Grab, the leading Southeast Asian superapp, announced Monday (August 2nd) its financial results for the quarter ended March 31, 2021.
“We exceeded our adjusted net internal sales and adjusted EBITDA targets during the first quarter of 2021 and continued the strong momentum of our deliveries business,” Peter Oey, Grab’s chief financial officer, said in a statement.
According to Grab, its adjusted net sales reached an all-time high of US $ 507 million, 39% more than the previous year, while revenue reached a record US $ 216 million.
Although many Southeast Asian countries are imposing new closures due to the increase in Covid-19 cases, the Singapore-based firm reduced its losses due to strong performance in its Covid-19 business. deliveries.
Strong performance in the delivery business
Grab Gross Value of Goods (GMV) deliveries showed strong year-on-year growth of 49%, offset by weak mobility as a result of blockages and other restrictions imposed by governments on the back of the COVID-19 pandemic.
According to the results, Grab recorded “strong growth” in deliveries during the first quarter of 2021, which generated a GMV of US $ 1.7 billion. This represents a 49% improvement over its GMV of US $ 1.1 billion in the first quarter of 2020.
Its net sales adjusted for deliveries amounted to 293 million US dollars, compared to 144 million US dollars and 96% year-on-year, while revenues amounted to 53 million US dollars, an increase of 152 million of dollars annually. Its deliveries Adjusted EBITDA of US $ 4 million increased by US $ 147 million year-on-year.
This was driven by an increase in both the number of transactions processed and the values of orders.
He also continued to scale GrabMart, a daily merchandise delivery offering that has spread across Grab’s eight Southeast Asian markets. In June, it announced the launch of GrabSupermarket in Singapore as part of a strategic expansion of GrabMart.
Volatility in the travel business
Due to the blockages and restrictions imposed on the various Grab markets, GMV mobility during the first quarter of 2021 accounted for approximately 64% of levels in the first quarter of 2020.
Mobility-adjusted net sales amounted to US $ 167 million, down 14% year-on-year, while revenue rose 18% year-on-year to $ 145 million.
Mobility-adjusted EBITDA amounted to US $ 115 million, an increase of US $ 34 million annually, and Grab remains a segment-adjusted EBITDA in all its major markets.
The registration of the SPAC offer is being prepared
The company’s quarterly financial results were the first it reported when preparing to trade.
In April of this year, Grab announced that it intends to go public in the United States in collaboration with Altimeter Growth Corp (Nasdaq: “AGC”).
It is expected to be the largest U.S. equity offering from a Southeast Asian company. The combined company expects its stocks to be listed on the NASDAQ under the symbol “GRAB”.
Proposed transactions value Grab at a near-pro-forma initial value of approximately US $ 39.6 billion (US $ 53.16 million) with a PIPE size greater than US $ 4 billion (US $ 5.377 billion) and will provide to Grab approximately $ 4.5 billion ($ 6.04 billion) in cash revenue.
“We are pleased with our progress towards becoming a publicly traded company, which we expect to occur during the fourth quarter of 2021,” said Anthony Tan, CEO of the group and co-founder of Grab.
With operations in eight countries and more than 400 cities, Grab is the most valuable start-up in the region. It started as a specialist business in 2021 and has since moved into food and grocery delivery, digital payments and is also entering the insurance and lending business.
Featured Image Credit: Bloomberg