The fast food start-up company Gorillas is withdrawing from several regions in Europe to focus on its key markets, including the United Kingdom, as the company shifts its focus from “hyper growth to a clear path to profitability”.

Berlin-based food delivery company said it will cut about 300 roles in its global workforce in a bid to prolong its flight amid a difficult economic period for the technology industry.

Most of the eliminated roles are based at the company’s German headquarters in Berlin.

In addition to staff cuts, Gorillas has announced plans to suspend operations in Italy, Spain, Denmark and Belgium to better focus on what it describes as key markets in the United Kingdom, the Netherlands, the United States, France and Germany.

The company said 90% of its revenue comes from these five markets, so it will focus on trying to make a profit on these before continuing to provide services elsewhere.

Founded in 2020, Gorillas is one of a handful of fast delivery startups that emerged during the pandemic of courier grocery orders to consumers in 20 minutes or less.

The rapid growth of gorillas

Gorillas is growing as fast as the delivery service, providing $ 1.3 billion in funding, including an exciting $ 1 billion C-series round last September. His latest publicly shared estimate was $ 3.1 billion, just over a year after his first opening round.

However, despite huge amounts of cash being thrown at start-ups in the fast delivery market – especially during the industry pandemic boom – profitability remains a challenge everywhere, as Gorillas it may not be able to meet its enormous expectations continue.

Despite the increase in astronomical financial data in such a short time, sources close to the company claim that it faces significant debts to suppliers and operates with a monthly burnout rate of up to $ 75 million, as reported TechCrunch.

Gorillas is just one of many technology companies experiencing the heat of tough economic times. Buy now, pay later Klarna has announced it will cut 10% of its staff, while London-based online event platform Hopin lost about 12% of its staff in February.

Gorillas to focus on ‘key markets’, including UK, after firing 300 staff

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