Strong GMV and Revenue Growth
GMV in Q2 increased by 11% year-over-year on a like-for-like basis, with revenue growth accelerating to 27% in the same period.
Delivery Hero SE
· DLVHF
August 28th, 2025
Summary
- Earnings Call Date:
- 2025-08-28
- Change Since:
- +51.41%
Earnings Call Sentiment
NeutralThe earnings call presented a mixed view with significant growth in GMV and revenue, as well as improvements in EBITDA and cash flow. However, these were balanced by challenges including FX headwinds affecting guidance, legal issues in Spain, and increased costs from own delivery expansion.
Company Guidance
During the Q2 2025 earnings call, Delivery Hero's leadership shared comprehensive guidance on their financial and operational performance. The company reported an 11% year-over-year GMV increase and a 27% rise in revenue, excluding hyperinflation FX effects. The adjusted EBITDA for the first half of 2025 expanded by 71% to EUR 411 million, with a margin improvement of 70 basis points. Despite FX headwinds, particularly from the U.S. dollar and Korean won, and costs associated with scaling own delivery in Korea, the company expects to reach the higher end of their GMV growth guidance of 8% to 10% for the full year. Free cash flow before extraordinary items improved significantly, approaching breakeven at minus EUR 8 million, with a robust liquidity position of EUR 2.8 billion. The company also highlighted successful integration efforts, including a 6.7% improvement in conversion rates post-Glovo integration and a 9.5% reduction in cost per order, underscoring their enhanced operational efficiencies.
Significant EBITDA Improvement
Adjusted EBITDA in the first half of the year increased by 71% to EUR 411 million, representing a margin expansion of 70 basis points.
Strong Cash Position
The company maintains a robust capital position with EUR 2.8 billion in cash at the end of H1, despite repurchasing nearly EUR 900 million in convertible bonds.
Successful Integration and Platform Expansion
The Glovo integration is completed, and the company has reached a milestone with half of its GMV coming from multi-vertical customers, who spend 5.2x more than single vertical customers.
Strong Performance in MENA and Americas
MENA segment showed GMV growth of 26% year-over-year, while the Americas segment exhibited GMV growth of 30% and significant EBITDA improvement.
Operator
Welcome to the Delivery Hero Q2 2025 Trading Update. Today's presentation will be followed by a Q&A session. [Operator Instructions]. I will now hand over to Christoph Bast, Head of Investor Relations at Delivery Hero to begin the presentation.
Christoph Bast
Hello, and welcome, everyone. Thank you very much for joining our Q2 2025 earnings call. Joining me on this call today are Niklas Oestberg, CEO; and Marie-Anne Popp, CFO at Delivery Hero. And together, they will present the key highlights of our Q2 2025 results and the performance of the first half of 2025. Following the presentation, we will be delighted to address any questions you might have. Now over to you, Niklas.
L. Niklas Oestberg
Thanks, Christoph, and hey, everyone, and thank you for tuning in. We are starting with updates on our global technology platform as it's our #1 strength and huge competitive advantage. It's a unified global tech platform across all verticals. What's unique is the deep localization of the customer experience allowing us to adapt to local customer preferences and to fully leverage our local leading heritage brands, much better and faster than our competitors. In Q2, our platform reached an important milestone. Glovo is now end-to-end integrated, and the migration is completed. This also means we have reached full integration across all our brands and markets, except for Korea, where the integration is on track, but not yet completed. The integration of Glovo provides an interesting case study that demonstrates the power of our platform comparing performance across different KPIs.
Before and after the integration, we see...
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