Grab posts US$111m negative Ebitda in Q1, US$652m net loss
SINGAPORE-BASED Grab recorded US$111 million in adjusted losses before interest, taxes, depreciation and amortisation (or negative Ebitda) for the first quarter ended March, narrowed from US$344 million a year ago, the company announced on Monday evening.
Its net loss for the quarter stood at US$652 million, compared to US$771 million a year ago. This figure includes non-cash items related to interest accrued on Grab's convertible redeemable preference shares and depreciation.
Grab, whose main businesses include ride hailing and food delivery, posted a total revenue of US$216 million in Q1 this year. The bulk of US$145 million in revenue came from the mobility segment, where revenue increased 18 per cent year-on-year.
The deliveries segment contributed US$53 million. Grab's financial services and enterprise and new initiatives verticals contributed US$8 million and US$10 million in revenue respectively.
Grab said that the US$111 million negative adjusted Ebitda is its strongest showing, after it reduced its spend "substantially".
As at end-March, Grab had US$4.9 billion of cash and cash equivalents, an increase of US$1.4 billion from end-2020. This was primarily due to the closing of Grab's first senior secured term loan facility of US$2 billion at the end of January.
Chief executive and co-founder Anthony Tan added that the company, which is going public through a record US$39.6 billion merger deal with special purpose acquisition company (SPAC) Altimeter Growth Corp, expects to list in Q4 this year.
Chief financial officer Peter Oey said the company had exceeded its internal targets for adjusted Ebitda for the first quarter, with "strong growth momentum" for its delivery business. He added that the company "took strides" towards profitability.
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