Grab

[winston]

vested

Grab Holdings

Grab Holdings (NASDAQ:GRAB) stock has plunged by almost 70% in the last 12-months.

Grab reported healthy top-line growth of 79% on a year-on-year basis for Q2 2022.

While the company continues to report adjusted EBITDA losses, margins have improved in the last few quarters.

Once EBITDA break-even is achieved, the stock is likely to surge higher. The company has already guided for break-even in the deliveries business in 1H 2023.

It’s also worth noting that Grab is well diversified. The company operates in four key segments that include delivery, mobility, financial services and enterprise services.

GRAB stock looks massively undervalued at $3.1. With the mobility business also gaining momentum as tourism increases, I expect the stock to quickly double from current levels.

Source: Investor Place

[winston]

vested

Grab Tries to Reassure Investors After Market Plunge

by Yoolim Lee

Grab Holdings Ltd. expects slower growth of 45% to 55% in 2023.

Should break even in the second half of 2024.

Grab lost $3.4 billion in 2021 and has piled up almost $1 billion of losses in the first two quarters of this year.

Source: Bloomberg

https://finance.yahoo.com/news/grab-co- ... 30902.html

[winston]

vested

Regional tech group Grab aims to break even by the second half of 2024 in its adjusted earnings before interest, taxes, depreciation and amortisation (Ebitda), the company’s top brass announced at its inaugural investor day on Tuesday (Sep 27).

Oey said that in the upcoming second-half ending in December, Grab anticipates a 27 per cent improvement in group adjusted Ebitda compared to H1.

It also expects group revenue to grow by 45 to 55 per cent in 2023 on a constant currency basis.

The fresh guidance comes as Grab’s share price has fallen 77.3 per cent since its debut on the Nasdaq last year, closing at US$2.81 on Monday.

Source: Phillips

[winston]

vested

Investor Day takeaways

Grab looks to achieve adj. EBITDA breakeven by 2H24F as it focuses on sustainable growth and accelerating its path to profitability.

Key initiatives:
1) grow customer loyalty and maximise users’ lifetime value,
2) lowering platform cost to serve,
3) exit services with weak unit economics.

Grab also shared strategies for its two medium-term growth drivers: digital
bank and advertising business.

Maintain Add; TP US$4.10 based on SOP valuation.

Source: CIMB

https://rfs.cgs-cimb.com/api/download?f ... ef5d88aa37

[winston]

vested

Grab to launch digibank in Malaysia, Indonesia in 2023

Bank Fama International will serve as the foundation for the digibank it plans to establish in Indonesia. Grab will build the digibank in partnership with Singtel and Emtek Group.

Grab and Singtel previously invested US$70 million in Bank Fama, each getting a 16.26% stake in the bank. In addition, Indonesian conglomerate Emtek Group controls 62.8% of Bank Fama’s shares.

In Malaysia, GXS Bank – a joint venture between Grab and Singtel – won a digital bank license from Bank Negara Malaysia in April. The joint venture will own 55.5% of the proposed digital bank.

Source: Tech In Asia

https://www.techinasia.com/grab-launch- ... nesia-year

[winston]

vested

Grab Holdings Ltd (GRAB US): Run for profitability with slower revenue growth [HOLD, TP US$2.58]

GRAB projects slower revenue growth of 45%-55% in FY23F as it focuses on profitability.

We lower our FY23F revenue by 22% and project adj EBITDA losses to narrow by 54% (US$288m)

Maintain HOLD with a lower TP of US$2.58, based on long term normalised EBITDA margin of 12%

Source: DBS

[winston]

not vested

Grab narrows loss by 65% to US$342 mil in 3QFY2022

by Khairani Afifi Noordin

Grab has reported a loss of US$342 million ($467 million) for 3QFY2022 ended September, 65% lower than the loss recorded in the previous corresponding quarter at US$988 million.

Revenue for 3QFY2022 stood at US$382 million, a 143% growth y-o-y, driven by strong growth in mobility and deliveries revenue, representing 101% and 250% y-o-y growth respectively.

Gross merchandise value (GMV) grew 26% y-o-y to US$5.08 billion. This is also attributed to the recovery in the mobility segment and continued growth in deliveries.

Cash liquidity totaled US$7.4 billion at the end of 3QFY2022, while its net cash liquidity was US$5.3 billion.

Source: The Edge

https://www.theedgesingapore.com/news/r ... paign=FREE

[winston]

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

[winston]

Grab to implement cost cuts, CEO memo shows

The measures include a freeze on most hirings, salary freezes for senior managers and cuts in travel and expense budgets.

Last month, Grab raised its 2022 revenue forecast, reported a narrower adjusted operating loss and said its food and grocery delivery business broke even three quarters ahead of the company’s expectations.

Decade-old Grab, a household name in eight South-East Asian countries, has been trying to stem losses by focusing on higher-paying customers and lowering spending on incentives.

Grab, which operates in 480 cities in eight countries, had about 8,800 staff at the end of 2021

Source: Reuters

https://www.thestar.com.my/business/bus ... memo-shows

[winston]

not vested

Aletheia Capital initiates 'buy' on Grab Holdings with TP of US$4

by Felicia Tan

“[Grab’s] adjusted net revenue as a percentage of gross merchandise value (GMV) is 12%, while its take rate has risen threefold since 2018.

In 3QFY2022, Grab’s delivery segments recorded adjusted ebitda positivity (5% of revenue) for the first time.

“The mobility segment generated record adjusted ebitda margin of 12.5% in 3QFY2022,” he adds, expecting Grab to record its first full year of ebitda positivity for both its delivery and mobility segments in FY2023.

Furthermore, the analyst projects Grab to see ebitda and free cash flow (FCF) positivity in FY2024.

On his target price, Tiruchelvam values Grab’s ride-hailing and food delivery businesses on a P/GMV basis of 0.45x. The digital banking business is valued on a price-to-tangible book value (P/TPV) multiple of 0.13x.

Source: The Edge

https://www.theedgesingapore.com/capita ... ngs-tp-us4