20th Oct 2021 10:50
(Alliance News) - Deliveroo PLC on Wednesday raised its full-year outlook after a "strong" third quarter, as pandemic restrictions largely eased.
Shares in Deliveroo were trading up 3.8% at 301.60 pence each in London on Wednesday morning.
The food delivery company reported gross transaction value of GBP1.59 billion in the third quarter of 2021, up 54% from GBP1.04 billion in the same period a year earlier.
Orders were described as "resilient" in the quarter, jumping 64% year-on-year to 74.6 million from 45.4 million. International orders rose to 38.8 million, up 70% from 22.8 million the year prior.
Meanwhile, UK orders rose 59% to 35.8 million total in the third quarter from 22.6 million in the same period during 2020, despite the easing of lockdown restrictions on restaurants and hospitality venues.
Order value reduced by 6% in the third quarter, falling to GBP21.4 per order from GBP22.8 the year prior. In the first nine months of 2021, value per order fell 2% to GBP22.3 from GBP22.8 the previous year.
Despite this slight drop in value per order, the significant growth in order volume and total gross value led Deliveroo to raise its full-year gross transaction value guidance once again.
The company now expects gross transaction value growth of 60% to 70% in 2021, up from prior guidance of 50% to 60%, which was released in August.
Margin outlook was unchanged, it said, and is still expected to be between 7.5% to 7.8% in the full year.
"While we are mindful of current and potential macroeconomic disruptions and uncertainties, we expect further strong performance in the remainder of the year and we are increasing our full-year [gross transaction value] growth guidance," said Founder & Chief Executive Will Shu.
Also on Wednesday, CEO Shu vested restricted stock unit awards worth around GBP639,920, including 226,200 shares priced at GBP2.83 each.
By Scarlett Butler; [email protected]
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