Patrick Arya · · 2 min readGrab’s revenue up 77% YoY, on track to EBITDA breakeven next quarter
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Grab logged US$567 million in revenue for the second quarter of 2023, growing by 77% year over year. Loss for the period improved by 74% to US$148 million.
With group adjusted EBITDA improving 92% year on year to -US$20 million, the company said it is on track to hit breakeven on that metric in Q3 2023 – one quarter earlier than its initial target.
“Deliveries gross merchandise value (GMV) grew year over year to hit record highs, supported by our continued push on key affordability initiatives and an expanding GrabUnlimited subscriber base,” said Anthony Tan, Grab’s co-founder and group CEO.
Overall GMV increased 4% year on year to US$5.2 billion. This is partly attributable to deliveries, which reversed a decline in Q1 2023 to grow 4% year on year. At US$292 million, deliveries also contributed the most revenue among all segments.
Mobility GMV jumped 28% to US$1.3 billion, while revenue also rose by 29% to US$208 million. Grab attributed the growth to domestic demand increases and tourism ride-hailing demand.
Image credit: Grab
In financial services, total payment volume went up by 1% year on year though GMV declined by 13% compared to the same period in 2022. Still, the segment’s revenues soared 223% to US$40 million.
Previously, GPay Network, the entity behind GrabPay, reported revenue growth in 2022, though its net loss widened.
Staff costs also fell by 6% year on year and 13% quarter on quarter, attributed to lowered headcount levels across multiple functions. While the company had laid off 11% of its workforce or around 1,000 people, it did so towards the end of Q2 in late June.
In July, Grab said it will acquire 100% shares of Trans-Cab, Singapore’s third-largest taxi operator, through its private-hire car rental arm GrabRentals.
The deal was reportedly worth S$100 million (US$75 million). Singapore’s competition watchdog, however, is evaluating the case.
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