16th Oct 2024 09:12
(Alliance News) - Just Eat Takeaway.com NV on Wednesday confirmed its financial guidance for 2024, despite a drop in order numbers and value in the third quarter, dragged down particularly by its struggling Grubhub business in the US.
The Amsterdam-based food delivery platform said it still expects to record EUR450 million in adjusted earnings before interest, tax, depreciation and amortisation in 2024. This would be up from EUR324 million in 2023 and just EUR19 million in 2022.
Gross transaction value in the three months that ended September 30 was EUR6.34 billion, down 2.8% from EUR6.53 billion a year before, as orders declined by 5.8% to 211.1 million from 224.2 million. The third quarter totals left GTV down 1.7% and orders down 5.2% in the year-to-date.
Just Eat's largest sales region continued to be its weakest. GTV was down 12% on year in North America in the recent quarter, and down 11% at constant currency, while orders were down 11%.
Elsewhere, GTV was up 4% in Northern Europe and up 6% in UK & Ireland, though order numbers were down 2% and 1% respectively. Just Eat's smallest sales region, Southern Europe & Australia New Zealand, suffered a 12% fall in GTV and 14% fall in orders.
Just Eat said it expects 2% to 6% growth in GTV at constant currency for the full year when excluding North America. Growth by this measure was 2% in the third quarter and 3% in the first nine months. The company noted it had an improved exit rate from September after a slow July to begin the recent quarter.
Chief Executive Officer Jitse Groen highlighted the "positive momentum" in Northern Europe and UKI, adding that cost and operational efficiencies have allowed Just Eat to increase investment while maintaining is earning outlook.
Just Eat noted it has repurchased EUR340 million in shares in the past 18 months in three buyback programmes.
It repeated that it continues to try to sell the Grubhub business.
Just Eat shares were down 1.9% to 1,014.71 pence in London early Wednesday.
By Tom Waite, Alliance News editor
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