Singapore-based Grab Holdings kicked off the new financial year on a high note, reporting double-digit growth in its first-quarter revenue and earnings, reflecting the company’s robust resilience in the face of market fluctuations.
Grab’s revenue for the first quarter, ending March 31, climbed by 24%, amounting to US$955 million. This represents a 19% increase when considered on a constant currency basis.
The gross value of the company’s on-demand merchandise, a key indicator of transactions from Grab’s mobility and delivery branches, also witnessed a significant jump. It surged by 24% according to reported figures and 21% on a constant currency basis.
The firm recorded a striking 46% increase in its Adjusted EBITDA, reaching a record-setting figure of $154 million. Profits also displayed an upward trend, going from $10 million in the previous year to $120 million.
Grab’s Group CEO and Co-founder, Anthony Tan, attributed these strong outcomes to the resilience of the company’s platform, particularly in the face of Southeast Asia’s unpredictable macroeconomic climate, which is currently grappling with a fuel crisis.
Grab acknowledged an increase in its on-demand incentives during the quarter. This move was taken to bolster the earnings of driver-partners as fuel costs across the region spiral upwards. It also aimed to cater to the increased demand during the festive season.
Looking at the performance of different sectors, the delivery revenue witnessed a 23% surge, totaling $510 million. The mobility revenue increased by 19%, amounting to $337 million. The financial services sector also saw a boost in revenue, with a 43% rise that led to $107 million.
For the upcoming year, Grab maintains its revenue forecast, predicting a figure between $4.04 billion and $4.10 billion, indicating a 20-22% rise. The Adjusted EBITDA is also expected to grow by 40-44%.
As the company moves forward, it reaffirms its commitment to ensuring durable, profitable growth while standing in solidarity with its communities. According to Tan, the company plans to leverage AI to deliver hyper-personalized experiences for users while creating more sustainable earning opportunities for ecosystem partners.
Earlier this year, Grab made its debut outside Southeast Asia by acquiring Delivery Hero’s Foodpanda business in Taiwan for $600 million.
What was Grab’s first-quarter revenue?
Grab’s revenue for the first quarter was US$955 million, representing a 24% increase.
What steps has Grab taken to support its driver-partners amid the fuel crisis?
Grab has increased its on-demand incentives to bolster the earnings of driver-partners affected by rising fuel costs.
What are Grab’s revenue predictions for the upcoming year?
Grab estimates its revenue to be between $4.04 billion and $4.10 billion, indicating a 20-22% rise.
