Grab’s Q1 2026 earnings surge more than 4 times to US$136 million

[SINGAPORE] Super app Grab reported a more than four times, or 466.7 per cent jump in earnings for Q1 2026 to US$136 million, from US$24 million in Q1 2025.

This was driven by higher revenue and a change in fair value of financial assets and liabilities.

Revenue for Q1 2026 was higher at US$955 million from US$773 million a year prior, driven by growth across Grab’s on-demand and financial services segments.

Total incentives stood at US$650 million during Q1 2026, as on-demand incentives as a proportion of on-demand gross merchandise value (GMV) grew by 46 basis points to 10.5 per cent.

This was due to higher partner incentives to meet festive demand and support earnings of drivers due to higher fuel costs across South-east Asia.

“We expect this first quarter to be a peak in driver incentives,” said Grab’s chief operating officer Alex Hungate. Moving into the second quarter of 2026, driver incentives will normalise, but the targeted earnings support will continue through the quarter, he added.

Grab has other levers to defend margin trajectory such as advertising services and financial services monetisation. However, should fuel pressures persist through 2026, costs may be passed onto the consumer, said Hungate.

“But of course, we’ll do that very judiciously, because we want to maintain healthy demand for our driver-partners through this difficult time,” he added.

Regional corporate costs rose US$28 million to US$114 million in Q1 2026, driven by increases in inflationary staff costs, cloud and software costs.

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In the quarter, Grab recognised US$95 million in net change in fair value of financial assets and liabilities, compared to a negative US$23 million in Q1 2025.

By segment

The deliveries segment reported a 23 per cent growth in Q1 2026 revenue to US$510 million from US$415 million the previous year. This was driven mainly by GMV growth and momentum in the advertising business despite seasonal softness associated with the Lunar New Year and Ramadan festive periods.

Deliveries GMV grew 25 per cent to US$3.9 billion in Q1 2026 from US$3.1 billion the year before. This was fuelled by increases in deliveries transactions, monthly transacting users (MTU) and GMV per MTU.

In the mobility segment, Q1 2026 revenue rose 19 per cent to US$337 million from US$282 million in Q1 2025. This was due to growth in GMV and mobility MTUs and transactions.

Mobility GMV increased 23 per cent to US$2.2 billion in Q1 2026 from US$1.8 billion previously. Transaction growth continued to outpace GMV growth, rising 28 per cent in the quarter.

Driver supply grew 16 per cent year on year in Q1 2026 to hit a record high. Grab deployed targeting earnings support for drivers to maintain the supply amid elevated fuel costs.

Grab is monitoring the fuel situation, and will act if needed in the medium term, said Hungate. The super app is committed to accelerating the electric vehicle transition to reduce its drivers’ exposure to fuel price volatility.

In the Philippines, Grab has a drive-to-own programme with EV manufacturers such as BYD and GAC. Across Grab’s markets in South-east Asia, up to 70,000 EVs are available with financing.

In Vietnam, Grab has secured preferential charging rates; in Thailand, the EV fleet supply has crossed 30,000. Consumers have responded with higher demand for EVs, with 35 per cent more choosing the EV option.

“So this fuel crisis has become an opportunity in the sense that it helps us to accelerate that EV transition,” said Hungate.

In the financial services segment, Q1 2026 revenue grew 43 per cent to US$107 million from US$75 million in Q1 2025. This was driven by increased contributions from lending from GrabFin and its digital banks.

The gross loan portfolio jumped 130 per cent to US$1.4 billion in Q1 2026 from US$625 million the prior year. Total loans disbursed rose 67 per cent to hit a record high of US$1.1 billion in the quarter.

Loan growth was modest due to seasonal factors, said Hungate, with the Lunar New Year and Ramadan festive season in Q1 2026. Expected credit losses as a percentage of gross loan portfolio have improved, reflecting the enhanced quality of the credit models, he added.

“We’ve been proactive on risk management, so we’ve been tightening in some sectors – and in other sectors where conventional lenders have stepped away, we’ve seen more opportunities,” said Hungate.

Loan portfolio performance is being monitored, with the aim of generating healthy risk-adjusted returns, he noted. Grab is still targeting a break even for financial services in H2 2026.

Customer deposits across GXS Bank in Singapore and GX Bank in Malaysia remained stable quarter on quarter at US$1.6 billion, as at the end of Q1 2026.

Forecast and outlook

Grab’s 2026 revenue forecast of between US$4.04 billion and US$4.1 billion at a 20 to 25 per cent growth rate remains unchanged.

Adjusted earnings before interest, taxes, depreciation and amortisation forecast for 2026 also remains unchanged at US$700 million to US$720 million at a 40 to 44 per cent growth rate.

On the recent regulatory changes to cap commissions in Indonesia from 20 per cent to 8 per cent, Hungate noted that it is highly specific to the two-wheeler segment. The drivers in Indonesia earn well above minimum wage in the country, making them less of a concern for the government and regulators, he added.

“We are proactively engaging with the relevant ministries as we try to seek absolute clarity and the technical aspects on how the degree will be implemented,” said Hungate.

Two-wheels mobility in Indonesia only accounts for less than 6 per cent of total mobility GMV, he added. Grab expects mobility margins to stabilise within the historical range despite this new development in Indonesia.

Anthony Tan, CEO and co-founder of Grab, said: “We remain committed to delivering durable, profitable growth while standing shoulder-to-shoulder with our communities – leaning deeply into artificial intelligence to outserve our users with hyper-personalised experiences, while simultaneously unlocking more sustainable earnings opportunities for our ecosystem partners.”