Deliveroo hails first year of profit and positive free cash flow

(Sharecast News) - Deliveroo hailed its first year of profit and positive free cash flow on Thursday despite an "uncertain" consumer environment, as it expanded its grocery and retail offering. In the year to the end of December 2024, Deliveroo made a profit of £2.9m, versus a loss of £31.8m a year earlier, while adjusted earnings before interest, tax, depreciation and amortisation rose 52% to £129.6m.

Free cash flow came in at £85.5m, compared to negative free cash flow of £38.4m in 2023.

Gross transaction value rose 6% and revenue was up 3% at constant currency - 5% and 2%, respectively, in reported currency - with orders up 2% and marking a return to growth.

For 2025, Deliveroo expects GTV to be high-single digits percentage growth at constant currency, while adjusted EBITDA is expected to be between £170m and £190m, as it makes targeted investments "to capture future growth opportunities".

Founder and chief executive Will Shu said: "Over the past year, we have been relentlessly focused on making the Deliveroo experience even better. The robust results we've announced today, with our first full year profit and positive free cash flow as well as GTV growth across our verticals, demonstrate that our strategy is working.

"We continued to deliver value to consumers by incentivising partners to reduce mark-ups and by significantly enhancing our loyalty programme. Our dedication to making every order perfect is having a meaningful impact on consumer satisfaction, as reflected in our net promoter score.

"Whilst the consumer environment remains uncertain, I am confident that we can continue to deliver growth by focusing on the levers in our control: supporting our restaurant partners to meet untapped consumer demand around new occasions, expanding our grocery and retail offering, and continuously improving our CVP."