Deliveroo has reduced its full-year sales expectations and is “adapting financially” amid “ongoing economic uncertainty.”
Its gross transaction value (GTV) which was previously forecast to grow between 4% to 12% now has an expected growth between 4% to 8%.
This comes as part of the online food delivery company‘s third quarter trading update which looks at the three months to 30 September.
Despite lower sales expectations, its adjusted pre-tax profit margins, while still expected to fall between 1.2% and 1.5%, has reduced from its previous prediction of between 1.5% and 1.8%.
Deliveroo’s order volumes dropped by 1% however, its average order value has increased by 9% to £23.40 globally. In the UK and Ireland this has increased by 6% as of the same time last year and up 3% since its second quarter update to £25.
Sales growth also rose by 11% in this market to £944 million as Deliveroo’s orders grew by 5% to 37.7 million.
“During the quarter, we delivered continued GTV growth year-on-year, strengthened our value proposition and made further progress on our path to profitability. Since June, the year-on-year GTV growth trend has been broadly stable, despite the ongoing economic uncertainty,” Deliveroo founder and CEO, Will Shu said.
“Throughout 2022 we have been adapting financially to the operating environment and driving forward on our path to profitability. We continue to be excited about the opportunity ahead and our ability to capitalise on it.”
