Tech in Asia: Grab’s Q3 Revenue More Than Doubles YOY, Net Loss Narrows to $327M

(Image Source: Tech in Asia)

Southeast Asia's leading superapp Grab hits back the road and keeps up its pace in Q3 with a sizeable revenue gain and narrowed losses. Based on reports, the company earned US$382 million in revenue in the third quarter, 143% higher than the same period last year. Most of the revenue came from mobility and delivery segments with year-on-year growth of 101% and 250% respectively. 

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With its deliveries segment contributing $171 million in revenue, Grab saw its adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) turn positive for the first time. In fact, the logistics giant managed to cut down its net loss from US$970 million last year to US$327 million for Q3 2022, largely owing to the elimination of non-cash interest expenses from the convertible redeemable preference shares.

“We accomplished this by staying laser-focused on our cost structure and incentives, while innovating on services that increase synergies within our super-app ecosystem to promote transaction frequency, user retention, and engagement,” said Anthony Tan, Group CEO and Founder of Grab.

Meanwhile, the revenue from the mobility vertical is slightly higher, at $176 million with a GMV of $1 billion while the revenue from the financial services vertical rises 44% YOY, reaching $20 million with $1.5 billion in gross merchandise value (GMV). All in all, the positive financial result comes majorly from the effort to optimize incentive spending across its various verticals. Following the reported revenues, Grab has updated its revenue and EBITDA loss guidance for the financial year 2022.

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