Talabat (TALABAT) Morgan Stanley 5th MENA Conference Presentation summary

Strategic positioning and market overview

• Leading on-demand delivery platform in MENA, operating in 8 countries with strong network effects and a multi-vertical ecosystem spanning food, grocery, and retail.

• 2024 GMV reached $7.4bn, supported by double-digit growth, high profitability, and robust cash conversion.

• Large, under-penetrated addressable market with secular tailwinds such as urbanization, high internet penetration, and a young, tech-savvy population.

• Clear leadership in all operating markets, with over 68,000 active partners and more than 6.5 million active customers.

• Multi-vertical platform and strategic acquisitions, including Instashop, drive expansion and complementary customer bases.

Financial performance and guidance

• FY 2024 GMV grew 23% y/y to $7.4bn, with management revenue up 32% to $3.0bn and adjusted EBITDA up 55% to $497mn (6.7% of GMV).

• Q1 2025 GMV rose 33% y/y to $2.1bn, management revenue up 38% to $846mn, and adjusted EBITDA at $140mn (6.7% of GMV).

• Adjusted net income for Q1 2025 was $99mn (4.8% of GMV), with dividends of $110mn approved for Q4 2024 and a minimum of $400mn targeted for FY 2025.

• Instashop contributed $173mn GMV in Q1 2025 (+16% y/y), with improving profitability and further synergy potential.

• Guidance for FY 2025: GMV growth of 17-18%, revenue growth of 18-20%, and adjusted EBITDA margin of 6.5-7.0%.

Growth drivers and operational highlights

• Growth fueled by deeper category penetration, multi-vertical adoption, and frequency-enhancing initiatives such as loyalty programs and FinTech solutions.

• Customer value proposition centers on quality, selection, convenience, and value, with >68k partners, 155+ categories, and average delivery times under 30 minutes.

• Talabat Pro subscription and PostPaid FinTech product drive higher order frequency and customer loyalty, with Pro adoption up 2.1x and PostPaid delivering a 14% frequency uplift.

• AdTech solutions for partners, including sponsored listings and targeted discounts, show strong adoption and high ROAS, supporting revenue growth.

• Operational improvements have reduced seasonality impact, leading to more stable performance during periods like Ramadan.