Delivery Hero posts FY core profit above guidance

Takeaway company Delivery Hero on Monday posted above-guidance core profit for 2023 driven by healthy order growth, sending shares up 11.4 percent in early Frankfurt trade.

After the pandemic-driven boost to orders, delivery firms have focused on reaching long-awaited profitability as they struggle to retain customers.

The German firm posted full-year adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) of over 250 million euros, compared with a 623.6 million euro loss a year ago.

In mid-November, the company had said it expected adjusted EBITDA in 2023 of around 250 million euros.

The group also reported gross merchandise value, a common metric for delivery firms measuring the total value of all goods sold, of 47.6 billion euros ($51.3 billion). This was up 6.7 percent year-on-year, within the company's 5-7 percent guidance range.

For 2024, Delivery Hero is forecasting group GMV growth within a range of 7-9 percent as well as adjusted earnings before interests, taxes, depreciation and amortization of 725-775 million euros.