Talabat Holding plc , the leading on-demand online ordering and delivery platform in the MENA region,announces its unaudited preliminary pro forma financial results for the three-month and twelve-month periods ended 31 December 2024. This is talabat’s first set of financial results following the successful public offering completed in December 2024, which resulted in the largest global technology IPO of the year and the first ever technology listing on the Dubai Financial Market (DFM).
GMV grew 23% for the year versus the prior year, in line with guidance, to reach a record USD 7.4 billion. Revenue grew 32%, exceeding the top end of guidance, to reach USD 3.0 billion for the year. Adjusted EBITDA grew 55% to almost half a billion US dollars, or 6.7% of GMV, also exceeding guidance, and net income grew 64% to USD 346 million or 4.7% of GMV, in line with expectations. On a normalised basis, adjusting for material non-recurring items to allow for a like-for-like comparison, net income grew 53% to USD 393 million or 5.3% of GMV.
Underpinning this strong performance was GMV growth and margin expansion across both geographical segments, GCC (comprising our operations in the UAE, Kuwait, Qatar, Bahrain and Oman) and non-GCC (comprising our operations in Egypt, Jordan and Iraq). GMV growth was driven by stronger consumer demand through new customer acquisition as well as increased order frequency. Monthly active customers served by talabat increased 25% versus the prior year, whilst the average order frequency of active customers increased 8% year-on-year. Margin expansion was driven by stronger monetization across non-commission revenue, delivery & service fees, and our tMart business, as well as operating efficiencies.
Highlights for the full year include:
GMV of USD 7.4 billion, up 23% year-on-year with strong growth across both the GCC and non-GCC segments, and across both the Food and Grocery & Retail (“G&R”)[3] verticals.
GCC GMV grew to USD 6.3 billion, up 20% year-on-year, representing 85% of total GMV.
non-GCC GMV grew faster to USD 1.1 billion, up 42% year-on-year, representing 15% of total GMV.
Food GMV grew to USD 5.5 billion, up 16% year-on-year, representing 75% of total GMV.
G&R GMV grew faster to USD 1.9 billion, up 47% year-on-year, representing 25% of total GMV.
Management Revenue of USD 3.0 billion, up 32% year-on-year, exceeding the top end of the guidance range. This represents a GMV-to-revenue conversion ratio of 40% (prior year 37%).
Adjusted EBITDA of USD 497 million, up 55% year-on-year, exceeding guidance, and equivalent to 6.7% of GMV (prior year 5.3%).
Net income of USD 346 million, up 64% year-on-year, in line with guidance, and equivalent to 4.7% of GMV (prior year 3.5%).
Adjusted Net Income of USD 393 million, up 53% year-on-year and equivalent to 5.3% of GMV (prior year 4.2%).
Strong cash generation with Adjusted Free Cash Flow of USD 462 million, up 54% year-on-year, and equivalent to 6.2% of GMV (prior year 5.0%) and a Cash Conversion Ratio[4] of 93% (prior year: 94%).
Historically strong balance sheet with an improved cash position of USD 419 million and net cash position of USD 322 million. The Company continues to be well positioned to fund future growth, dividends and opportunistic acquisitions.
Guidance for full year 2025 has been reiterated, with GMV projected to grow 17-18% year-on-year, revenue to grow 18-20% year-on-year, Adjusted EBITDA margin to remain in the 6.5-7.0% range, net income margin to expand into the 5.0-5.5% range and Adjusted Free Cash Flow margin to remain in the 6.0-6.5% range.
On track to pay dividends of USD 110 million, reflecting an upward adjustment from the previously disclosed minimum dividend payment of USD 100 million, following the Company’s strong fourth quarter performance and in line with its dividend policy. The final dividend amount remains subject to the Board of Director’s recommendation and shareholders’ approval at the upcoming Annual General Meeting to be held in April 2025.
Tomaso Rodriguez, Chief Executive Officer of talabat, commented: “2024 was a truly landmark year for talabat. We delivered exceptional financial results, achieving a record USD 7.4 billion in GMV and exceeding both our revenue and Adjusted EBITDA guidance. Our strong performance in the last quarter of the year supports an increase in the upcoming dividend payment amount to USD 110 million, in line with our dividend policy and subject to the Board of Directors’ final recommendation and shareholder approval. These achievements underscore the strength of our growth strategy and the dedication of our teams across all eight countries in which we operate.
“We are also particularly proud of our successful IPO as the first technology listing on the Dubai Financial Market and the largest technology IPO in 2024 globally. Looking ahead to 2025, we are confident in our reiterated guidance and our ability to continue driving sustainable growth and profitability. We remain focused on expanding our market leadership, enhancing our technology platform, and strengthening our partnerships across the ecosystem.”
