Deliveroo has revised its annual profit forecast following an increased demand for takeaways in the UK and the Republic of Ireland. The group experienced a 4% rise in total gross transaction value to £1.85 billion in the last quarter of 2023. Specifically, it increased by 7% to £1.1 billion in Britain and Ireland and by 1% internationally.
In the fourth quarter, order numbers in the UK and Ireland saw a modest 1% growth to £40.9 million, while overall order numbers remained unchanged across the group due to a 2% decline in the average number of active customers on the platform. Deliveroo attributed the lower revenue growth to a change in marketing spending and targeted investments in consumer fees. Despite this, it now anticipates adjusted earnings for the full year to surpass its earlier expectations, ranging between £60 million and £80 million.
Analysts from Jefferies characterised the update as "solid enough," highlighting a return to group order growth and international gross transaction value growth as positive indicators. Deliveroo has expanded its services further by introducing a new shopping section in its app. This addition allows users to purchase medicine, toys, tools, etc with almost immediate delivery.