Delivery Hero Se · XETR:DHER
Delivery Hero — Q4 2022 Earnings Presentation
24 slides from Delivery Hero's earnings presentation, Feb 9, 2023
Slide 1: Q4 2022 Trading Update
Q4 2022 Trading Update 9 February 2023
Slide 2: Table of contents
Table of contents 01 Financial Update 02 Outlook 03 Appendix 2
Slide 3: Healthy topline growth and material profitability improvement in Q4 2022
Healthy topline growth and material profitability improvement in Q4 2022 GMV (€bn) Total Segment Revenue (€bn) Adj. EBITDA (% of GMV) +9% +8% +21% +18% 3.0 pp. margin 11.4 2.5 improvement YoY 10.4 2.1 Q4 '21 Q4 '22 (0.3)% Q4 ‘21 Q4 '22 Q4 ‘21 Q4 '22 +1.3% QoQ in CC1 +3.5% QoQ in CC1 (3.3)% Note: YoY
Slide 4: Q4 2022 key highlights
Q4 2022 key highlights GMV growth of 9% YoY and Total Segment Revenue growth of 21% YoY despite COVID reopening effects in Asia and hyperinflation adjustments in Argentina High margin AdTech business grew revenues to a run-rate of >€750m in Q4 2022 Adj. EBITDA/GMV margin uplift from -3.3% in Q4 2021
Slide 5: Adj. EBITDA margin for the Group at the upper end of the guidance
Adj. EBITDA margin for the Group at the upper end of the guidance FY 2022 Guidance and Outcome Metrics Guidance Outcome Lower end of €44.6bn GMV €44.7 - €46.9bn (€44.9bn on CC1 basis) Lower end of €9.6bn Total Segment Revenue €9.8 - €10.4bn (€9.6bn on CC1 basis) (1.4)% - (1.5)% (1.4)% Adj. EBITDA of
Slide 6: Q4 2022 Asia Platform business
Q4 2022 Asia Platform business GMV (€bn) +2% +3% Key Highlights 6.9 6.8 6.7 6.5 6.5 6.7 5.6 4.7 5.1 ▪ GMV in Asia grew by 2% YoY in Q4 2022, 3.9 despite Covid reopening effects across the 3.3 region. South Korea with low single-digit 2.8 GMV growth YoY in Q4 2022 and low competitive intensity 1 2 20
Slide 7: Q4 2022 MENA Platform business
Q4 2022 MENA Platform business GMV (€bn) +27% +18%1 Key Highlights 2.3 2.3 2.0 1.9 1.8 1.8 ▪ Strong GMV growth of 27% YoY in Q4 1.5 1.6 2022. On constant currency basis, GMV 1.4 growth accelerated to 18% YoY compared 1.2 to 14% in Q3 and 13% in Q2 2022 1.0 0.8 ▪ Successful launch of subscription and
Slide 8: Q4 2022 Europe Platform business
Q4 2022 Europe Platform business GMV (€bn) +18% +19% Key Highlights 1.8 1.6 1.6 1.6 1.5 ▪ Strong GMV growth in Europe despite inflationary pressure across the region, 1.3 1.3 with basket growth and seasonal uptick in 1.3 Q4 2022 ▪ Continued to expand AdTech revenue 1 2 2021 3 4 5 6 2022 7 8 to 2.7%
Slide 9: Q4 2022 Americas Platform business
Q4 2022 Americas Platform business +3% -3% GMV (€m) excl. hyperinflation accounting +40% YoY to €713m, excl. Key Highlights incl. hyperinflation accounting 707 713 hyperinflation 637 780 accounting 553 674 510 417 447 477 560 558 579 ▪ GMV growth of 40% YoY in Q4 2022, 307 381 464 513 excl. the impa
Slide 10: Q4 2022 Integrated Verticals
Q4 2022 Integrated Verticals GMV (€m) +45% +41% Key Highlights 521 496 426 457 ▪ Robust GMV growth despite further 359 optimization of global footprint (1,137 319 259 stores) and clear focus on unit economics 197 72 104 149 ▪ Gross profit margin for the Dmarts 46 business +15 percentage points YoY i
Slide 11: Expanding fully loaded contribution margin during the year
Expanding fully loaded contribution margin during the year Contribution margin1 of own-delivery (after voucher costs2) as % of GMV Values including Woowa since Q1 2022 and excl. Delivery Hero Korea & Glovo Key Highlights 10% ▪ Positive trend of improving contribution margin after 5% vouchers with Am
Slide 12: Total cash of €2.4bn available
Total cash of €2.4bn available in €bn1 Key drivers 0.1 ▪ Adj. EBITDA losses reduced to only 0.1 0.4 €0.1bn in H2 2022 0.3 RCF 0.1 0.1 ▪ Capex/GMV of 0.5% in H2 2022 as we optimized expenditure in both Platform business and Dmarts ▪ Cash outflow of €0.3bn for interest, 2.9 leasing, taxes and others,
Slide 13: Outlook
Table of contents 01 Financial Update 02 Outlook 03 Appendix 13
Slide 14: Our markets are expected to grow faster than most advanced economies
Our markets are expected to grow faster than most advanced economies Delivery Hero’s global footprint Expected real GDP growth in 2023 2.2% 1.4% 0.7% U.S. Euro area U.K. DH Top 15 markets -0.6% U.S. Euro U.K. DH Top 15 ▪ Global coverage: present in over 70 countries (~2.2bn people) ▪ Our top 15 mark
Slide 15: Outlook for Delivery Hero Group in FY 2023
Outlook for Delivery Hero Group in FY 2023 GMV To be announced with publication of Annual Report Total Segment To be announced with publication of Annual Report Revenue Adj. EBITDA FY 2023 >0.5% of GMV H2 2023 >1.0% of GMV Free Cash Flow Break-even during H2 2023 15
Slide 16: Very attractive long-term margins and high cash conversion
Very attractive long-term margins and high cash conversion (in % of GMV) FY 2022 FY 2023 Long-term range Comments ▪ Driven by pricing, advertising, order stacking and Gross Profit 6.0% 10% to 13% improving profitability of Dmarts ▪ High focus on improved marketing efficiency while continuing Marketi
Slide 17: Confirming our 2030 ambitions
Confirming our 2030 ambitions Growth Leadership Innovation Profitability Achieve €200bn to #1 player in #1 preferred Achieve 5-8% adj. €350bn GMV by 2030 all markets1 delivery app1 EBITDA/GMV margin2 By 2030, we plan to grow our GMV substantially, invest in tech & innovation to further expand our le
Slide 18: Appendix
Table of contents 01 Financial Update 02 Outlook 03 Appendix 18
Slide 19: Delivery Hero KPIs (Pro Forma Data)
Delivery Hero KPIs (Pro Forma Data) 2021 2022 in €m Q1 Q2 H1 Q3 Q4 FY Q1 Q2 H1 Q3 Q4 FY Delivery Hero Group GMV 8,352.4 8,991.3 17,343.7 10,197.7 10,433.5 37,974.8 11,035.4 10,776.0 21,811.4 11,449.4 11,353.7 44,614.5 % YoY Growth (RC) - - - - - - 32.1% 19.8% 25.8% 12.3% 8.8% 17.5% % YoY Growth (CC)
Slide 20: Delivery Hero KPIs (Pro Forma Data)
Delivery Hero KPIs (Pro Forma Data) 2021 2022 in €m Q1 Q2 H1 Q3 Q4 FY Q1 Q2 H1 Q3 Q4 FY Europe GMV 1,265.1 1,321.1 2,586.3 1,260.9 1,506.8 5,354.0 1,596.1 1,596.7 3,192.9 1,604.7 1,772.8 6,570.4 % YoY Growth (RC) - - - - - - 26.2% 20.9% 23.5% 27.3% 17.7% 22.7% % YoY Growth (CC) - - - - - - - - - 27.
Slide 21: Argentina impacted by hyperinflation accounting (IAS 29)
Argentina impacted by hyperinflation accounting (IAS 29) IAS 29 Drivers for hyperinflation adjustments in Argentina in Q4 2022 ▪ IAS 29 is an accounting standard that applies Monthly CPI, in % YoY EUR/ARS Q4 2022 200 8 to the financial statements of companies Negative impact from whose functional cu
Slide 22: Definitions
Definitions ▪ Gross Merchandise Value (GMV) is the total value paid by customers (including VAT, delivery fees, other fees and subsidies but excluding subscription fees, tips and delivery-as-a-service fee). ▪ Total Segment Revenue is defined as revenue in accordance with IFRS 15, excluding the effec
Slide 23: Important Notice
Important Notice ▪ For the purposes of this notice, “presentation” means this document, its contents or any part of it. This presentation does not, and is not intended to, constitute or form part of, and should not be construed as, an offer to sell, or a solicitation of an offer to purchase, subscri
Slide 24: Investor Relations Contact
Investor Relations Contact Christoph Bast Bruno Priuli Dennis Bader Laura Hecker Loredana Strîmbei Head of IR Director IR Director IR Senior Manager IR Specialist IR [email protected] [email protected] [email protected] [email protected] loredana.str