Around 11% of Deliveroo’s revenue was accounted for by on-demand groceries in the first half of its financial year – up from 9% a year ago.
The food delivery company reported its full-year revenues of just under £2 billion in the year to December 31 2022 – That’s up 13.8% on the previous year. It reported a pre-loss of £230.6 million, narrowing from a loss of £281.8 million a year earlier.
Last year, its UK and Ireland business launched with Asda and expanded partnerships with Waitrose, Sainsbury’s and the Co-op. It also works with health and beauty retailer Boots, which now delivers via Deliveroo from 125 stores.
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Founded in 2013 by Will Shu and Greg Orlowski to deliver takeaways, now delivers from about 8,000 grocery sites in the UK and and more than 10,000 sites in 10 international markets including Europe, the Middle East and Asia.
In 2022, the business had an average of 7.4m customers a month (+6% year-on-year) who ordered an average of 3.4 times a month.
However, average fourth quarter customer numbers were one percentage point lower than a year earlier, at 7.4 million, reflecting what the company describes as “the challenging macroeconomic environment”.
“Our team has delivered in difficult market conditions, with continued growth and share gains in our key markets. I’m particularly pleased that the company reached adjusted EBITDA profitability in the second half of last year,” Deliveroo founder and chief executive, Will Shu said.
“This is a significant step on our path to sustainable cash generation, and we achieved this milestone a year earlier than our guidance by executing our strategy successfully despite headwinds from the market environment.”
Shu added: “The macroeconomic outlook for the year ahead remains uncertain, but our record in the past 12 months makes me optimistic about our ability to adapt and continue to deliver on our plans to drive profitable growth.”
Last month, Deliveroo begun a redundancy process across the entire company, which will result in job cuts to around 9% of employees.