(Reuters) -German online takeaway food company Delivery Hero reported slightly better-than-expected revenue growth for the second quarter on Thursday, citing a stronger performance across several markets and an accelerated roll-out of its own delivery network in South Korea.
The company had lowered its guidance for full year core profit on Wednesday.
Total like-for-like revenue grew 27% at constant currency and excluding high inflation to 3.7 billion euros ($4.3 billion) in the second quarter, the company said, above analysts’ estimate of 3.5 billion euros in a company-provided poll.
Revenues on a like-for-like basis exclude operations the group exited during 2024 and 2025 as well as suspended restaurant directory services in Spain and South Korea, the company said.
Delivery Hero lowered its full-year adjusted earnings and free cash flow outlook on Wednesday to reflect a hit from a stronger euro against U.S. Dollar-pegged currencies and Korean Won. South Korea is a key market for Delivery Hero after the company bought the country’s largest online food delivery platform Woowa in 2021.
“I am particularly encouraged by our performance in Asia, where we have seen a clear improvement in both customer input metrics and GMV (gross merchandise value) growth,” CEO Niklas Oestberg said in a statement.
Asia accounted for over one third of the company’s global sales in the quarter with a GMV of 5.18 billion euros compared to 12.24 billion euros for the group.
($1 = 0.8542 euros)
(Reporting by Linda Pasquini in Gdansk, editing by Matt Scuffham)
