Talabat ($TALABAT ) held its first conference call on the results for the fourth quarter and full year 2024 after the IPO. In case some have not noticed: Delivery Hero has floated shares in Talabat. Talabat, like Delivery Hero, is a food delivery service in the Middle East. Here is a summary of the first conference:

CEO Tomaso Rodriguez first gave an overview of the company and its key strengths. Talabat is the leading online marketplace for food ordering, delivery, grocery and retail in the MENA region. The company operates in eight Gulf Cooperation Council (GCC) countries as well as Egypt, Jordan and Iraq. Key strengths include a large and fast-growing addressable market, a leading market position in each market, a powerful network and a fully multi-vertical ecosystem.

In 2024, GMV grew by around 23% and reached USD 7.4 billion. Revenue increased by 32% year-on-year to USD 3 billion. Adjusted EBITDA improved by 1.4 percentage points year-on-year and reached 6.7% of GMV, representing 55% year-on-year growth and almost USD 500 million. Net profit increased by 64% year-on-year and reached almost USD 350 million, representing a margin increase of 1.2 percentage points and 4.7% of GMV. Based on the strong fourth quarter results, the company intends to increase the dividend payment to increase the dividend payment to 110 million US dollarssubject to the approval of the Board of Directors and shareholders.

The company's long-term strategy focuses on three main pillars: Deepening and increasing penetration of business segments, loyalty through ecosystem products and deepening relationships with partners and vendors. Key updates include the complete overhaul of the Talabat app, with a focus on personalization to improve customer engagement and conversion.

Looking at the full year compared to the guidance given during the IPO, Talabat exceeded or met all metrics. For 2025, the company reiterated its guidance for GMV growth of 17% to 18%, revenue growth of 18% to 20% and an adjusted EBITDA margin of 6.5% to 7%.

The following topics were discussed in the subsequent Q&A session:

Personalization: Personalization of the app interface should offer merchants better opportunities and allow them to display more relevant advertising targeted to users who are interested in it. This could lead to higher advertising revenue as retailers' advertising spend becomes more effective.

Talabat Pro: Expanding TPRO's value proposition to reach more customers, including those with medium or low order frequency. New use cases such as discounts on food and retail should increase customer loyalty.

InstaShop: The transaction with InstaShop is progressing well and is expected to close shortly.

First quarter of 2025: The first quarter of 2025 is developing in line with the strategy and business plan.

Market shares: Talabat is several times larger than the nearest competitor in all markets.

Delivery fees: Delivery fees are stable at around 9.4% of GMV. There is no pressure on delivery fees.

Seasonality: Ramadan, summer and the fourth quarter have a seasonal impact on the business. Ramadan usually leads to a drop in order volume in the first week, followed by a gradual increase towards the end of the month.

Food and retail: The share of food and retail in GMV is growing rapidly. The online share of the total food market is expected to increase significantly.

In summary, Talabat is a leading company with strong growth, a clear strategy and a solid financial base. The investments in customer satisfaction and the development of new business areas make me very confident about Talabat's future.

I hope this summary has helped you.

Stay tuned!

11.12.2024

Teamviewer continues to grow + Oracle's quarterly figures received negatively + IPO of Delivery Hero subsidiary Talabat flops

Teamviewer $TMV (+1,21%)went shopping again, share plummets.

• The shares slumped by 12.2 percent after an acquisition.
• The software company acquired the London-based company 1E, a specialist for digital workplaces, for 720 million dollars.

Oracle $ORCL (-4,33%)with quarterly figures from the previous evening, left its biggest competitor SAP $SAP (-1,87%)cold.

• The SAP competitor's figures were slightly below expectations on both the revenue and earnings side.
• It was mainly analysts' comments that moved share prices.
• Analysts from Jefferies and JPMorgan emphasize that Oracle needs stronger growth in the cloud segment for further share price gains.
• Oracle recorded an increase in sales of just under 9 percent in the second quarter, but missed analysts' expectations in terms of profit and growth.
• The stock recorded a 9% increase in sales to 14.06 billion dollars in the second quarter, missing market expectations of 14.11 billion dollars, according to LSEG.
• Despite robust growth in the cloud segment, Morgan Stanley analysts say the company is under scrutiny for how it can translate strong demand into accelerated revenue and sustained double-digit EPS growth.

IPO of Delivery Hero subsidiary $DHER (-3,81%)Talabat $TALABATflops

• The IPO of Delivery Hero subsidiary Talabat turned out to be a disappointment on the first day of trading.
• Talabat shares were last listed on the Dubai Stock Exchange with a discount of almost seven percent at 1.49 dirhams (0.38 euros). At the start, it had still looked like a successful debut.
• The Talabat share had initially risen by 7.5 percent.
• The parent company has now also lost ground.
• Shares in Delivery Hero lost 9.6 percent to 32.17 euros around midday.
• The Delivery Hero Group had raised the equivalent of almost two billion euros with the offered 20 percent stake in Talabat.
• Originally, the Berlin-based food delivery service wanted to offer 15 percent of its Middle East subsidiary on the market.
• According to Bloomberg data, the IPO was the largest in the region in 2024. Talabat is active in the United Arab Emirates, Qatar and Egypt, among other countries, and delivers food and everyday items.
• In 2023, the business recorded a gross merchandise value (GMV) of more than five billion euros.
• In the first half of 2024, this figure increased by more than a fifth.
• Of the gross merchandise value, more than six percent remained as operating profit adjusted for special effects (EBITDA margin).

Wednesday: Stock market dates, economic data, quarterly figures

• Quarterly figures / company dates USA / Asia

13:00 Exxon Mobil strategy update

13:00 Exxon Mobil analyst and press conference

22:05 Adobe detailed annual results

• Quarterly figures / Company dates Europe

07:00 Tui | Carl Zeiss Meditec detailed annual results

07:30 Inditex 9-month results | Talanx Capital Markets Day press conference

08:00 British American Tobacco Pre-Close Trading Update Annual Results

09:15 Tui PK

10:00 Metro Annual Press Conference & Capital Markets Update

• Economic data

08:00 DE: Domestic Tourism October

11:00 DE: Federal Government, Cabinet Meeting, Berlin

13:00 US: MBA Mortgage Applications

14:30 US: Consumer Prices November PROGNOSE: +0.3% yoy/+2.7% yoy previous: +0.2% yoy/+2.6% yoy Core Consumer Prices PROGNOSE: +0.3% yoy/+3.3% yoy previous: +0.3% yoy/+3.3% yoy

14:30 US: Real income November

15:45 CA: Bank of Canada (BoC), outcome of the Monetary Policy Council meeting Overnight Rate PROGNOSE: n.a. previously: 3.75%

16:30 US: Crude oil inventory data (week) from the Energy Information Administration (EIA)