by winston » Thu Nov 17, 2022 10:50 am
not vested
3Q Results
South-East Asian on-demand player Grab narrowed its net loss to US$327 million for Q3 ended September, an improvement from the US$970 million loss a year ago.
This was primarily due to the elimination of non-cash interest expenses from Grab’s convertible redeemable preference shares upon its December 2021 listing.
Revenue for the company grew 143 per cent to US$382 million in Q3, lifted by a doubling in mobility revenue and 250 per cent growth in deliveries’ revenue year on year.
This came as gross merchandise value (GMV) was up 26 per cent to US$5.1 billion.
With this set of earnings, Grab’s deliveries segment has hit positive adjusted Ebitda (earnings before interest, taxes, depreciation and amortisation) for the first time, three quarters ahead of previous guidance.
This was possible due to the optimisation of incentive spend and contributions from its Malaysian retail chain, Jaya Grocer.
The food-delivery sub-segment also turned adjusted-Ebitda positive in Q3, two quarters ahead of previous guidance.
On the back of the positive showing, Grab has lifted its FY2022 revenue guidance to between US$1.32 billion and US$1.35 billion, up from the US$1.25 billion-to-US$1.3 billion range.
It has aso revised its H2 2022 adjusted Ebitda guidance to negative US$315 million, an improvement from negative US$380 million.
Looking ahead, Grab’s management noted that a potential growth catalyst would be the relaxation of Covid-19 restrictions in China, which would boost demand from Chinese tourists across the region.
Asked whether Grab would explore merger and acquisition (M&A) opportunities in the current climate, Oey replied: “We’re very focused on organic growth... Cash preservation is critical for us, and our bar on M&A is high also.”
Source: Phillips
It's all about "how much you made when you were right" & "how little you lost when you were wrong"