2nd Nov 2016 07:25
LONDON (Alliance News) - Online takeaway ordering and delivery service Just Eat PLC on Wednesday increased its revenue and adjusted earnings guidance for 2016, despite a slowdown in growth in the third quarter.
Just Eat said reported orders grew 34% in the quarter to the end of September, a slowdown on the 55% growth reported in the first half of the year. For the nine months to the end of September, order growth was 47%.
On a like-for-like basis, orders grew 34% in the third quarter and increased 38% for the nine months to the end of September. UK orders were up 28% in the quarter, slower than the 50% growth reported for the third quarter of 2015, blamed by the firm on a warmer and drier summer than the year before.
Mobile orders now make up 80% of total orders for Just Eat in the UK, up from 74% in the third quarter of 2015. The group said it has continued to invest in a range of technology and marketing programmes and is starting to see benefits from this in its markets.
Just Eat increased its full-year constant currency revenue guidance to GBP371.0 million from GBP368.0 million previously and increased its guidance for adjusted earnings before interest, tax, depreciation and amortisation to between GBP109 million and GBP111 million, up from GBP106 million to GBP108 million previously.
"Just Eat has had another period of strong order growth. Whilst we continue to invest in a number of technology and marketing initiatives and are starting to see the benefits of these in many of our markets, we have continued to focus on delivering the best possible service to our restaurants and customers," said Chief Executive David Buttress.
By Sam Unsted; [email protected]; @SamUAtAlliance
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