Sales soar but losses grow for De­liv­eroo after ex­pan­sion

Belfast Telegraph - Business Telegraph - - News - BY RAVENDER SEMBHY

DE­LIV­EROO, which has around 160 rid­ers in Belfast, has re­ported an­other year of soar­ing sales, but losses also bal­looned as the firm in­vested in ex­pan­sion.

Rev­enue rose 116% to £277m in 2017 as gross profit grew from £1m to £64.3m, ac­cord­ing to an­nual re­sults.

But pre-tax losses widened from £129.1m in 2016 to £184.7m as De­liv­eroo counted the cost of what it called “ma­jor in­vest­ments” which to­talled £100m.

The food delivery firm jus­ti­fied the loss by stat­ing that rev­enue growth in 2017 out­stripped the in­crease in net losses, un­der­lin­ing De­liv­eroo’s grow­ing profit mar­gin.

De­liv­eroo has re­cently been the sub­ject of in­tense takeover spec- ula­tion, with re­ports sug­gest­ing that Uber is pre­par­ing a $2bn-plus (£1.5bn) deal for the firm.

De­liv­eroo’s Euro­pean op­er­a­tions saw rev­enue grow 99% year on year, while all other mar­kets booked a rise of 207%.

The com­pany also said yes­ter­day it now works with 50,000 restau­rants and 50,000 rid­ers across the world fol­low­ing a launch in Tai­wan.

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