Deliveroo postponed its margin growth forecast due to a slower recovery in consumer confidence, causing shares to drop 9% on Mar. 13.

Despite this, the company reported its first statutory profit in 2024, earning £2.9 million (US$3.15 million) compared to a £31.8 million (US$34.51 million) loss in 2023.

Positive cash flow and core earnings of £129.6 million (US$140.66 million) were also noted, hitting the higher end of guidance.

CEO Will Shu said that the 4% core earnings margin target, initially set for 2026, will now be achieved “from 2026” due to market challenges.

Deliveroo also announced its exit from Hong Kong, selling assets to Foodpanda, citing market-specific factors. The company remains active in seven other international markets, with Britain and Ireland leading growth.

While Deliveroo saw a rise in gross transaction value in late 2024, analysts expressed concerns over the delayed margin target.

Recent Deliveroo developments