Deliveroo delivers profitability boost despite order decline

Takeaway delivery group Deliveroo said efforts to cut costs boosted its profitability, despite revealing a drop in order numbers amid a slowdown in demand after years of pandemic-boosted trading.
By Greg Wright
Published 19th Jan 2023, 08:59 BST

Total order numbers fell 2 per cent across the group to 75.1m in the final three months of the year, the firm said.

In the UK and Ireland, order numbers remained flat at 40.6m.

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Deliveroo was able to offset this by raising prices per item, with gross transaction value (GTV) lifting 6 per cent on a constant currency basis, leaving it with growth of 7 per cent for the full year – but this was far lower than its previous guidance for up to 12 per cent.

Library image of a Deliveroo rider, as the takeaway delivery group said efforts to cut costs boosted its profitability, despite revealing a drop in order numbers amid a slowdown in demand after years of pandemic-boosted trading.Library image of a Deliveroo rider, as the takeaway delivery group said efforts to cut costs boosted its profitability, despite revealing a drop in order numbers amid a slowdown in demand after years of pandemic-boosted trading.
Library image of a Deliveroo rider, as the takeaway delivery group said efforts to cut costs boosted its profitability, despite revealing a drop in order numbers amid a slowdown in demand after years of pandemic-boosted trading.

However, the firm said underlying earnings were around breakeven for the second half, with its margin performance better than feared thanks in part to moves to rein in costs.

Underlying earnings are expected to improve throughout 2023, it added.

Related topics:DeliverooTakeawayIreland