Grab outperforms growth in all business units

Singapore-based brand for mobility and delivery Grab reports the gross volume of goods for the first quarter of 2022 and the total volume of payments exceeded its guidelines for supply, mobility and financial services.

The gross volume of goods (GMV) is 4.8 million dollars, an increase of 32% over the previous year.

Revenue in the first quarter was $ 228 million, a 6% increase over the same period in 2021, and the quarterly loss also improved 35% year-over-year to $ 435 million.

“Our results for the first quarter are proof of the resilience of the Southeast Asian economy as we go through the worst of pandemic restrictions. We are optimistic that our business will continue to grow as more and more countries move towards living with COVID-19, ”said Anthony Tan, co-founder and CEO of Grab Group.

“During the quarter, we achieved strong supply growth as we expanded our choice of retailers to give consumers more reasons to choose Grab. Our mobility business has also recovered and we expect it to gradually recover as COVID’s constraints are further eased and our active driver base grows. “

Adjusted EBITDA in the first quarter was negative at $ 287 million, more than double the loss of $ 111 million in the first quarter of 2021. The company said the decline was due to “higher regional spending and stimulating investment.” Adjusted EBITDA for the first quarter was an improvement of $ 17 million compared to the previous quarter, Q4 2021.

Grab says it expects adjusted EBITDA to reach equilibrium by the first half of 2023 for its main food supply segment and by the end of 2023 for its overall supply segment. Part of his growth plan is to “use technology, partnerships and our super ecosystem of applications to expand our user base, improve efficiency and increase consumer stickiness.”

“Looking ahead, we are focused on sustainable development, being disciplined with our capital, optimizing our fixed-cost base and reducing our incentive costs as the market streamlines. We believe that these actions will put us on the path to achieving profitability of segment-adjusted EBITDA for deliveries by the end of 2023, ”said Peter Oy, CFO of Grab.

Grab’s monthly transaction users grew 10 percent year-over-year to $ 30.9 million in the first quarter of this year, and average consumer spending rose 19 percent to $ 155.

In its mobility service, Grab says its active driver base increased in the first quarter, but is still below pre-COVID levels.

In terms of supply, Grab says it “works to improve the driver and consumer experience through improvements in technology and products and strengthen our ditch by offering consumers a wide choice of retailers to meet their needs.” The company also plans to expand its supply segment and its buy-and-pay-later products to more markets next year.

Last week, Grab announced three new sustainability goals: to double the number of marginalized people earning income from its platform by 2025, to expand the share of women in its leadership ranks by 40% by 2030, and to achieve carbon neutrality in its ecosystem by 2040