Lowered GTV forecast due to consumer headwinds and changing market dynamics

  • Deliveroo lowers FY22 GTV guidance from 15-25% to 4-12% due to economic uncertainty
  • Q2 2022 saw a 3% increase in orders year-on-year, but GTV per order reduced slightly
  • FY22 adjusted EBITDA margin expected to be -1.5-1.8%, improving from FY21 and H2 FY21
  • H1 FY22 GTV reaches £3.56bn, a 7% increase YoY
  • UK and Ireland see 4% GTV growth in Q2, international sales up 1%
  • Deliveroo confident in adapting to changing macroeconomic conditions through cost control and efficient marketing

Deliveroo has adjusted its full-year guidance for gross transaction value (GTV) from 15-25% to 4-12% as it navigates a more cautious economic outlook. The company expects an adjusted EBITDA margin of -1.5% to -1.8%, improving from previous years. Q2 2022 saw orders grow by 3% year-on-year, but GTV per order reduced slightly due to lockdown effects in Q2 FY21. H1 FY22 GTV reached £3.56bn, a 7% increase YoY. The UK and Ireland experienced 4% growth in GTV, while international sales rose by 1%. Deliveroo remains confident in its ability to adapt through cost control and efficient marketing.

Factuality Level: 8
Factuality Justification: The article provides accurate information about Deliveroo’s updated GTV guidance, adjusted EBITDA margin expectations, and the reasons behind these changes. It also includes specific numbers for H1 FY22 GTV and growth rates for different regions. The information is presented in a clear and concise manner without any obvious bias or misleading statements.
Noise Level: 3
Noise Justification: The article provides relevant information about Deliveroo’s updated guidance for FY22, including changes in GTV and EBITDA margin, as well as specific details on growth rates by region and factors affecting the company. It also includes a statement from the company regarding their ability to adapt to the changing environment. The information is clear and concise without any unnecessary filler content or misleading statements.
Financial Relevance: Yes
Financial Markets Impacted: Deliveroo’s stock price and the food delivery industry
Financial Rating Justification: The article discusses Deliveroo’s lowered gross transaction value guidance for FY22 due to a more cautious economic outlook, which can impact its financial performance and the company’s ability to adapt in a changing environment. This information is relevant to investors and can affect the stock price of the company and the overall food delivery industry.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no extreme event mentioned in the text.

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