyst Presentation FY 2022
· Our media kit (https://www.justeattakeaway.com/media/media-kit/)
including photos of the Management Board and industry-related photos for
download
Market Abuse Regulation
This press release contains inside information (i) as meant in clause 7(1) of
the Market Abuse Regulation and (ii) in terms of Article 7(1) of the Market
Abuse Regulation as it forms part of UK law pursuant to the European Union
(Withdrawal) Act 2018.
Auditor's involvement
The full year 2022 and 2021 information in the condensed financial statements
is based on Just Eat Takeaway.com's 2022 Consolidated financial statements, as
included in the 2022 Annual Report (the 'Financial Statements'), which have
been published on 1 March 2022. In accordance with article 2:395 of the
Netherlands Civil Code, we state that our auditor, Deloitte Accountants B.V.,
has issued an unqualified opinion on the Financial Statements, dated 1 March
2023. For a better understanding of the company's financial position and
results and of the scope of the audit of Deloitte Accountants B.V., this
report should be read in conjunction with the Financial Statements. The
general meeting has not yet adopted the Financial Statements.
Accounting Principles
The Financial Statements of the Company have been prepared in accordance with
International Financial Reporting Standards as adopted by the European Union
('IFRS') and comply with the financial reporting requirements included in Part
9 of Book 2 of the Dutch Civil Code.
Disclaimer
Statements included in this press release that are not historical facts are,
or may be deemed to be, forward-looking statements, including "forward-looking
statements" made within the meaning of the U.S. Private Securities Litigation
Reform Act of 1995. These forward-looking statements may be identified by the
use of forward-looking terminology, including the terms "anticipates",
"expects", "intends", "may" or "will" or comparable terminology, or by
discussions of strategy, plans, objectives, goals, future events or
intentions. Forward-looking statements may and often do differ materially from
actual results, reflect the Company's current view with respect to future
events and are subject to risks relating to future events, including risks
from or uncertainties related to innovation; competition; brand &
reputation; acquisitions; global strategic projects; technological reliability
and availability; social change, legislation & regulation; data security
and privacy; financial reporting, people, operational complexity of hybrid
model and integration & transformation, as well as those contained in the
Company's filings with the SEC, including the Company's registration statement
on Form 20-F and Current Reports on Form 6-K, which may be obtained free of
charge at the SEC's website, http://www.sec.gov, and the Company's Annual
Reports, which may be obtained free of charge from the Company's corporate
website, https://justeattakeaway.com. Past performance is no guide to future
performance and persons needing advice should consult an independent financial
adviser. Forward-looking statements reflect knowledge and information
available at, and speak only as of, the date they are made, and the Company
expressly disclaims any obligation or undertaking to update, review or revise
any forward-looking statement contained in this announcement. Readers are
cautioned not to place undue reliance on such forward-looking statements.
Past performance is no guide to future performance and persons needing advice
should consult an independent financial adviser. Forward-looking statements
reflect knowledge and information available at, and speak only as of, the date
they are made, and the Company expressly disclaims any obligation or
undertaking to update, review or revise any forward-looking statement
contained in this announcement whether as a result of new information, future
developments or otherwise. Readers are cautioned not to place undue reliance
on such forward-looking statements.
No Offer or Solicitation
This document shall not constitute an offer to sell or the solicitation of an
offer to sell or the solicitation of an offer to buy any securities, nor shall
there be any sale of securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or qualification
under the securities laws of any such jurisdiction.
Non-GAAP Financial Measures and Alternative Performance Measures
This document includes certain alternative performance measures. Just Eat
Takeaway.com uses these alternative performance measures as key performance
measures because it believes they facilitate operating performance comparisons
from period to period by excluding potential differences primarily caused by
variations in capital structures, tax positions, the impact of acquisitions
and restructuring, the impact of depreciation and amortisation expense on its
fixed assets and the impact of share-based payment expenses. These alternative
performance measures are not measurements of Just Eat Takeaway's financial
performance under IFRS and should not be considered as an alternative to
performance measures derived in accordance with IFRS. They should be read in
conjunction with Just Eat Takeaway.com's financial statements prepared in
accordance with IFRS.
Condensed Consolidated Financial Statements
this page has been intentionally left blank
Consolidated statement of profit or loss and other comprehensive loss
€ millions Note
Revenue 4 5,561 4,495
Courier costs 5 (2,599) (2,531)
Order processing costs 5 (571) (406)
Staff costs 6 (1,259) (890)
Other operating expenses 8 (1,377) (1,164)
Depreciation, amortisation and impairments 12, 13, 14, 25 (5,168) (443)
Operating loss (5,413) (939)
Share of results of associates 15 (35) (62)
Finance income 9 38 23
Finance expense 9 (85) (76)
Other gains and losses 15 (273) 2
Loss before income tax (5,768) (1,052)
Income tax benefit 10 101 8
Loss for the period (5,667) (1,044)
Other comprehensive income
Items that may be reclassified subsequently to profit or loss:
Foreign currency translation gain related to foreign operations, net of tax 153 718
Equity-accounted investees - share of other comprehensive income 15 276 -
Reclassification of foreign currency translation on loss of significant 15 (84) -
influence to profit or loss
Other comprehensive income for the period 345 718
Total comprehensive loss for the period (5,322) (326)
Loss attributable to:
Owners of the Company (5,667) (1,031)
Non-controlling interests (0) (13)
Total comprehensive loss attributable to:
Owners of the Company (5,322) (313)
Non-controlling interests (0) (13)
Loss per share (expressed in € per share)
Basic loss per share 20 (26.51) (5.61)
Diluted loss per share 20 (26.51) (5.61)
Consolidated statement of financial position
€ millions Note
Assets
Goodwill 12 3,926 8,294
Other intangible assets 13 5,217 5,531
Property and equipment 14 200 185
Right-of-use assets 25 333 354
Investments in associates 15 - 1,517
Deferred tax assets 10 2 6
Other non-current assets 4 64 76
Total non-current assets 9,742 15,963
Trade and other receivables 16 433 307
Other current assets 17 136 159
Current tax assets 10 20 44
Inventories 37 33
Cash and cash equivalents 18 2,020 1,320
Total current assets 2,646 1,863
Total assets 12,389 17,826
Equity and liabilities
Total shareholders' equity 19 7,903 13,050
Non-controlling interests (8) (8)
Total equity 7,895 13,042
Borrowings 21 2,001 2,236
Deferred tax liabilities 10 750 910
Lease liabilities 25 311 316
Provisions 22 24 81
Total non-current liabilities 3,085 3,543
Borrowings 21 4 5
Lease liabilities 25 64 59
Provisions 22 91 59
Trade and other liabilities 23 1,183 1,082
Current tax liabilities 10 66 36
Total current liabilities 1,408 1,241
Total liabilities 4,494 4,784
Total equity and liabilities 12,389 17,826
*The comparative information is restated in line with IFRS 3 on account of
Grubhub's acquisition measurement period adjustments and due to the
reclassification of amounts previously presented as the current portion of the
convertible bonds and senior notes to non-current liabilities. Reference is
made to Note 31 and Note 21 respectively.
Consolidated statement of changes in equity
Note
€ millions
Balance as at 31 December 2020 6 8,801 (345) 323 24 74 (384) 8,499 5 8,504
Total comprehensive income / (loss) - - 718 - - - (1,031) (313) (13) (326)
Issuance of shares related to business combination 11 3 4,637 - - 140 - - 4,780 - 4,780
Transaction costs 11 - (33) - - - - - (33) - (33)
Issuance of convertible bonds 21 - - - - - 139 - 139 - 139
Deferred tax on convertible bonds 10 - - - - - (15) - (15) - (15)
Share-based payments 7 0 45 - - 24 - 3 72 - 72
Transfer to accumulated deficits 19 - - - (323) - - 323 - - -
Direct equity movements from associates 15 - - - - - - (79) (79) - (79)
Balance as at 31 December 2021 9 13,450 373 - 188 198 (1,168) 13,050 (8) 13,042
Total comprehensive income / (loss) - - 345 - - - (5,667) (5,322) (0) (5,322)
Deferred tax on convertible bonds 10 - - - - - (3) - (3) - (3)
Share-based payments 7 0 158 - - (2) - 23 179 - 179
Balance as at 31 December 2022 9 13,607 718 - 187 195 (6,813) 7,903 (8) 7,895
Consolidated statement of cash flows
€ millions Note
Loss for the period (5,667) (1,044)
Adjustments:
Depreciation, amortisation and impairments 12, 13, 14, 25 5,168 443
Share of results of associates 15 35 62
Loss on disposal of investment in associates 15 275 -
Equity-settled share-based payments 7 166 76
Finance income and expense recognised in profit or loss 9 47 53
Other non-cash adjustments (1) (5)
Income tax benefit recognised in profit or loss 10 (101) (8)
(78) (423)
Changes in:
Inventories (4) (17)
Trade and other receivables 16 (126) 5
Other current assets 27 7
Other non-current assets 11 (32)
Trade and other liabilities 85 85
Provisions (28) 52
Net cash used in operations (113) (323)
Interest paid 21, 25 (48) (47)
Income taxes paid 10 (5) (53)
Net cash used in operating activities (166) (423)
Cash flows from investing activities
Investment in other intangible assets 13 (93) (53)
Investment in property and equipment (108) (98)
Acquisition of subsidiaries, net of cash acquired 3 128
Proceeds from sale of investment in associates 15 1,500 -
Funding provided to associates 15 (88) (83)
Net cash generated by / (used in) investing activities 1,214 (106)
Cash flows from financing activities
Proceeds from issuance of ordinary shares 7 5 4
Transaction costs related to issuance of ordinary shares accounted through 11 - (33)
equity
Principal element of lease payments 25 (54) (37)
Proceeds from borrowings 21 - 1,409
Transaction costs related to borrowings 21 - (15)
Repayments of borrowings 21 (300) -
Taxes paid related to net settlement of share-based payment awards 7 (15) (16)
Net cash generated by / (used in) financing activities (365) 1,312
Net increase in cash and cash equivalents 683 783
Cash and cash equivalents at beginning of year 18 1,320 529
Effects of exchange rate changes of cash held in foreign currencies 17 8
Cash and cash equivalents at end of year 2,020 1,320
* The comparative information is amended to separately show the movements in
other non-current assets and provisions. Reference is made to Note 2
Amendments to 2021 presentation paragraph.
Appendix 1
Key Performance Indicators
The Grubhub business was consolidated from 15 June 2021, and the Just Eat
business was consolidated from 15 April 2020. These figures are presented as
if the combinations were completed on 1 January 2020, to provide comparable
information for the periods presented. Operations in Norway and Portugal were
discontinued from 1 April 2022 and Romania from 1 June 2022. The figures
presented exclude these operations as from 1 January 2022.
These figures and percentages are unaudited and may not add up due to
rounding. Refer to the chapter 'Reconciliation of Alternative Performance
Measures' for reconciliations to the closest IFRS-based equivalent where
applicable.
On a combined basis
Millions unless stated otherwise
Partners ('000) 692 634 506
Active Consumers 90 99 91
Average Monthly Order Frequency (#) 2.8 2.9 2.6
On a combined basis
Total orders (million)
North America 327 374 314
Northern Europe 288 296 219
UK and Ireland 260 289 190
Southern Europe and ANZ 109 128 93
Total Orders 984 1,086 816
On a combined basis
Average transaction value (€)
North America 35.54 30.76 31.29
Northern Europe 25.80 24.30 23.03
UK and Ireland 25.18 23.01 23.75
Southern Europe and ANZ 23.91 22.24 22.20
Average Transaction Value 28.66 25.94 26.28
On a combined basis
Total GTV (€ million)
North America 11,626 11,501 9,827
Northern Europe 7,430 7,190 5,049
UK and Ireland 6,553 6,647 4,515
Southern Europe and ANZ 2,610 2,840 2,057
Total GTV 28,220 28,178 21,448
On a combined basis
€ millions
Revenue
North America 2,552 2,470 2,111
Northern Europe 1,155 1,064 745
UK and Ireland 1,319 1,249 768
Southern Europe and ANZ 532 548 370
Total revenue 5,559 5,331 3,994
Adjusted revenue less Order fulfilment costs 2,360 1,898 2,089
Adjusted EBITDA
North America 65 (28) 166
Northern Europe 313 256 217
UK and Ireland 23 (107) 237
Southern Europe and ANZ (161) (262) (92)
Head office (221) (208) (165)
Total Adjusted EBITDA 19 (350) 363
IFRS-basis
€ millions
Loss for the period (5,667) (1,044) (151)
Cash and cash equivalents 2,020 1,320 529
Appendix 2
Reconciliation of Alternative Performance Measures
The tables below provide a reconciliation of alternative performance measures
from the most directly comparable IFRS measures. The Grubhub business was
consolidated from 15 June 2021, and the Just Eat business was consolidated
from 15 April 2020. These figures are presented as if the combinations were
completed on 1 January 2020, to provide comparable information for the periods
presented. This is referred to as 'Combined businesses' in the table below.
Operations in Norway and Portugal were discontinued from 1 April 2022 and
Romania from 1 June 2022. These figures are presented as if these operations
were excluded as of 1 January 2022. This is referred to as 'Discontinued
businesses' in the table below.
These figures are unaudited and may not add up due to rounding.
Combined Revenue
Unaudited
2022
€ millions
Revenue (IFRS) 2,552 1,156 1,319 534 - 5,561
Discontinued businesses - (1) - (2) - (2)
Combined revenue 2,552 1,155 1,319 532 - 5,559
Unaudited
2021
€ millions
Revenue (IFRS) 1,634 1,064 1,249 548 - 4,495
Combined businesses 836 - - - - 836
Combined revenue 2,470 1,064 1,249 548 - 5,331
Unaudited
2020
€ millions
Revenue (IFRS) 404 723 611 303 - 2,042
Combined businesses 1,706 22 157 66 - 1,952
Combined revenue 2,111 745 768 370 - 3,994
Combined Adjusted EBITDA
Refer to Note 3 in the Consolidated financial statements for a reconciliation
of Adjusted EBITDA to loss before income tax (IFRS).
Unaudited
2022
€ millions
Adjusted EBITDA 65 312 23 (169) (221) 10
Discontinued businesses - 1 - 8 - 9
Combined Adjusted EBITDA 65 313 23 (161) (221) 19
Unaudited
2021
€ millions
Adjusted EBITDA (11) 256 (107) (262) (207) (331)
Combined businesses (17) - - - (1) (19)
Combined Adjusted EBITDA (28) 256 (107) (262) (208) (350)
Unaudited
2020
€ millions
Adjusted EBITDA 42 216 160 (79) (140) 199
Combined businesses 124 1 76 (13) (25) 164
Combined Adjusted EBITDA 166 217 237 (92) (165) 363
Combined adjusted revenue less Order fulfilment costs
Unaudited
€ millions
Revenue less Order fulfilment costs 2,391 1,558 1,137
Discontinued businesses 3 - -
Combined businesses - 303 953
Other items(1) (34) 37 -
Combined adjusted revenue less Order fulfilment costs 2,360 1,898 2,089
(1)Other items include, amongst others, restructuring costs, certain legal,
tax, and regulatory matters, and certain insurance income and costs
1 (#_ftnref1) Adjusted EBITDA is defined as operating income / loss for the
period adjusted for depreciation, amortisation, impairments, share-based
payments, acquisition and integration related expenses and other items not
directly related to underlying operating performance. This also excludes the
discontinued operations in Norway, Portugal and Romania.
2 (#_ftnref2) On a combined basis
This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
or visit
www.rns.com (http://www.rns.com/)
.
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
. END FR JBMFTMTMMMRJRecent news on Just Eat Takeaway.com NV
See all newsREG - Just Eat Takeaway - Transaction in Own Shares
AnnouncementREG - Just Eat Takeaway - Director/PDMR Shareholding
AnnouncementREG - Just Eat Takeaway - Transaction in Own Shares
AnnouncementREG - Just Eat Takeaway - Q1 2024 Trading Update
AnnouncementREG - Just Eat Takeaway - Transaction in Own Shares
Announcement