Talabat (TALABAT) Q3 2026 earnings summary

Executive summary

• Q3 GMV growth accelerated to 16% YoY reported and 17% at constant currency, supported by customer growth, higher order frequency and larger baskets.

• Stronger-than-expected growth and profitability prompted a second FY26 guidance upgrade; Kuwait fee caps and planned investments pressured margins.

Financial highlights

• Q3 GMV was $3.0bn, up 16% YoY reported and 17% at constant currency; revenue was $1.185bn, up 18% reported and 19% at constant currency.

• Q3 Adjusted EBITDA was $150m, down 3% YoY; net income was $102.4m, down 15%, and Free Cash Flow was $141m, up 41%.

• 9M revenue reached $3.374bn, up 19% YoY; gross profit was $846.6m versus $833.5m, and operating profit was $341.7m versus $400.3m.

• 9M Adjusted EBITDA was $427m, down 8% YoY; net income was $288.7m, down 17%, and Free Cash Flow was $407m, down 14%.

• 9M cost of sales increased to $2.527bn from $1.985bn; delivery expenses were $1.255bn versus $1.099bn.

Outlook and guidance

• FY26 GMV growth guidance raised to ~16% at constant currency, or ~$11.7bn, from 13%–15%; revenue growth guidance rose to ~19%, or ~$4.6bn, from 16%–18%.

• FY26 Adjusted EBITDA guidance increased to $560–570m from $535–565m; net income guidance rose to $360–370m from $325–355m.

• FY26 Free Cash Flow guidance increased to $440–450m from $400–430m; dividend policy remains 90% of net income, implying $324–333m in FY26 dividends.

• Q4 Adjusted EBITDA margin is implied at ~4.7% at the top of guidance, with a full quarter of Kuwait regulation impact partly offset by operating leverage and seasonality; Q4 growth is expected to accelerate further.

• Potential Kuwait mitigations include delivery and subscription fee increases and compliant advertising; additional levers could provide upside beyond FY26.