That’s why Grubhub goes sideways at Just Eat Takeaway.com

That's why Grubhub goes sideways at Just Eat Takeaway.com

Just Eat Takeaway.com posted a loss of 151 million euros. All the numbers and reasons for red despite the increase in revenues.

Just Eat Takeaway.com's losses increase, despite the pandemic driving up revenues.

The company's accounts suffer from intensifying competition from food delivery apps, such as Deliveroo , but the group remains confident. And it is ready for new acquisitions.

Here are all the details.

THE NUMBERS OF JUST EAT TAKEAWAY.COM

Let's start with the numbers. Takeaway revenues in 2020 increased 54% to € 2.40 billion ($ 2.85 billion), in line with analysts' expectations of € 2.39 billion, according to Refinitiv data. Ebitda also grew, to 256 million euros, from 217 million euros the previous year.

A LOSS OF 151 MILLION

However, net losses increased. The London and Amsterdam-based group, formed by the merger of Just Eat and Takeaway.com, in April 2020, recorded a net loss of 151 million euros for 2020, up from 103.1 million euros in the year. 2019.

THE COSTS THAT WEIGH ON THE INCOME STATEMENT

The company explained that the loss was driven by amortization and non-recurring expenses, such as consulting and integration costs of which 102 million euros are linked to the combination of Just Eat and Takeaway.com and to the proposed transaction with Grubhub, which will weigh on the company coffers up to 7.3 billion.

TRUST IN THE FUTURE

The losses do not worry the group, however, which continues to look to the future with great confidence, expecting "a further acceleration in order growth" in 2021, after the 42% recorded in the previous 12 months.

TOWARDS THE MERGER WITH GRUBHUB

And it is in the name of this trust that Just Eat Takeaway.com will continue shopping. Last year, Takeaway agreed to buy US-based Grubhub for $ 7.3 billion. Now it will be the new company born from the merger with Just Eat to finalize the operation, by the first half of 2021.

“On June 10, 2020, the Company announced the proposed all-share transaction with Grubhub. Subject to the conditions, including the approval of the registration declaration and prospectus by the competent authorities, the completion of the transaction is expected to take place in the first half of 2021 ”, writes the company in the press release.


This is a machine translation from Italian language of a post published on Start Magazine at the URL https://www.startmag.it/innovazione/ecco-perche-grubhub-va-di-traverso-a-just-eat-takeaway-com/ on Wed, 10 Mar 2021 13:34:44 +0000.