Just Eat Takeaway.com (TKWY) Q2 2024 earnings summary

Executive summary

• Group GTV excluding North America grew 3% year-on-year in constant currency in H1 2024, in line with guidance.

• Adjusted EBITDA rose over 40% to €203 million, with free cash flow before working capital changes of €38 million, up significantly from H1 2023.

• A new €150 million share buyback program was launched, with 5% of issued shares to be cancelled.

• Strategic focus remains on platform consolidation, efficiency, and expanding into new convenience categories.

• Operations in New Zealand were discontinued and an exit from France was announced after the reporting period.

Financial highlights

• Total group GTV was €13.2 billion, down 2% year-on-year; excluding North America, GTV grew 3%.

• Adjusted EBITDA margin improved to 1.5% of GTV, up from 1.1% in H1 2023.

• Free cash flow before changes in working capital was €38 million, compared to -€78 million in H1 2023.

• Total revenue was €2,570 million, down 1% year-on-year; revenue less order fulfilment cost per order increased by 7%.

• Net loss widened to €301 million, mainly due to non-cash impairment losses and amortisation of intangibles.

Outlook and guidance

• 2024 guidance reiterated: constant currency GTV growth (excluding North America) of 2–6% year-on-year.

• Adjusted EBITDA expected to reach approximately €450 million for 2024.

• Free cash flow before changes in working capital expected to remain positive in 2024 and beyond.

• Long-term target of group adjusted EBITDA margin in excess of 5% of GTV reconfirmed.

• Management continues to explore partial or full sale of Grubhub, with no certainty on timing or outcome.